The site The Next Web has an article about how blockchain currency is democratizing the virtual world, VR, and real life. The Sansar Project gets into it because Ebbe Altberg is quoted. Not because Sansar will use a cryptocurrency.
First, do you know what a blockchain currency is? I barely do. Quoting:
A blockchain is a digitized, decentralized public ledger of cryptocurrency transactions. Essentially each ‘block’ is like an individual bank statement. Completed ‘blocks’ (the most recent transactions) are added in chronological order allowing market participants to keep track of the transactions without the need for central record keeping. Just as Bitcoin eliminates the need for a third party to process or store payments, and isn’t regulated by a central authority, users in any blockchain structure are responsible for validating transactions whenever one party pays another for goods or services.
That explanation isn’t all that helpful. If you think of a cryptocurrency as a paper dollar that you print but yet cannot be forged and shows who paid for it and printed it… you sort of get an idea. This is extreme free market stuff and requires a good grounding in free-market economics to make sense.
Blockchain currencies and other cryptocurrencies depend on complex encryption processes requiring huge amounts of computer time. No one seems to think about how quantum computing may change the game. So, for now, these new currencies are the hot thing. Hot as in one currency project raised US$25 million in less than a minute.
I suppose it is the freedom from the control of centralized governments where politicians try to control us that makes them so valuable. Continue reading