Written by Mark Bailey
CryptoFinney came to Earth from a faraway planet looking for answers. He wanted to understand cryptocurrencies and blockchain technology. Finney quickly discovered that blockchains were distributed ledgers secured by cryptography. He learned that algorithms and governance structures maintained these ledgers, and that these varied from blockchain to blockchain.
"What is this one?" asked Finney upon discovering EOS.
"Delegated proof-of-stake? How interesting!"
While some popular coins like Bitcoin and Ethereum had network participants solve complex mathematical problems to validate transactions and receive newly-minted tokens, EOS did things differently. Network participants staked their tokens in the network and then used their stakes to vote for Block Producers that validated transactions and kept the network software running correctly.
"Peculiar," said Finney of the arrangement.
"It's so complex, but from this complexity comes free lightning-fast transactions."
Continuing to study EOS, Finney learned about its underlying EOSIO technology. He found out that this tech made it easy for developers to create applications in the EOSIO ecosystem, which was growing very quickly. People were building games, trading apps, digital collectibles, and more with EOSIO. Finney was amazed by all of the decentralized applications, or DAPPs, which led him to Ethereum.
Finney learned that nodes in the Ethereum network each contained an Ethereum Virtual Machine (EVM), which allowed users to run contracts containing customized code on the network. Although these contracts had to be written in a strange language called Solidity instead of in a more common language like EOSIO's C++, Finney found a thriving DAPP community built on Ethereum. There were decentralized finance (DeFi) apps, non-fungible token (NFT) marketplaces, and games galore. Researching Ethereum led Finney to wonder more about the fundamentals of crypto.
"So what about Bitcoin?" he asked.
Bitcoin was like digital gold, Finney learned, secured by miners solving math problems as part of a proof-of-work algorithm. There would only ever be 21 million of the tokens minted, ensuring the coin's scarcity. Despite Bitcoin's slow and expensive transactions relative to coins like EOS, this single token was responsible for a large portion of the total value of all cryptocurrencies. After giving it some thought, Finney decided that made Bitcoin seem trustworthy.
The diabolical Peter Shift began closely monitoring Finney after finding out that he might be made of gold. Mr Shift, who spent most of his time sowing fear, uncertainty, and doubt (FUD) about the crypto community, decided to instill in Finney a negative impression of this community. So Mr Shift began bombarding Finney with advertisements for shady exchanges, bunk Discord groups, and links to inaccurate Reddit posts. Soon, Finney was drowning in misinformation.
Wanting to invest in cutting edge projects, Finney sent funds to a company he heard about on Discord. When he checked back later to see how his investment was doing, the company was nowhere to be found. Neither were the funds he had invested. Finney had fallen prey to an exit scam, where a business that seems legitimate suddenly evaporates with investor or client money.
Hoping to recoup his losses, Finney invested heavily in an initial coin offering (ICO) that promised to revolutionize commerce but delivered nothing at all.
"How can they do that?" he asked himself.
"I really need to do a better job of researching before investing!"
Inspired by Reddit, beset with fear of missing out (FOMO), Finney began trading crypto on exchanges. But he didn't really know what he was doing. Taking a step back to learn more, Finney realized that exchanges held the private keys which ultimately controlled his funds. Even though he trusted these exchanges, he decided to move his coins to wallets that he alone controlled.
"Not my keys, not my crypto," he realized.
As Finney became more sure of himself, he started making bigger and bigger trades. Then he watched as the value of one of his largest positions dropped like a rock following unfavorable media coverage. Finney was horrified.
"I'll never invest more than I can afford to lose again," he vowed.
Getting deeper and deeper into Crypto, Finney soon began learning about smart contracts. These were contracts that were executed automatically by computer code. Finney found a smart contract that would loan him one form of currency if he deposited another cryptocurrency to its address. He found other smart contracts designed to perform even more complex procedures.
"This could improve so many systems," he said.
"From banking to real estate to things beyond my imagination!"
"What is this?" asked Finney, discovering a mysterious communication box.
"I've been searching for clear and truthful information about crypto. Could Cryptowriter be it?"
For Finney, Cryptowriter was it. He plugged into BTCwriter, EOSwriter, and ETHwriter, finding all of the answers he'd been looking for.
Follow Finney on his journey to discover cryptocurrency and blockchain technology.