If you have been paying attention to the rise of cryptocurrency, then you already know that blockchain technology is a huge component of the current economy. They know that blockchain is revolutionary and that it could potentially help millions of industries in a variety of different ways.
Everyone knows that blockchain is important. Most people are very well-aware that blockchain is what Bitcoin is based on, but what they might not be aware of is the fact that Bitcoin matters more than blockchain.
It's true. Bitcoin really is more important than the invention that made it possible. Surprised? Don't be. Once you really think about it, you'll realize that Bitcoin's importance is grossly underestimated.
Though blockchain made Bitcoin possible, most programmers wouldn't have cared about blockchain without Bitcoin.
When blockchain was first invented, the overall consensus of programmers was, "So what?" It wasn't that big a deal, or so it seemed. Most programmers didn't really know about it, and therefore didn't tinker with it.
One of the reasons why Bitcoin matters more than blockchain is because its impact. Bitcoin was the first introduction many leading programmers got to the concept of blockchain.
When developers noticed how Bitcoin's anonymity worked, they became interested in blockchain—and that interest helped spark a huge wave of innovation that still ripples on today.
It also was the first introduction investors had to blockchain.
Along with being a first introduction to programmers, the proliferation of Bitcoin also acted as blockchain's first introduction to investors. By showing how it made Bitcoin transactions easier and more secure, investors' interests were piqued.
Thanks to that initial introduction to the concept of blockchain, Bitcoin managed to help bring about a massive amount of investments in concepts that otherwise would have been ignored.
Bitcoin managed to establish itself as a currency, and paved the way for other cryptocurrencies too.
Can we take a moment to look at the sheer accomplishment of what Bitcoin has managed to do? By creating itself as the world's first cryptocurrency, it's managed to create a new investment marketplace and also create proof that the concept of cryptocurrencies can work.
Without Bitcoin, there would be no Ethereum, no Dogecoin, and no Bitcoin Cash. That's pretty huge, considering that Ethereum alone has a market cap reaching beyond the billion-dollar mark.
The creation of Bitcoin also kickstarted a lot of innovation in banking.
Many of the top influencers in the cryptocurrency world are really adamant about Bitcoin's value—and for good reason, if you take a look at the impact it's had on banks. Bitcoin managed to show banks that there are ways to "level the playing field."
Using Bitcoin, people can transfer money across the world without ever needing help from a bank. All they have to do is pay someone Bitcoin, and then have the person sell Bitcoin for fiat money on one of the best cryptocurrency exchanges.
Banks now have to find a way to get people to continue using them for transfers—and that means that they may have to do away with the high fees they charge.
There's also the fact that Bitcoin can be a huge cushion to people who live in unstable, underbanked areas.
Banking is a service many people in developed countries take for granted. Being able to store your money and access it with the swipe of a debit card means you can always travel with some confidence.
But, when you're underbanked, even making sure that you have a way to access your cash isn't easy to do. In some areas that are very unstable or war-torn, there's not even a guarantee that your fiat money will be worth anything tomorrow.
In areas where this kind of situation is prevalent, Bitcoin matters more than blockchain technology because it gives people who are struggling a decentralized way to store money in a currency that won't fold overnight. They can also access it anywhere, without the help of a central bank.
Experts believe that one of the ways Bitcoin will become valuable in our society is as a "fall-back" for people who are underbanked. More bank-like services means more stability, which, in turn, means better results for everyone.
Bitcoin creates jobs, too.
Though blockchain definitely has created plenty of jobs in the computer science world, few things can rival the creation of Bitcoin. Bitcoin alone has caused a massive explosion in new jobs throughout a variety of different industries.
Bitcoin's invention has led to writers creating books about cryptocurrency investments, financial professionals on Wall Street specializing in Bitcoin-based funds, and has even helped cybersecurity experts create new forensics specializations based on Bitcoin transactions.
A lot of people have found the career niche they always wanted thanks to Bitcoin, and for them, there's no doubt that Bitcoin matters more than blockchain's beginnings do.
For many investors, Bitcoin has become priceless.
If you were one of the people who were wise (or lucky) enough to invest in Bitcon before the big boom, then you already know why so many people love cryptocurrency.
There are a lot of people who have become millionaires due to the creation of Bitcoin, and for them, the opportunity Bitcoin has offered them is one they will never forget.
Blockchain, while awesome, hasn't been as user-friendly for people to see as an opportunity. As a result, it wasn't as relevant.
Let's not forget the lessons that investing in Bitcoin taught us.
Prior to Bitcoin's invention, there was a pretty cut-and-dry idea of what the word "currency" meant. It was assumed to be something that only governments could create, and that only had value if governments were backing it.
Well, we sure learned our lesson, didn't we?
Bitcoin has taught us a lot about investing and looking for things outside the box. It's created solutions to problems we never knew we had.
There's also the tax revenue that Bitcoin has offered up.
If you take a look through the eyes of Uncle Sam, there's no question to whether Bitcoin matters more than blockchain tech. The Bitcoin boom, as it's known today, added a huge amount of value in terms of the wealth that was gained from investors.
With all the money investors made off of Bitcoin, the IRS was able to take a sizable share of that cash. Thus, the state got a lot more tax revenue than they would have if Bitcoin never existed.
Finally, there are all the different industries that have ties to Bitcoin.
Yes, blockchain technology has a lot of industries that could potentially be tied to it. However, Bitcoin has even more industries, including specific companies, that have become irrevocably tied to its success.
Many people are now choosing to invest in Bitcoin without owning it by investing in companies that are related to it, such as NVDIA or cybersecurity firms that specialize in Bitcoin wallet security.
So while Bitcoin may have started off as a concept with no concrete world changes, it's clear that the currency has started to impact life outside of cyberspace.
As a result, Bitcoin matters more than blockchain's invention does.