NEW INVESTMENT IN TECHNOLOGY
Business models, and processes to drive new value for customers and
employees and more effectively compete in an ever-changing digital
The global crisis and the advent of the digital era completely reshaped our perception of money and the way we use it. The defining attributes of money and wealth in the digital era are mobility and flexibility.
Digital investing brings investments closer to the people, making them simpler and easily understandable. That should come with greater transparency, while bundled or structured investment products in the past have been characterized by opacity and hidden costs.
We believe digital engagement will continue to gain importance in financial instruments.
THE DIGITAL COIN
OR THE MONEY OF THE FUTURE.
Cryptocurrencies, sometimes called virtual currencies, digital money/cash, or tokens,are not really like U.S. dollars or British pounds. They live online. A digital currency in which encryption techniques are used to regulate the generation of units of currency and verify the transfer of funds, operating independently of a central bank.
Today cryptocurrencies have become a global phenomenon known to most people. While still somehow geeky and not understood by most people, banks, governments and many companies are aware of its importance.
Every cryptocurrency is a little different, but most of them share these basic characteristics:
After you send a cryptocurrency and the network has confirmed it,
you can’t retrieve it. Cryptocurrencies are one way, no chargebacks.
Anyone can open a wallet, no ID required, and have varying stages of anonymity depending on which token you utilize.
THEY’RE FAST AND GLOBALLY ACCESSIBLE.
Entries are broadcast across the network immediately and are confirmed
in a couple of minutes.
THEY’RE BUILT TO BE VERY SECURE.
Cryptocurrencies use the latest cryptographic techniques, but they’re
in early development.
THEY HAVE A CONTROLLED SUPPLY LIMITED BY THE NETWORK.
Bitcoin is a software file stored on computers across the world that acts as a ledger of financial transactions called a “blockchain.” The ledger contains account numbers called “public addresses” associated with balances of Bitcoin. People can move around balances of Bitcoin if they have the passwords (or “private keys”) to those accounts using software called a “cryptocurrency wallet” Bitcoin is the name of both this system and its unit of the currency. You can phrase it like this, “balances of Bitcoin tokens are moved around on the Bitcoin blockchain by creating transactions in Bitcoin wallets.”
Technically Blockchain is first and foremost a database protocol (a set of rules) for sorting data into “blocks,” but it’s easier to think of a Blockchain as a type of database. Essentially, it is a spreadsheet where data is stored in cells (or “blocks”) that are linked together in order by cryptographic codes called “hashes.” This database is generally decentralized and distributed on many computers instead of being stored in one central location or managed by one central entity.
In Bitcoin, blockchain is generally used to describe both the public ledger where all transaction data is stored and technology (the protocol) behind the ledger. Many who aren’t believers in Bitcoin as a currency / digital asset are supporters of blockchain technology and its many applications both within finance and beyond.