Why Satoshi Nakamoto and the Blockchain has changed finance.

Continuing our learning process here as initiated by cryptoprofessors, today i am writing about hometask by @gbenga , which is about change in finance by Satoshi Nakamoto and the Blockchain? So I'll begin by giving very brief introduction about blockchain and than taking Bitcoin as an example to explain how it changed financial system. So let's begin.

Blockchain is a public ledger to record cryptocoin transections. As the name implies, it is a chain of blocks . A block is a record of accepted transections maintained via cryptographic functions on powerful computers and GPUs known as nodes.Each block is a combination of hash of previous block extending upto the initial block from where transections has initiated and root of current transection with time and nonce. Each node of the blockchain after checking and validating the transection, store a copy of it on ledger and than transmit the information to other nodes for validation and independent storage. In this way, there are multiple checks and balances of the transections.

Bitcoin unlike it's name, is not any physical currency which you can touch, hold in your wallets or draw from ATMs or banks. It is a digital asset popularly called blockchain based cryptocurrncy characterised by ita decentralised and non repudiable nature, transparency and annonymity, Bitcoin released by mysterious satoshi nakamoto unleashed the magic of cryptocurrncy to the world with its SHA 256 (secure hash algorithm) encryption and concepts of Proof of work.

By saying that it is a decentralised asset, we mean that there is no single authority to control it. It is based on peer to peer network. So you have total control over it. Unlike traditional financial system, where banks have control over customer funds.

Decentralized nature leads to *annonymity* which means unlike traditional banking system, financial details and adeess is not known to anyone. Although there is a unique bitcoin adress but tracing it back to reach user is almost impossible. It is this unregulated and anonymous nature of the coin, which makes some people to critisize it for being having great potential to be used for illegal purposes.

Bitcoin transections are almost instantaneous, which means that they reach your peer sitting anywhere in the world with the click of button. Worth mentioning point is the small amount of transection fee that you need to pay. But one thing that we need to be cautious about is the non repudiable nature which means that once your transections reaches recievers node, there is no way to get that back unless receiver wishes to pay back.

In traditional system, we often face server down problem. As decentralised system is based on multiple nodes, all nodes can't be down at the same time.

As all transactions are recorded on blockchain in the form of blcoks . Blocks can't be edited. These transaction are accessible to everyone . So you can see transactions of everyone making blockchain more transparent. In traditional banking system, only banking authorities have accessi to customers transaction .

There is no denial of the fact that price of cryptocoins can go either ways.However, ever since launch of Bitcoin price has touched moon and at times intraday variations are significant. In traditional system, such changes are not seen.

As Bitcoin is a digital currency. It ia not something to be drawn from ATMs . It is stored in digital wallets secured with complex keys. Therefore, is very much secure than physical currency.