✨NFTs have become a major trend in 2021, dominating the digital world.
💥The collapse of the economy in 2008 laid the groundwork for the rise of cryptocurrency.
⛏️Bitcoin introduced the concept of blockchain and proof-of-work verification.
🌐Ethereum was developed as a more flexible and inclusive cryptocurrency.
🌍The environmental impact of cryptocurrency is a growing concern due to its power consumption.
What are NFTs and why are they popular?
—NFTs, or non-fungible tokens, are unique digital assets that can represent ownership of digital or physical items. They are popular because they provide a way to buy, sell, and trade digital art and collectibles.
How did the collapse of the economy in 2008 lead to the rise of cryptocurrency?
—The collapse exposed flaws in the traditional banking system, leading to a loss of trust. Cryptocurrency, specifically Bitcoin, emerged as an alternative decentralized currency that could bypass centralized institutions.
What is the difference between Bitcoin and Ethereum?
—Bitcoin is primarily a digital currency, while Ethereum is a platform that enables the creation and execution of smart contracts and decentralized applications (DApps). Ethereum introduced the concept of programmable money.
What is proof-of-work and why is it important in cryptocurrency?
—Proof-of-work is a consensus mechanism used to verify and validate transactions on a blockchain. It ensures the integrity and security of the network by requiring nodes to solve complex mathematical problems. This helps prevent double-spending and fraud.
What are the environmental concerns associated with cryptocurrency?
—The power consumption of cryptocurrency mining, particularly with proof-of-work systems, is a significant concern. It requires vast amounts of energy, which contributes to carbon emissions and environmental degradation. There is a need for more sustainable alternatives.
00:00NFTs and cryptocurrency have dominated the digital world in 2021.
08:35Bitcoin and Ethereum have become key players in the cryptocurrency market.
12:43Cryptocurrency does not address the underlying issues with the banking industry.
15:58Bitcoin's proof-of-work system has resulted in an escalating environmental impact.
