In the eleventh episode of Fintech Fridays Special Edition with Binance Africa titled,"Crypto 101: Understanding the Basics of the Blockchain and Crypto", we explore:
-The world of cryptocurrency and the basics of digital currencies and blockchain
-Why decentralization and transparency are game-changers for finance.
-Why Decentralized finance, NFTs, and central bank digital currencies are reshaping the landscape
A special thanks to our sponsors, Binance Africa for supporting this episode.
Listen on Spotify: open.spotify.com/episode/3yd6wdGxKhxh9bezEFiRbk
About Binance
Binance is the world's leading blockchain ecosystem and cryptocurrency infrastructure provider with a financial product suite that includes the largest digital asset exchange by volume. Trusted by millions worldwide, the Binance platform is dedicated to increasing the freedom of money for users and features an unmatched portfolio of crypto products and offerings, including trading and finance, education, data and research, social good, investment and incubation, decentralization and infrastructure solutions, and more. For more information, visit: bit.ly/4gbOtZR
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Episode Agenda
Basics of Cryptocurrency
Definition and security through cryptography.
Introduction of Bitcoin as the first and most well-known cryptocurrency.
Overview of the thousands of cryptocurrencies with unique features.
Key Characteristics of Cryptocurrencies
Decentralisation: Operating without a central authority.
Transparency: Transactions recorded on a public ledger.
Security: Cryptographic techniques ensuring transaction integrity.
Peer-to-peer transactions: Direct transfer of funds without intermediaries.
How Cryptocurrency Works
Operation on blockchain technology: Decentralised ledger.
Transaction process:
Initiation of transaction by a user.
Verification process by network of computers.
Validation of transaction through algorithms.
Grouping of verified transactions into blocks.
Permanent addition of blocks to the blockchain.
Blockchain Technology
Foundation of cryptocurrencies.
Description as a chain of blocks with transactions.
Key features:
Decentralization
Transparency
Immutability
Consensus mechanisms (e.g., proof of work, proof of stake)
Types of Cryptocurrencies
Coins: Cryptocurrencies with their own blockchain (e.g., Bitcoin, Ethereum).
Tokens: Operate on existing blockchains (e.g., ERC-20 tokens)