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The Quiet Crypto
Revolution
How Blockchain and Cryptocurrency
Are Changing Our Lives
―
Klaas Jung
The Quiet Crypto
Revolution
How Blockchain
and Cryptocurrency Are
Changing Our Lives
Klaas Jung
The Quiet Crypto Revolution: How Blockchain and Cryptocurrency Are
Changing Our Lives
Klaas Jung
Amsterdam, The Netherlands
ISBN-13 (pbk): 978-1-4842-9626-4 ISBN-13 (electronic): 978-1-4842-9627-1

https://doi.org/10.1007/978-1-4842-9627-1
Copyright © 2023 by Klaas Jung
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Table of Contents
About the Author��vii
Acknowledgments��ix
Preface��xi
Chapter 1: Introduction to the Crypto Revolution��1
Chapter 2: Understanding the Blockchain��7

Tracing the Roots��7
Blockchain 101: Understanding the Basics��9
Key Components of Blockchain Technology��15
Digital Currencies and Blockchain Technology��22
Potential Applications Beyond Cryptocurrency��23
Smart Contracts��26
Foundational Principles of Blockchain Technology��29
Chapter 3: The Future of Blockchain Technology��31

Supply Chain Management��33
Digital Identity��38
Voting Systems��41
Healthcare��44
Energy and Environmental Management��49
Internet of Things��51
Real Estate��54
iii
Table of Contents
Gaming��57
Accelerating Blockchain Adoption with AI��59
Blockchain Is the Future��62
Chapter 4: Cryptocurrency in Practice��65

Bitcoin and Other Cryptocurrencies��66
The Rise of CBDCs��74
Crypto: Beyond Currency��77
NFTs in Crypto: The Future of Digital Ownership��83
The Metaverse and Web3: A New Dimension of Reality��87
The Mechanics of Cryptocurrency Mining��91
Risks and Challenges in Crypto��93
Cryptocurrency Regulations and Laws��96
Dos and Don’ts of Investing in Crypto��98
Chapter 5: The Future of Decentralized Finance��101

The Basics of Traditional Finance��102
Decentralized Finance (DeFi): A New Solution��106
A Closer Look at Stablecoins in DeFi��107
Decentralized Autonomous Organizations��110
Navigating the DeFi Regulatory Landscape��114
DeFi’s Disruptive Potential��117
How to Get Started with DeFi��119
Chapter 6: Security and Scams��121

Types of Cryptocurrency Scams��121
Risks of Cryptocurrency Hacking��126
Strategies for Protecting Your Assets��127
iv
Table of Contents
Staying Safe in the Crypto Space��128

Securing Your Crypto: Final Thoughts��133
Chapter 7: Crypto Pioneers: Exploring Entrepreneurial

Opportunities��137
Exploring Crypto Opportunities��138
Case Studies in Crypto Success��144
Lessons from Failures in the Crypto and Blockchain Space��147
Chapter 8: Final Thoughts: The Future of Crypto��151

A Glimpse into the Future��153
A Day in the Life of Justin��153
Navigating the Future of Crypto��156
Your Own Journey into the Crypto Space��158
Index��161
v
About the Author
Klaas Jung is a seasoned IT management
professional and writer who brings a unique
perspective to the ever-evolving world of
blockchain and cryptocurrency. With over 20
years of experience in the IT industry, he has
a wealth of knowledge and understanding
of the technical and practical aspects of this
revolutionary technology. His first book, 100%
Successful IT Projects, was a practical guide to
managing IT projects and achieving success.
As a father of three, Klaas is deeply concerned with the future and the
impact that blockchain and cryptocurrency will have on the world. He
believes that it’s important to educate and prepare the next generation for
the technological advancements that lie ahead. This is why he has written
this book, The Quiet Crypto Revolution, a comprehensive guide that covers
all aspects of blockchain and cryptocurrency, from its history and current
state to its potential future developments and implications for various
industries. Klaas’s passion for writing and his ability to convey complex
information in an easy-to-understand manner make him the perfect guide
on this exciting journey into the future of blockchain and cryptocurrency.
vii
Acknowledgments
As I reflect on the journey of writing this book, I am filled with a profound
sense of gratitude for the people who have supported me throughout this
process.
First and foremost, I would like to express my deepest appreciation to
my wife, whose unwavering belief in my abilities has been a continuous
source of strength. Your spot-on review comments, support, patience,
and love have been the bedrock upon which this project was built.
You have stood by me through late nights and early mornings, always
understanding, always encouraging.
To my children, thank you for your understanding when I was
engrossed in my writing and for being my greatest motivation. Your
innocent questions about my work have often sparked fresh perspectives
and reminded me of the importance of making complex ideas accessible
to all. This work is a testament to the lessons you teach me every day.
To my extended family, your constant encouragement and faith in
my work have meant more than words can express. I am grateful for your
understanding during the times when I had to seclude myself to meet
writing deadlines.
I am grateful to Apress, my publisher, for believing in this project and
for providing me with the platform to share my insights on this rapidly
evolving technology. The professionalism and support of the editorial
team have been invaluable in shaping this book into its final form.
ix
Acknowledgments
This book is a product of commitment, resilience, and the unwavering

