Getting confused with terms..... What is the difference between blockchain technology and cryptocurrency?

Getting confused with terms. What is the difference between blockchain technology and cryptocurrency?

A number of people I meet inevitably mix the two terms. This technology has taken the world by storm in such a short time, that unless you are working in this field, it can be very confusing. This short article will provide a basic understanding of the difference between the two.

One needs to understand that the main difference between both terms is the way that the distributed ledger technology is utilized. Until a few years ago, the only cryptocurrency blockchain technology one could find was Bitcoin and therefore, there was no distinction between the two. In the last couple of years, this has drastically changed, where different blockchain technologies were being built, therefore, diversifying the utilization of this technology from the cyrptocurrency aspect, to a number of different possible areas, such as the peer-to-peer for messaging systems to a decentralized name registry.

On the other hand, cryptocurrency is the utilization of tokens based on the distributed ledger technology. The tokens are involved in the buying, selling, trading and investing from a monetary perspective. Although, tokens are commonly used, these are currently used in relation to Bitcoin. Ethereum cyrptocurrency, for instance, would deal with an Ether, of which transactions are paid in gas.

As more businesses will continue investing in the understanding and utilization of blockchain technology, this will continue reaping its benefits in various fields and industries.

The author of this article, Denise De Gaetano may be contacted over www.denisedegaetano.com or else over [email protected]