NOTICE: As a security token, offerings of USPC must comply with US Federal securities laws.

What is the blockchain?

Unfamiliar with blockchain technology? Have no fear! This article will explain the basics of what the blockchain is and how it works, as well as why it matters.

Blockchain technology has gone mainstream, as more companies and payment services than ever before have begun accepting cryptocurrencies as a payment option.

As such, more people than ever before have sparked an interest in learning as much as possible about it.

While not everyone is familiar with blockchain technology, certain people might have specific fears about learning more about it due to its usage of cryptography, anonymity, and the sheer magnitude of content available out there.

However, if you are interested in learning what the blockchain is, have no fear, as today, we will explain the basics of what you need to know about the functionality of the blockchain and why it’s important to the finance space and beyond.

The Blockchain and Its Functionality

In the simplest terms, a blockchain is essentially a list of blocks, where each block gets added one next to another, where every subsequent block within the list shares a bit of data from the previous block, alongside new generated data regarding a specific activity that occurred on top of the network. They are limited in file-size.

In more technical terms, a blockchain is essentially a distributed network that has a list of records that grows on a consistent basis, which is called blocks. They get linked together by utilizing a specific cryptographic algorithm, where each block features a cryptographic hash of the previous block alongside the transaction data.

The main difference between a centralized database and the blockchain is how its data gets structured.

A blockchain can collect information together in groups, which hold sets of information. Each block has a specified storage capacity, depending on the blockchain network’s specific rules, and when they get filled, they link to the previous block and form the chain.

Let’s imagine, for example, that someone wants to send a payment. Person A would initiate the process and sign the transaction to send a cryptocurrency to person B.

Then, miners within the network will need to confirm that the transaction in question is legitimate, or in other words, ensure that Person A has the right amount of cryptocurrency in the wallet that is being sent.

This is typically done by having the miners use computer hardware, such as graphic processing units (GPUs), in combination with the proper software to validate the transaction. Upon validation, the transaction occurs, the miners get rewarded with the network’s native cryptocurrency, and the block gets added to the one before it.

The first block that was ever mined within a blockchain is known as the “genesis block.”

Keep in mind, however, that numerous types of information can get stored on the blockchain, while the main and most popular use-case thus far has been for transaction processing.

Numerous blockchain networks have introduced different consensus mechanisms. The one described above is known as Proof-of-Work (PoW), but there’s also Proof-of-Stake (PoS), for example, which does not require expensive mining hardware but allows users to stake their tokens to secure the network.

Why Blockchain Technology Appeared

Most traditional databases are centralized, or in other words, the company that has issued the specified service has full control over them, and if a server goes offline or if electricity suddenly runs out, downtime can be experienced.

On the other hand, the blockchain lives on top of numerous computers, known as nodes.

All of them feature the exact same data surrounding the blockchain’s size, block height, hasharate, and other similar data. This ensures that the network remains as decentralized as possible.

This means that if any one of these nodes goes offline, the network will not be impacted in any significant way. Furthermore, no single authority has any control over the blockchain, which means that they cannot censor anyone, ban them, or remove them from the network.

Due to its decentralized structure, it is extremely difficult and expensive for hackers to potentially compromise the network, as they would need to somehow gain access and control over 51% of all of the nodes that make up the network, which is nearly impossible to accomplish.

Furthermore, the most popular blockchain networks out there have a high level of transparency, which allows anyone to view each transaction using their personal node or through leveraging a blockchain explorer, where they can review everything live.

Remember that each node features its own copy of the entire chain, which gets updated at the point in time when new blocks get added.

While you cannot connect or know who the owner behind a specific wallet address is, you can see that the native cryptocurrency did indeed move from one cryptocurrency wallet to another.

The Future of the Blockchain

Hopefully, now you have a much broader perspective as to what a blockchain is and how it works.

The main issues that blockchains aim to solve are transactions using virtual currencies so that users cannot “double spend” or spend the same amount of money twice whilst also maintaining a high level of security, privacy, anonymity, and transparency in their operation.

Many projects are now trying to solve the “blockchain trilemma,” where they are trying to create a network that has security, scalability, and decentralization. Typical blockchain networks will only feature two of these three traits. It is likely that in the future, we will see much quicker and more efficient blockchains.

Necessary Disclosures
Informational Purposes for Discussion Only

This general analysis is for general informational purposes only and does not constitute a prospectus, an offer document, an offer of securities, a solicitation for investment, or any offer to sell any product, item, or asset (whether digital or otherwise). The information set out in this general analysis is for community discussion only and is not legally binding.

