Interview with a Dedicated Cryptocurrency/Blockchain Developer
The whole world is talking about it, some think it’s a bubble, some want to invest in it. What we can say for sure, is that the cryptocurrencies are a part of our lives already and people fear what they don’t understand and hate what they can’t conquer. So, let’s change that and get some answers from a person who has already integrated cryptocurrencies in his life. Meet Yevhen, Blockchain Developer, who is currently working on a joint project based in Switzerland, Hong Kong and Singapore.
The Interview with a Dedicated Blockchain Developer
How would you explain what a Blockchain is to your grandma?
Actually, I don’t even need to think a lot here because I had this conversation with my grandma recently. I explained it to her on the example of agriculture. I said that there is only one hen on the planet, it has a certain limit of the eggs laid, each new egg is given with a great difficulty and requires a lot of energy. Its eggs are extremely valued all over the world, but everyone understands that the hen will not live forever. Accordingly, the price of the eggs increases with the demand. Many use these eggs as currency, for barter exchange (games on the stock exchange). When the hen will lie the last egg – the price of the cryptocurrency will reach the critical mass.
What determines the value of cryptocurrencies?
As an example, Bitcoin’s value depends on:
- The money of idealists who believe that Bitcoin will be able to defeat the banking system and become a new world currency.
- The money of traders who brought their money to the stock exchange in an effort to earn and buy Bitcoins from miners and other traders, including single traders and financial funds.
- Companies producing ASICs, since if something happens with Bitcoin, they will actually go bankrupt because ASIC can only consider Bitcoin hashes.
- Companies that act as merchants. They allow shops to sell goods for Bitcoins, while the store will receive payment in dollars/euros.
- Yes, Illegal operations with money laundering/drug sales and other. Silkroad and analogs.
But in the classical sense Bitcoins are not supported by anything. However, there is such a notion in the economy as a supply and demand, as well as an “intrinsic value”. The more people want to buy Bitcoin (demand), the more it costs. And since the number of Bitcoins is strictly limited, the demand will only grow, as well as the cost.
What are all the major cryptocurrencies, and what is the difference between them?
Ethereum(“Ether”) – the currency of “smart contracts”. How do these “smart contracts” work? For example, you are having a bet with a friend. “Smart contract” removes the amount of the bet from the accounts and holds it until the contract conditions are met. This approach helps to reduce human interference and forces the machine to do the job. In the future, “smart contracts” can be applied to accounting, logistics, law.
Ripple – the fastest cryptocurrency. Most of the new cryptocurrencies appear due to small changes in the Bitcoin code, like Ethereum. But in the case of Ripple, the code is written from a scratch, ordered by venture funds (an investment fund focused on working with innovative enterprises and projects, investing in securities or shares of enterprises with high risk in anticipation of extremely high profits). Ripple was created to increase the speed of banking operations and save on them. The calculator on the official website of Ripple shows that if the turnover of the bank is $5 million, and the number of transactions is 300 thousand pieces per year, you can save $3.4 on each transaction. In a year the bank can save more than a million dollars.
Litecoin – digital money for fast transactions. It occupies 2 percent of the total market value of the cryptocurrencies, it’s 2.7 billion dollars. Litecoin appeared in 2011, thanks to the former Google engineer, Charles Li. Litecoin, as well as Ethereum, is a hard fork from Bitcoin. One of the few differences of Litecoin is the speed of processing transactions – it is faster than in Bitcoin. If blocks are created every 10 minutes in Bitcoin, then in Litecoin this happens faster – every 2.5 minutes. That’s why Litecoin can process more transactions than in the Bitcoin system. The amount of cryptocurrency is limited, and can not exceed 84 million units.
Dash – anonymous cryptocurrency. Dash takes 6th place in the list of cryptocurrencies. In total, there are more than 7.5 million units of this cryptocurrency, and it costs $327 per dash. This is another cryptocurrency, which appeared in 2014 as a result of a change in the Bitcoin code. The main difference from Bitcoin is complete anonymity. Bitcoin is anonymous until the owner of the wallet is found. That is, all Bitcoin transactions are already visible, but what is the use of them, if the sender and receiver are not known? If somehow the owner of the Bitcoin wallet becomes known, it will be possible to trace all the movements of his funds to the Bitcoin account even if he bought a cup of coffee 5 years ago.
Are cryptocurrencies in a bubble, will it burst, and what will be economically affected?
Personally, I do not consider cryptocurrencies a bubble. The only people who say so are those who did not have time to go on the wave of the HYIP. As I said earlier, there are concepts in the economy called a supply and demand, and an “intrinsic value“. As for the basic cryptocurrency, those jumps in the rate that many people perceive as a “bubble burst”, I consider only a small adjustments. Cryptocurrency has already become very tightly integrated into our lives, and it wouldn’t be the same as it was with MMM.
What does it mean to be a Blockchain developer?
What does it mean to be a Blockchain developer? First of all, it is necessary to understand that the Blockchain development as a branch appeared relatively recently. Here you can divide developers into 3 types:
- Blockchain engineer – core-developer with serious experience in system programming in C / C ++, Go or Java. An analog of the professional who writes the core for Linux.
- Blockchain developer is a developer with very good experience. An analog of a professional who writes a desktop application.
I refer myself to the last type. With the development of the Ethereum project, a lot of ICO (initial coin placement) began, a contract-oriented Solidity language and additions to it appeared. Being a Blockchain developer is to improve very quickly because the technology is relatively new. It means to follow the latest trends, hard forks. You need to learn new technologies: web3, Solidity, Truffle (for example, to work with smart contracts). However, do not forget that it is possible that after 2-3 updates your code will be invalid due to backward compatibility. Naturally, you should not forget about the community, try to ask questions, post your answers to StackOverflow, to create a Q & A database.
Blockchains are not something you can learn at the university, what courses/books/guides would you recommend?
First of all, as in any sphere of development, the most important is self-learning. Given that the sphere is new, there is relatively little material on it (in free sources). It is also necessary to search and study the documentation very carefully. For example, in Solidity the documentation is corrected almost daily. However, many educational platforms start to launch their courses with the support of the world’s largest companies and universities. Example – Coursera, edX and the rest. I strongly advise you to pay attention to the “Bitcoin and Cryptocurrency Technologies” courses of Princeton University.
What industries will tend to adopt Blockchain faster, and which will require ages to get used?
An interesting question, in my opinion, the IT sector will develop most dynamically, more and more companies will integrate the Blockchain system everywhere. The banking sector will also be very dynamic in integrating with the Blockchain, just because it is more secure for transactions. By the way, Ukraine is on the leading positions together with Sweden, Estonia, and Denmark in the issue of integrating Blockchain into the banking sector.
Where there will be less dynamic integration – in public administration. For example, to make a vote using Blockchain, or the cadastral register (which has already been successfully launched in Georgia with the use of Blockchain).
Blockchain Developers Can Help You Integrate Cryptocurrencies into Your Business
Having that said, seems like this is a very important technology and its popularity is going to increase even more. This is totally the kind of money online marketplaces should let their customers use. If you are ready to update your business integrating Blockchain technologies, you are in the right place, like Yevhen said, Ukraine is on one of the leading positions and our rates are very attractive as well. Check out for yourself by requesting a CV, you’ll be surprised!