In general we associate the word Blockchain with Bitcoin. In some way it is valid but in actual it is not. Let’s simplify everything and I will tell you about difference between Bitcoin and Blockchain with a simple difference table and easy explanation.
|1. Bitcoin is a cryptocurrency made by using blockchain technology.||1. Blockchain is a whole new technology which is decentralized distributed ledger.|
|2. Without blockchain, Bitcoin can’t be exist.||2. Blockchain is a technology which has much more applications, Bitcoin is one of them.|
|3. It represent anonymity.||3. It shows transparency.|
|4. Bitcoin has limitation till currency exchange.||4. It can execute smart contract, transfer information or property ownership too.|
What is BITCOIN
- Bitcoin is the first cryptocurrency that based on blockchain technology. It was founded by Satoshi Nakamoto with a intention of decentralized currency.
- However the fist application as a currency of blockchain is so much popular nowadays but back that time when he made this currency, no one trusted. As time pass, people started seeing worth of blockchain technology that made Bitcoin so valuable.
- As I said the intention behind Bitcoin is to make this currency decentralized from the government, it doesn’t reveal the information of buyer and seller. That makes it anonymous.
- Although there is disadvantage of this anonymity. It can be use in gambling, money laundering or any other illegal activity.
- Bitcoin has limitation in use, just as a currency. It can only use in trade, in exchange of anything like payment. Because it was intend to make it like this, it fulfills it’s purpose.
What is BLOCKCHAIN
- Blockchain is a very new technology with a decentralized distributed leger. It is a public leger which allows anyone to see the details of transaction.
- It is a whole new technology which can use in various creative way. The first and successful application we had seen was as a Cryptocurrency. It widely use now as a Bitcoin, Ether, Ripple, Dogecoin etc.
- Because a technology use a public leger, all the information available publicly. So, blockchain is more transparent technology.
- Using blockchain, we can make a smart contract which can execute after some specific conditions. We can also use it for a property ownership or shareholder ownership. It was successfully tested in a democratic election too in an African country.
You may also like : Difference between Bitcoin and Ethereum