FAQ

Frequently Asked Questions

What are Cryptocurrencies

Cryptocurrencies, often referred to as "crypto," are digital currencies that operate independently of traditional governing bodies like governments or banks.
Unlike conventional money, cryptocurrencies exist on a decentralized and transparent network spread across numerous computers globally. The most famous example is Bitcoin, but there are thousands of different cryptocurrencies, each with unique features.

What Is The Blockchain?

A blockchain acts as a public digital ledger for cryptocurrencies, recording every transaction in a secure, chronological, and irreversible manner. Each transaction is grouped into "blocks," and each block is chained to the next, forming a comprehensive record of each transaction that anyone can access.
This system ensures transparency + security, preventing fraud and unauthorized activity. The blockchain's decentralized nature means that independent computers worldwide verify transactions through a consensus process, maintaining the integrity of the entire system.

What Are Tokens + NFTs?

Tokens are digital assets that can be traded on blockchain platforms. In the context of art, platforms allow creators to issue unique tokens for artworks they wish to sell. NFTs, or Non-Fungible Tokens, represent one-of-a-kind assets or collectibles on the blockchain. They are unique, scarce, and have value based on demand + rarity, similar to traditional art pieces or collectibles.
Why do NFT’s matter?
Unique: Each NFT has unique information or attributes that set it apart from other tokens. This uniqueness is verified through the blockchain.
Ownership: When you purchase an NFT, you gain the ownership right of a unique piece of data on the blockchain. The details of the ownership, such as who owns the token and when the ownership was transferred, are transparent and can be tracked.
Interoperability: NFTs can be built using a standard called ERC-721, this standard allows for each token to have a unique value and information set.
Content Variety: NFTs can represent digital files, such as artwork, music, videos, items in a game, domain names, and even tweets.Due to their unique characteristics and potential use cases, NFTs are revolutionizing various industries, notably digital arts, gaming, and entertainment.

What Is A Digital Wallet?

To interact with cryptocurrencies, you need a digital wallet, which serves as your digital address for sending and receiving cryptocurrencies. A wallet consists of a public key, which is visible to others, and a private key, which you must keep secure. Digital wallets are essential for trading and holding digital assets.

What Is A Smart Contract?

Smart contracts automate agreements on the blockchain, executing terms directly between parties without intermediaries.
They are immutable and transparent, ensuring that all parties adhere to the agreed terms without the possibility of tampering.

What Is A Decentralized Autonomous Organizations (DAOs)

DAOs are collaborative entities that operate on blockchain technology, allowing people worldwide to organize + make decisions collectively without traditional management structures. They represent a new model for governance and collaborative efforts, utilizing blockchain's transparency and security.