Blockchain Technology

and

Digital Financial Asset

A Primer for Beginners

A Knowledge Sharing Session at

Digital Tech Diamond Community Group TCN 

Presenter: Chimezie Chuta, Lead Dev Blockchain Nigeria User Group

The Blockchain Technology

A combination of the openness of the internet with the security of cryptography  gives everyone a faster, safer way to verify key information and establish trust.

A Distributed Digital Record of Transactions, Secure, Immutable, Append-onlyDecentralized, Time-stamped,  Hashed and Transparent.

Demo: http://www.blockchainnigeria.group/blog/explaining-bitcoin-hash-functions-newbie

The Blockchain Technology

READ: http://www.blockchainnigeria.group/blog/explaining-bitcoin-hash-functions-newbie

WHAT'S A HASH FUNCTION?

In the abstract, a hash function is a mathematical process that takes input data of any size, performs an operation on it, and returns output data of a fixed size.

 

https://andersbrownworth.com/blockchain/hash

HASH FUNCTION

Core

The Blockchain Technology

In Establishing Trust, the Blockchain provide a simple, paperless way to establish ownership of money, information and objects

An Address, A Public Key, A Private Key (a hash of the address data.)

When to use Blockchain Technology

When there is an advantage to having a public immutable record of something, blockchain is the answer. When there no benefit, it doesn’t make much sense to use a blockchain. When this is the case, stand‐alone cryptography is the solution to your problem.

Some Blockchain Technology Use Case

Supply Chain Management

Digital Identity

Voting

Fundraising (Security token offerings)

Healthcare

Notary

Intellectual Property (IP)

Land Registry

Asset Tokenization

Decentralized Finance

Remmitances/ Payments

The Blockchain Technology

A smart contract is a piece of computer code that describes a transaction step by step. It can connect to multiple blockchains, tracking multiple assets, so it can swap those assets as needed to execute the transaction.

Smart Contract

The Blockchain Technology

It is a transformation that has already begun. Organizations—both the ones that it can help, and the middlemen at risk of disintermediation —will need to be prepared as the technology matures.

The New Technology of Trust

The Blockchain Protocols

The term “protocol” refers to the “cryptoeconomic rules” that are enforced by a blockchain in order to maintain distributed consensus across the blockchain's peer-to-peer network.

 

Blockchain Solves the double-spend problem!

I send you an asset and wholly relinquish its ownership!

Tokens

A “token” by definition is a representation of any fungible, tradable good such as currency, loyalty points, gold certificates, in-game items, vouchers, IOUs, or even objects in the real world.

It represents that I own an underlying tradable asset.

 

NOTE: A Token is a Smart Contract!

Tokens

Digital "tokens" represent an exchange medium within a project

A token can act as a store of value.

A token can be bought, sold, or traded for profit

Tokenized assets

 

Tokenizing assets that are either very illiquid, like real estate, or that can be difficult to physically exchange, like gold, is an interesting concept for investors.

 

Very expensive assets such as Airplanes, Land or even Intellectual property can be tokenized and sold in fractions.

https://www.etoro.com/

https://latoken.com/

 

Cryptocurrencies

A trustless Peer-to-Peer "Cash System" to prevent double spend!

– Satoshi Nakamoto, 09 January 2009

Decentralized

 

Censorship proof

 

Control Resistant

How new Cryptocurrencies are Created

Satoshi in Bitcoin, set the rules for "miners".

They need to invest some work (Processing Power) of their computers to qualify for this task.

They have to find a "hash" – a product of a cryptographic function – that connects the new block with its predecessor.

This is called the Proof-of-Work. In Bitcoin, it is based on the SHA 256 Hash algorithm.

How new Cryptocurrencies are Created

As an incentive, the "Miner" has the right to add a so-called "coinbase transaction" that gives him a specific number of Bitcoins.

This is the only way to create valid Bitcoins or valid Crypto Using the PoW System.

A "coinbase transaction" is the first transaction in a block.

Cryptocurrency Metrics

Cryptocurrencies:  5,784

Market Cap: $285,910,712,891

24h Vol:  $69,524,820,581

 

Bitcoin Price:  $9,515.55

Total MKT Vol. $175,476,318,827

 

 

24 Hrs Vol: 

$18,307,681,721

BTC Dominance:  61.4%

As of today 25-07-2020

Cryptocurrency Metrics

Monitoring Platforms

http://coincap.io/

https://coinmarketcap.com/

https://www.cryptocompare.com/

https://tokenmarket.net/

https://prism.exchange

Token Crowd Sale Models

ICOs/ IEO/ IMO etc

An ICO is an event in which a new cryptocurrency project sells part of its cryptocurrency tokens to early adopters and enthusiasts in exchange for money today.

ICOs have been compared to Initial Public Offerings (IPOs) of corporations. There are some notable similarities – both of them are used to sell a stake and raise money, and both have investors who see the potential and risk their capital in order to make a potential profit.

Token Crowd Sale/ ICOs/ IEO/ IMO etc

Individual, and Companies can

Speculate, Buy, Trade and profit from ICOs.

Most Successful ICOs

1. FILECOIN -$257 million

2. TEZOS -$232.319 million

3. EOS (STAGE 1) -$185 million

4. BANCOR - $153 million  

5. STATUS -$90 million

6. TENX -$64 million

7. MOBILEGO - $53.069 million

8. SONM - $42 million

9. AETERNITY - $36.96 million

10. MONETHA -$36.6 million 

Other Ways to Profit from The Blockchain Tecnology

Investing in Cryptos with a future

Buy and Hold Tokens/ Cryptos

Mining

Trading

Lending

Staking

Node Operation

Careers/ Start Crypto Assets Businesses

Invest in Bockchain Start ups

Speculate in profitable ICOs 

Wrapping up

Questions?

Get My Books!

Contact Me

https://web.facebook.com/chimezie.chuta

https://twitter.com/mezie16

https://www.linkedin.com/in/chimeziechuta

https://slides.com/chuta

http://blockchaindev1000.com
http://kinesis.Money West Africa Advisory,
CEO@ http://blockspace.africa |  https://blockspace.shop

Coordinator:  Blockchain Nigeria User Group

http://blockchainnigeria.group

Thank You!

Copy of Blockchain Technology and Digital Asset Tokens

By Chimezie Chuta

Copy of Blockchain Technology and Digital Asset Tokens

Knowledge Sharing Session at Digital Tech Diamond Community Group TCN. Presenter: Chimezie Chuta, Lead Dev Blockchain Nigeria User Group

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