WAX ON: Why Do You Need A Blockchain?
Channel: WAX NFTs
Date: 2019-10-31

Learn more about WAX and our blockchain: https://go.wax.io/0957c  

Check out other videos from the WAX ON series: https://go.wax.io/WAXON
----
Video Transcript 

I'm going to start today with two strongly held opinions. First, a blockchain is the worst possible way to do just about anything. And second, I'm a big believer in blockchain technology. Now you're probably thinking, well, aren't those two statements contradictory? I know it seems that way, but let me explain. 

We first have to remember what a blockchain really is. It's a database, not that mysterious. But it's a database with a few special properties. And what are those properties? Anyone can add information to a blockchain, like creating a personal account, provided you follow the rules that govern that blockchain. 

In other words, you don't need anyone's permission. The authority to write to the blockchain database is open. It's not centrally controlled. This is what we mean by the term "decentralized," and no one can add or change this information once it's been stored in the blockchain. When information is written into a block that forms the basis for a blockchain, it's locked, you can't modify it. 

Personally, I think this feature -  the immutability of blockchain records - is what makes blockchain technology almost magical. It's an uneditable database that anyone can use, yet it always maintains a perfect snapshot of what happened in the past. A perfect picture of say, who owns all the world's Bitcoin at any given moment. 

Now you might be asking yourself with all these amazing qualities, why do I think that a blockchain is the worst possible way to do just about anything? That's because I haven't explained the Achilles heel of blockchain, the crippling drawbacks of doing something on a blockchain that are so monumental, they render the blockchain technology impractical in most cases. So those two drawbacks are the fact that blockchain technology is painfully slow, and it's very difficult to scale to large volumes of transactions. 

You see the very things that make blockchain technology so effective as a trust machine have a crippling effect on its commercial scalability, at least for now. 

Now that doesn't mean we can't use blockchains today, but like all technologies, there are trade-offs. So what are the things that a blockchain does really well? So well that we can live with the big shortcomings that come with it, and yet still come out way ahead? 

In my next video, I'm going to discuss just that: the five known use cases where a blockchain has no equal in the world.

Let the community know what you think! Join us at:

• Twitter - https://go.wax.io/WAX-Twitter
• Discord - https://go.wax.io/Discord
• Telegram - https://go.wax.io/WAX-Telegram
• Reddit - https://go.wax.io/WAX-Reddit
• Facebook - https://go.wax.io/WAX-Facebook

---

Disclaimer

The information contained herein is for general informational purposes only. Nothing herein shall be construed to be financial, legal, or tax advice. The content of this video is solely the opinions of the speaker(s). Buying and selling cryptocurrencies poses considerable risk of loss. The speaker(s) does not guarantee any particular outcome. Past performance does not guarantee future results. You should do your own research, incorporating your own personal financial situation and risk tolerances, before making any purchase or trading decisions. The speaker(s) is not an investment advisor, broker or dealer. Your financial decisions are solely your responsibility.