Conversations For The Black Family: Cryptocurrency

With the closing of 2020 new ways of investing have been very apparent. Here enters our conversation about Cryptocurrency. Not even that we have to invest, however understanding the changing economic climate is imperative. In this case, cryptocurrency and the engine running it called blockchain are the important topics of the industry. You’ll be able to understand more with these in mind.

Our Conversations for the Black Family Blogs are our opportunity to encourage family conversation of the topic we highlight.  On a regular family night, the topic could be brought up and Mom and Dad and the kids would notice each other’s understanding of the topic. That could help, inspire, create! 

That’s what this is about so check it out, Cryptocurrency is a digital currency secured by cryptography.  Cryptography for Bitcoin is the practice and study of techniques for securing communication and data in a blockchain database.  Blockchain is a specific type of database that store data blocks that are chained together.  Once new data fills the block it gets chained onto the previous block.  When a block is filled it becomes a permanent part of a timeline and thus creates a database for every Bitcoin transaction ever made.  These blockchain databases or nodes are operated by separate individuals or groups of people making the network decentralized.  If one node has an error in it’s data it can use the thousands of other nodes as a reference point to correct itself.  This prevents one or various nodes from altering information held within it through cross-referencing.  In order to make a change in the system a majority of the decentralized network’s computing power would have to agree on said changes.  

The decentralized nature of Bitcoin’s blockchain allow all transactions to be viewed by having a personal node or by using blockchain explorers.  These explores allow you to see live transactions and the network allows security threats to be traced.  The Bitcoin protocol is built on a blockchain as a means to transparently record a ledger of payments.  The “unknown” said creator, Satoshi Nakamoto referred to it as “a new electronic cash system that’s fully peer-to-peer, with no trusted third party”.  This makes the blockchain technology look attractive to banks and other companies looking to move finances and data much faster and more secure.

Bitcoin and other cryptocurrencies are now being bought, sold and traded on platforms like www.Coinbase.com   This allows you to take advantage of this opportunity if you choose to.  

Bitcoin started being implemented in 2009.  In 2011, bitcoin’s price was $0.30.  In 2012, it started at $5.27 and the Bitcoin Foundation with lead developer Gavin Andresen was created to promote is development and uptake.  In 2013, bitcoin started at $13.30 rising to $770  and reached $1,163 before declining to $152 by Jan 1, 2015.  Bitcoin showed  a lot of volatility and prices tarted at $998 in 2017 and then went on to reaching an all time high of $13,412 on Jan 1, 2018.  Jan 1 2019 bitcoin came down to $3,747.  In 2020 several major companies including MicroStrategy, Square, and Mass Mutual Life insurance purchased   Hundreds of Millions of Dollars of Bitcoin and by November bitcoin’s price reached another all time high of $19,860.

Now with 2021 approaching we see bitcoin at $25,000 and companies investing in it and interested in it’s technologies.  This is why we feel this topic is worth exploring and talking about.

Here are a few YouTube videos to help expand on some of the ideas we spoke of here:


Feature Photo Credit: Medium.DataDrivenInvestor.com