support of my family. It is also a testament to the professional partnerships
that have enabled me to share my knowledge and perspective with a wider
audience.
To all of you, thank you for being a part of this journey, for inspiring
me, and for making this book possible.
x
Preface
As the author of this book, I would like to take a moment to share my
personal journey that led to the creation of this work.
I have read many inspiring books over the years, and I always thought
about how great it would be if you could share your own knowledge with
other people to help them improve their lives. I’m referring to books like
The 7 Habits of Highly Effective People by Stephen Covey, Good to Great
(and the sequel Built to Last) by Jim Collins, Thinking Fast and Slow by
Daniel Kahneman, Start with Why by Simon Sinek, and many others.
These books have had a profound impact on my understanding
of various aspects of life and business. They have inspired me to think
differently and to question the status quo. It is the authors of these books
I have read that have inspired me to start writing my own books to try to
inspire other people. I humbly acknowledge that I am not even close to
being on the same level as these authors, but through writing this book,
my goal is to simply inspire and spark interest among others with the
knowledge and insights I have gained.
My previous book, 100% Successful IT Projects, was born out of my over
20 years of experience in managing IT projects. I felt that by sharing some
of the key insights I had gained over the years, I could help others navigate
the complex world of IT project management. Writing this first book was
a challenging and enlightening experience, as I had to learn to transition
from the concise, direct writing style of reports to the more descriptive
and narrative style required in book-writing. This experience taught me
that even though it’s not easy to write a book, it’s fun to do, and I definitely
wanted to do it again.
xi
Preface
Now, over to this book. Back in 2010, I was working on a project

with a group of software development colleagues who had a keen
interest in technology and innovation. One day, during our lunch
break, the conversation shifted to a relatively unknown digital currency
called Bitcoin. My colleagues were excitedly discussing the concept of
decentralized digital money and their plans to build a trading bot to
capitalize on the emerging market.
At the time, Bitcoin was still in its infancy, and I was intrigued by the
idea of a currency that operated outside the traditional financial system.
As we continued our discussion, I became increasingly fascinated by the
potential of this new technology. I started to research Bitcoin, delving into
whitepapers, forums, and articles to learn as much as I could about the
underlying technology, blockchain.
As I explored the world of Bitcoin, I began to understand the broader
implications of blockchain technology beyond cryptocurrencies. It became
apparent that this decentralized, transparent, and secure technology
could have a significant impact across various industries, potentially
revolutionizing everything from supply chain management to healthcare
and voting systems.
My curiosity piqued. I decided to attend a local meetup dedicated
to blockchain technology. There, I met other like-minded individuals
who shared my passion for the potential of blockchain to transform the
way we live and work. We exchanged ideas and discussed the countless
possibilities that this groundbreaking technology could bring.
It was during one of these meetups that I first heard about the concept
of smart contracts—self-executing contracts that could automate various
processes, increasing efficiency and reducing the need for intermediaries.
I was captivated by the idea of a world in which businesses and individuals
could interact directly, securely, and transparently through the use of
blockchain technology.
xii
Preface
As my knowledge and understanding of blockchain technology

grew, I began to see the broader applications and potential beyond
cryptocurrencies like Bitcoin. While the initial conversation about Bitcoin
and the trading bot had sparked my interest, it was the transformative
potential of blockchain technology that truly ignited my passion and set
me on a path to learn, share, and advocate for its adoption across various
industries.
Through this book, I hope to share not only my passion for
cryptocurrencies but also the wider implications and potential of
blockchain technology. My aim is to inspire others to see the incredible
ways in which this technology can reshape our world, improve our lives,
and create new opportunities for innovation and growth.
Over the past few years, I have delved into the depths of the crypto
world and discovered the hidden potential of information sources such
as YouTube and Twitter. Through following a variety of YouTube channels
and Twitter accounts, I have gained an immense amount of knowledge
and insight. I was watching YouTube channels sometimes for hours per
day. In total I must have put at least 3500–5000 hours of research in this
book. If you are interested to see how I got so enthusiastic about crypto, I
will suggest just a few of the YouTube channels I like so you can have a look
yourself as well: Benjamin Cowen (Into the Cryptoverse, cryptanalysis),
Blockchain Backer (technical price analysis), CryptosRUs (crypto news
and insights), Heresy Financial (financial education), and Coin Bureau
(crypto news).
Besides Twitter and YouTube, I also got addicted to crypto news
sites like CoinDesk (www.coindesk.com/, Crypto News and Data Hub),
Cointelegraph (https://cointelegraph.com, Latest Crypto Trends and
Insights), and CoinMarketCap (https://coinmarketcap.com, Crypto
Market Data and Rankings). I can recommend these if you want to stay up
to date or expand your crypto knowledge.
xiii
Preface
In 2014, I was so deeply interested in the potential of cryptocurrency

