When cryptocurrencies first hit the market, tech experts predicted they would rapidly usher in a new dawn for payment processing. While they have certainly had an impact, they haven’t quite hit the heights many expected them to.

More and more people are visiting exchanges to purchase Ethereum and check the SingularityNET price. However, cryptocurrencies have yet to achieve true mainstream integration. Will crypto networks be the key to reaching this ultimate goal? Let’s find out.

What Are Crypto Networks?

When we think of cryptocurrencies, things like Bitcoin, Ethereum and Litecoin are usually the first that come to mind. There is no doubt that these are cryptocurrencies, but to truly understand them and appreciate their potential we have to look a little deeper.

Cryptocurrencies are built and exist on blockchain platforms. These platforms are essentially digital ledgers where transactions made using the currency are processed and stored. Data on blockchain platforms is secured through cryptography and is accessible to the public, meaning transactions are extremely resistant to fraud and cybercrime.

Transactions made on the blockchain are verified by other users (nodes), a system known as decentralisation. They can also be used to host tokens, currencies that are distinct from the platform’s native cryptocurrency. These tokens can be used by nodes to vote on changes and updates to the platform, creating a democratised system where the power is in the hands of the users.

Crypto network is an umbrella term that encompasses both a cryptocurrency and the blockchain platform that underpins it. If a company or an organisation decides to adopt a cryptocurrency, they will also be integrating the associated blockchain platform, giving them access to all the benefits that come with it.

The comprehensive nature of crypto networks is a core concept of the technology, but unfortunately, it’s one that is still little understood. The more organisations realise that crypto integration means onboarding the entire network, the more mainstream crypto integration we’ll see.  

Modern Crypto Networks

With early cryptocurrencies like Bitcoin, blockchain platforms served only as a vehicle through which currency transactions could be processed and logged. While revolutionary at the time, this is something of an outdated practice. Modern crypto networks take full advantage of the power of blockchain and use it for a range of different purposes.

Today, crypto networks are about much more than just the native cryptocurrency. Blockchain platforms like Ethereum can be used to build and host decentralised apps (dApps). These sophisticated applications can be implemented in various ways, they can be used to construct marketplaces, identify verification and supply chain tracking tools, with decentralisation at their core.  

Crypto networks can also be used for the implementation of smart contracts. Rather than being written on paper, these contracts are written in code and are self-executing. This means all involved parties are bound to meet their end of the deal, much like a vending machine will always dispense a product once money has been inserted.

The proliferation of these new tools represents the evolution of the crypto network. It will prove vital for mainstream integration of the tech as businesses are made aware of the opportunities it can offer them, beyond a simple alternative payment system.

Crypto Adoption Today

While we said that cryptocurrencies haven’t yet achieved the level of mainstream integration that many expected, that’s not to say they have failed completely. A number of industries have adopted crypto networks and are enjoying the benefits of this exciting technology.

The finance industry is an obvious example. We’ve seen major brands like Mastercard adopt crypto and blockchain technology, offering users more options when it comes to making payments and greater privacy and anonymity through blockchain-secured transactions.

The healthcare industry has also integrated crypto networks. Rather than focus on the cryptocurrency side of things, healthcare providers instead utilise blockchain platforms themselves, using them to securely store sensitive information such as medical records and patient data.

An industry that has long been a proponent of crypto networks is the online gambling sector. Players can choose to withdraw or deposit funds in the form of crypto rather than traditional currencies. This makes it safer for users, as they do not have to divulge personal information. Additionally, it means online casino operators can target international customers, as crypto networks are not subject to cross-border restrictions.

Finally, crypto networks are transforming the world of logistics. Supply chain routes can be mapped on blockchain platforms, with every step recorded and secured. This makes it easier for involved parties to get an overview of the network, and issues can be identified, localised and addressed rapidly, minimising potential disruption.

Conclusion

Understanding what crypto networks are is incredibly important. They are much more than just a cryptocurrency. Instead, a network is the entire ecosystem, including both the cryptocurrency and the blockchain platform that powers it. When a company adopts a cryptocurrency, it will in fact be integrating the entire network. This opens up a world of new opportunities and can transform business practices and operations. However, the concept of a crypto network is still poorly appreciated, so raising awareness will be key to ensuring crypto tech achieves mainstream acceptance.