Vitalik Buterin – the dude who created Etherium 3 years ago at the age of 19, talks with Naval Ravikant – Founder and CEO of Angellist…..
The bottom line – Blockchain will be creating a disruption in the financial industries – and I can see why banks are nervous .
Naval likens crypto currencies to a brain virus – once you know how they work that’s all you think about!
Buterin segments the world into those that who’s already heard of bitcoin and those who haven’t
So – What is a Crypto currency?
“A peer to peer digital currency – a Platform for distributed applications in a trusted decentralised way . “
“It’s a system to record how much money has been spent and by whom …How much money a person has the right to spend at any given time “
“A central database to store how much money everyone in the blockchain has” – but the genius is how to create this in a decentralised way – where there is no “central server”
“A decentralised system that contains some type of shared memory”
Etherium is a bunch of decentralised applications that can be created to account for transactions
Vitalik likened the base of a crypto to a vending machine – A vending machine encoded a set of rules -you put $2 in machine – water comes out – you don’t and water comes out – that’s Bad – you do and water comes out – that’s good .
Can replace money Wall Street , protocols , visa – within 5-10 years
Etherium is about Blockchain that understands a general purpose programming language – Buterin likens it to a platform – similar to an IOS or Android – where applications can be created on the platform
Blockchain currently processes 3 transactions per second – will max out at 4
Etherium processes 5 will max out at 6
Current transactions – visa , IOT – is 100 of thousands per second – long way for crypto to replace – but it will!
Posted on September 20, 2017