that I decided to launch my own Bitcoin-based startup. I created a
platform for purchasing Bitcoin using iDEAL, which was a widely used
online payment method in the Netherlands at the time. Initially, this
venture was intended as a hobby; however, it rapidly gained traction and
evolved into a full-fledged business endeavor that required more time
and resources than I was able to commit while maintaining my primary
employment. When I started experiencing some serious problems with
people who were trying to commit fraud using my platform, I terminated
the project. But I learned so much about Bitcoin, blockchain, crypto, and
running an online business.
It is with this new gained knowledge and understanding about this
subject that I am motivated to transfer my knowledge to others through
this book. My hope is that you will be able to take something valuable away
from the information within these pages and start to see how crypto is
going to change the world in many ways.
Crypto has the potential to change how we live our daily lives in
the near future. In this book I will explain in detail and in an easy-to-
understand language that it allows for greater financial freedom and
autonomy and can disrupt traditional financial systems. This is possible
through the use of decentralized finance (DeFi) and non-fungible tokens
(NFTs), which allows peer-to-peer lending and borrowing and trading
without the need for banks, revolutionizing the way we think about
ownership. Also, smart contract technology can automate various financial
processes, increasing efficiency and effectiveness. Additionally, crypto
can increase the speed and security of transactions in ecommerce and
online marketplaces. Crypto can increase financial privacy and security
by using encryption techniques that do not require personal information
to be shared, which can help prevent identity theft and financial fraud.
Don’t worry if these concepts overwhelm you right now; they will all be
explained in this book.
xiv
Preface
Overall, crypto has the potential to change how we use money, how
the world will be structured financially, how we define ownership, and this
will impact every aspect of our life. I say it’s worth watching closely in the
coming years. In this book, I will go into detail about all of it. Make sure
you don’t get left behind as the world rapidly moves on. Crypto is going
to change the world we live in ways we can’t even imagine yet, and I hope
this book helps you get started on (or move to the next level of ) your own
journey into the crypto space.
Important note: Nothing in this book is financial advice; it’s just
educational content. And before making any financial decisions, you
should always do your own research first.
xv
CHAPTER 1
Introduction to the
Crypto Revolution
In 2010, a man named Laszlo Hanyecz made history by becoming the
first person to use Bitcoin to buy a tangible item: two pizzas. At the time,
Bitcoin was worth less than a cent, and Hanyecz famously paid 10,000
bitcoins for his pizza order.
Today, those 10,000 bitcoins would be worth tens of millions of dollars.
But the significance of Hanyecz’s purchase goes beyond the exorbitant
price he paid. It represented a new way of thinking about money and
transactions, one that challenged the traditional banking system and
paved the way for the rise of cryptocurrency and blockchain technology.
Since that fateful pizza order, cryptocurrencies have grown in
popularity and acceptance, with major companies like Tesla and PayPal
investing in and accepting Bitcoin as a form of payment. Meanwhile,
blockchain technology has expanded beyond cryptocurrency to offer
solutions for everything from supply chain management to voting systems.
As we move into a world increasingly shaped by these technologies, it’s
clear that their impact will extend far beyond the financial sector. From the
way we conduct business to the way we interact with our governments and
each other, blockchain and cryptocurrency are poised to change our daily
lives in ways we can’t yet fully imagine.
© Klaas Jung 2023 1