No Responsibility or Obligation Regarding the Provision or Maintenance of Information

USPC and its affiliated persons and their respective shareholders, members, officers, directors, managers, employees, counsel, advisors, consultants, and agents (“Representatives”) reserve the right, in their sole and absolute discretion with or without notice, to alter any and all of the information of this general analysis.

You acknowledge that: (1) the information contained in this general analysis is subject to change without notice, and no one shall assume from the lack of any updates to this general analysis that the contents of this general analysis have not changed since the date of this general analysis; (2) this general analysis could become outdated due to changing circumstances; and (3) USPC or any of its Representatives does not hereby obligate itself in any manner to periodically or otherwise to update the information in this general analysis or to maintain the availability of any information in this general analysis.

No Advice

Nothing in this general analysis constitutes business, finance, legal, or tax advice. You agree to consult professional advisers before engaging in any activity related to the information provided in this general analysis.

Not an Offer for Any Securities or Investment

This general analysis does not constitute an offer of securities, a prospectus, an offer document, or solicitation for an investment of any kind. Information contained in this general analysis is not an offer to sell securities or the solicitation of an offer to buy securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

You acknowledge that: (1) this general analysis and the information shown herein is not an offering of any securities nor a solicitation of an offer to buy any securities and (2) this general analysis and the information herein shall not be construed as any description of the business of USPC or any of its Representatives in conjunction with any offering of securities.

Nothing Legally Binding

This general analysis does not constitute or imply a contract or an offer to enter into a contract. This general analysis is provided solely for informational purposes only and does not constitute any binding commitment by USPC or any of its Representatives. No person is bound to enter into any contract or binding legal commitment in relation to anything in this general analysis.

No Liability, No Representation and Warranty Regarding Information

Neither USPC or nor any of its Representatives shall be held liable for any use of or reliance on the information described and/or contained on this general analysis. USPC and its Representatives do not and do not purport to make, and hereby disclaims, all representations, warranties or undertaking to any entity or person (including without limitation warranties as to the accuracy, completeness, timeliness, or reliability of the contents of this general analysis, or any other materials published by USPC or its Representatives). To the maximum extent permitted by law, USPC and its Representatives shall not be liable for any indirect, indirect, special, exemplary, incidental, consequential, or other damages or losses of any kind, however caused and on any theory of liability, whether in contract, strict liability, or tort (including, without limitation, any liability arising from default or gross negligence on the part of any of them, or any loss of revenue, income or profits, and loss of use or data) arising in any way from the reading of this general analysis, including but not limited to the reliance upon or the use of the general analysis (including, without limitation, inaccurate information, errors, omissions, outdated data, etc.) or otherwise arising in connection with the same.

No person has been authorized by USPC or any of its Representatives to give any information or make any representation or warranty regarding the subject matter hereof, either express or implied, and, if given or made in this general analysis, in other materials or verbally, such information, representation or warranty cannot and should not be relied upon nor is any representation or warranty made as to the accuracy, content, suitability or completeness of the information, analysis or conclusions or any information furnished in connection herewith contained in this general analysis and it is not to be relied upon as a substitute for independent review of the underlying documents, available due diligence information and such other information as you may deem appropriate or prudent to review. USPC and its Representatives expressly disclaim any and all liability for express or implied representations or warranties that may be contained in, or for omissions from or inaccuracies in, this general analysis or any other oral or written communication transmitted or made available to you.

Any historical information or information based on past performance included herein is for informational purposes only and has inherent limitations and is not intended to be a representation, warranty, or guarantee of future performance. Projected performance data shown constitutes “forward-looking information” which is based on numerous assumptions and is speculative in nature. Actual results may vary significantly from the values and rates of return projected herein.

Your Responsibility to Verify Information

You will have the sole responsibility for verifying the accuracy of all information furnished in this general analysis. There shall be no recourse against USPC and its Representatives in the event of any errors or omissions in the information furnished, the methodology used, the calculations of values or conclusions.

No Affiliation

USPC or its Representatives does not imply any affiliation with, or endorsement by, any third party. Such references in this general analysis are for illustrative purposes only.

Regulatory Approval

No regulatory authority has examined or approved, whether formally or informally, of any of the information set out in this general analysis. No such action or assurance has been or will be taken under the laws, regulatory requirements, or rules of any jurisdiction.

Legal Compliance

You will and shall at your own expense ensure compliance with all laws, regulatory requirements and restrictions applicable to you.

Join The Waitlist

USPC is slated to launch in late November, 2022, and we’re currently building our waiting list for early supporters who want to get in on the action.

Play Video