A Visual Guide to Investing in the Blockchain Ecosystem

The following content is sponsored by Global X.

Visual Guide to Investing in the Blockchain Ecosystem


A Visual Guide to Investing in the Blockchain Ecosystem

Many technologies are coined as “disruptive”, but only a select few can be considered transformational.

One such technology is blockchain, because it has the potential to permanently change our economic, legal, and political systems.

In this infographic from Global X, we provide an overview of the entire blockchain ecosystem, and look at some different ways investors can gain access to it.

Blockchain: A Decentralized Network

In its most basic sense, a blockchain is a type of database with several unique properties.

One of these is decentralization, which means no single party has control over the data. To see why this matters, consider a traditional database where users store their data on a central server. The server is ultimately controlled by a single entity with the authority to modify or delete data.

In the event that this authority is compromised, users of the database can be left at great risk. A blockchain, on the other hand, is distributed across many participants in a peer-to-peer network. This means that all users play a role in verifying the integrity of the database, as well as verifying new additions.

Furthermore, blockchains are designed with an append-only structure. This means that users can only A) search and retrieve data from the blockchain; and B) add more data onto the blockchain.

Blockchain Structure

A blockchain is made up of “blocks” which contain three items.

First, (Read more...)