bitedatcrypto on Nostr: The key value of #Bitcoin : Finality of settlement The finality of settlement refers ...
The key value of #Bitcoin : Finality of settlement
The finality of settlement refers to the ability to finally conclude a contract on its own without additional devices.
Let's say A transfers money to B. When A sends money to B, there is a change in A's bank book and B's bank book. However, real assets do not move directly because only the numbers change. Banks collect these small transaction books well and then repay each other at a certain time to move real assets.
The reason why remittances do not conform to the finality of settlement is that the asset does not move "physically" with ownership immediately upon settlement. The same is true of gold. This is because the actual gold is held by the bank and usually the buyer buys the ownership of the gold. All of this process is possible because it "trusts" a third institution called a bank.
Bitcoin solves the problem perfectly. At a click, the ownership of the asset and the asset itself move. It also conforms to the finality of settlement because it leaves no copies. Understanding the concept that "value" itself moves on the network without the help of a mediator can help you learn about the financial innovation that Bitcoin will bring.
Stay tuned for more contents! 👋
#PlebChain #zapathon #BTC #Bitcoin
The finality of settlement refers to the ability to finally conclude a contract on its own without additional devices.
Let's say A transfers money to B. When A sends money to B, there is a change in A's bank book and B's bank book. However, real assets do not move directly because only the numbers change. Banks collect these small transaction books well and then repay each other at a certain time to move real assets.
The reason why remittances do not conform to the finality of settlement is that the asset does not move "physically" with ownership immediately upon settlement. The same is true of gold. This is because the actual gold is held by the bank and usually the buyer buys the ownership of the gold. All of this process is possible because it "trusts" a third institution called a bank.
Bitcoin solves the problem perfectly. At a click, the ownership of the asset and the asset itself move. It also conforms to the finality of settlement because it leaves no copies. Understanding the concept that "value" itself moves on the network without the help of a mediator can help you learn about the financial innovation that Bitcoin will bring.
Stay tuned for more contents! 👋
#PlebChain #zapathon #BTC #Bitcoin
quoting nevent1q…vzr2