Privy Blog | How blockchains simplify transactions
Cutting complexity in the financial system makes transactions less expensive for both the customer and merchant. Blockchains support internet-native currency which simplifies how money moves on the web.
In this post, we will explore at a high-level how blockchains simplify financial infrastructure. To understand where exactly the cost savings come from, we will examine the steps to execute a point of sale transaction with and without blockchains.
Attempting to translate physical currency, a concept that was invented thousands of years ago, onto the internet is unnatural. Copying information from (sometimes paper) ledgers into databases and back is lossy across hundreds of billions of dollars in transfers. Existing payment systems are overly complex for the modern high-volume global economy; it’s time for something new.
A blockchain is a shared piece of data on the web which anyone can read or write to; it is not owned by any single party. Blockchains support financial infrastructure as a public good. Decentralized systems built on blockchains reimagine how money can move with the speed and efficiency of the internet.
