The first decentralised cryptocurrency
+
cryptocurrency:
criptomonete
was invented in 2009 by a programmer using the pseudonym Satoshi Nakamoto. Bitcoin, and the technology that made it possible, stunned
+
to stun:
stordire
the world with its claim
+
claim:
affermazione,
dichiarazione
to revolutionise the entire economic system, making it more democratic, more transparent and more stable. Today, there are countless
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countless:
innumerabili
cryptocurrencies available, with Bitcoin still the most popular. However, despite the purportedly
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purportedly:
presumibilmente
high ideals behind its launch
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launch:
lancio,rilascio
, cryptocurrency is now regarded
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to regard:
considerare
as notoriously volatile, rarely used outside of speculation or money laundering
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money laundering:
riciclaggio di denaro
, and does little to shake up
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to shake up:
scuotere
the economic status quo.
the ideal
The original aim of cryptocurrencies was to serve as an alternative to the established monetary system, dominated by central banks that dictate monetary policies
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policies:
politiche
and by financial institutions that profit
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to profit:
trarre profitto
from acting as intermediaries between individuals.
Cryptocurrency’s creators argued that with a functioning digital currency system, transactions could be made without the oversight
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oversight:
supervisione
of third parties, and government and central banks would not have control over the creation of money or the setting of interest rates, so problems like inflation (which devalues savings
+
savings:
risparmi
) would be averted
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to avert:
evitare
.
EVOLUTION
In the decade that followed its launch, the idea of an alternative payment system became increasingly attractive to developers
+
developers:
programmatori
. Built on open source software, Bitcoin prompted
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to prompt:
spingere
the creation of thousands of other cryptocurrencies, including Ethereum, Tether and BNB (Binance Coin). In the past few years, the value of cryptocurrencies in real — or fiat
+
fiat:
fiduciario
— money has rocketed
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to rocket:
salire alle stelle
and they have become increasingly attractive assets
+
assets:
beni
for investors. As such, far from laying the foundations
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to lay the foundations:
mettere le basi
of an alternative monetary system, cryptocurrencies are mainly used for speculative purposes
+
purposes:
propositi
.
AESTHETICS
Critics say that cryptocurrencies have become an online casino, attracting investors but also many young people who hope that it will make them rich. Embedded
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to embed:
incorporare
in online communities, so-called ‘crypto’ lures
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to lure:
attrarre
in potential users with its videogame aesthetics and the alleged
+
alleged:
presunte
infinite possibilities of the blockchain technology, which appears to promise an economic revolution.
HOW THE BLOCKCHAIN TECHNOLOGY WORKSCryptocurrency is a payment system that uses advanced cryptography and digital signatures to secure the system and transactions in a decentralised way, which means that there isn’t a single central controller in charge of the money or tracking
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to track:
tracciare
where the money is. One of the main innovations of Bitcoin was the design of the blockchain technology: a decentralised ledger
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ledger:
registro
that stores
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to store:
immagazzinare
encrypted blocks of data and chains them together. The blockchain technology allows the money to move from one account into another using private keys to validate the transaction. It is put into a ledger that is encrypted and that records the transaction as permanent, stopping the user from spending that same digital money twice. This allows digital assets to be distributed among many computers instead of being copied in a central database, thus
+
thus:
così
creating an immutable record of each transaction that cannot be altered by any single party. |
Crypto: The Future of Money or a Scam?