K. Jung, The Quiet Crypto Revolution, https://doi.org/10.1007/978-1-4842-9627-1_1
Chapter 1 Introduction to the Crypto Revolution
The world is in a constant state of flux, and in recent years, the pace
of change has accelerated dramatically. Innovations in technology,
communication, and transportation have transformed the way we live, work,
and interact with one another. The rise of the Internet and social media has
made the world more connected than ever before, and information is now
available at our fingertips in ways we never thought possible.
Amid this rapid transformation, blockchain technology has emerged
as a new and powerful tool with the potential to revolutionize the way we
conduct transactions, share information, and interact with one another.
At its core, blockchain is a decentralized ledger that records transactions
in a secure and transparent way. Unlike traditional centralized systems,
blockchain operates on a peer-to-peer network that eliminates the need for
intermediaries such as banks or other financial institutions. This technology
is already disrupting industries ranging from finance to healthcare, and
its impact is only just beginning to be felt. For example, blockchain-
based cryptocurrencies are challenging traditional notions of money and
financial systems. Blockchain is also being used to transform supply chain
management, enabling greater transparency and efficiency. In the healthcare
industry, blockchain is being explored as a way to securely store and share
patient data, potentially revolutionizing the way healthcare is delivered.
Before I continue, I want to explain the concepts of centralization vs.
decentralization. Since these are important aspects of blockchain technology,
it is important to be clear on what is meant by them in the context of this book.
When I talk about centralization, I refer to a system or structure in
which control, decision-making, and authority are concentrated in a
single central entity or location. This central entity could be a person, an
organization, or a server. In centralized systems, information, resources,
and power flow from the center to the individual nodes or users. Examples
of centralized systems include banks, corporations, and traditional
databases. While centralized systems can be efficient and provide clear
lines of authority, they can also be more susceptible to single points of
failure, corruption, and control by a select few.
2
Decentralization, on the other hand, is the process of distributing

control, decision-making, and authority among multiple entities or
locations. In decentralized systems, there is no single central entity that
has complete control over the entire system. Instead, the system operates
through the collaboration, interaction, and consensus of its individual
nodes or users. Decentralized systems can be more resilient, as they don’t
rely on a single point of control, which can be prone to failure or attack.
Additionally, decentralized systems promote more equitable distribution
of power and resources, as no single entity can monopolize control.
To further illustrate the difference between centralization and
decentralization, let’s consider the following comparison using a social
network:
• Centralized system: In a centralized social network,

like Facebook or Twitter, all user data, posts, and
interactions are stored and managed on centralized
servers owned and controlled by the company. Users
must create accounts and trust the company to store
their personal information, handle their data, and
manage their interactions with others. In this case, the
social network platform and the company behind it
represent the central authority.
• Decentralized system: In a decentralized social network,

there is no single company or entity controlling the
platform. Instead, the platform is built on a distributed
network, where users interact directly with each
other without a central server. User data, posts, and
interactions are stored and managed by the users
themselves or distributed across multiple nodes in the
network. In this case, the control and management of
the social network are shared among its users, with no
single central authority.
3
This example highlights the key differences between centralized

and decentralized systems. In the centralized social network, control
and management are concentrated in one central company and its
servers, while in the decentralized system, control and management are
distributed across multiple nodes or users in the network.
The concepts of centralization and decentralization are important to
understand, as they form the foundation for many of the principles and
advantages of blockchain technology. As I delve deeper into blockchain,
I will explore how decentralization plays a critical role in creating more
transparent, secure, and efficient systems that can transform industries
and the way we interact with one another.
Blockchain technology and crypto have become so popular because
they address some of the most pressing challenges facing modern society.
One of the main reasons for their popularity is the decentralization aspect
of blockchain technology, which eliminates the need for intermediaries
such as banks, financial institutions, or other third-party intermediaries.
This decentralized approach increases trust, security, and transparency in
transactions, making them more efficient and less costly.
Moreover, cryptocurrencies such as Bitcoin and Ethereum provide
an alternative to traditional fiat currencies that are subject to government
control and manipulation. This makes cryptocurrencies appealing to
those who want more control over their money and don’t want to rely
on government or financial institutions. But even besides this, there is
so much more to the technology and what it can do. Blockchain has the
potential to disrupt entire industries, from healthcare to real estate, by
enabling secure and transparent data sharing and improving efficiencies.
I will all become clear to you while reading this book.
In addition to the potential benefits of blockchain technology and
crypto, it is important to acknowledge some of the challenges and
controversies surrounding this emerging field. While some view blockchain
as a force for good, others raise concerns about issues such as scalability,
energy consumption, and regulation. Scalability remains a key issue for
4
many blockchain applications, with some networks struggling to handle

large volumes of transactions and users. Energy consumption is another
area of concern, as the process of verifying transactions on the blockchain
can be energy-intensive. However, many in the industry are actively working
on solutions to address these challenges, such as the development of more
efficient consensus algorithms and the use of renewable energy sources.
Also, there is the issue of regulation. The decentralized and borderless
nature of blockchain and crypto presents a challenge for traditional
regulatory frameworks, which are often designed to operate within
national boundaries. As a result, there is a need for innovative approaches
to regulation that balance the benefits of innovation with the need to
protect consumers and prevent illicit activities.
Welcome to The Quiet Crypto Revolution, a comprehensive guide
to understanding the past, present, and future of cryptocurrency and
blockchain and how this is going to impact your life. In this book, I will
dive into the history of cryptocurrency and blockchain technology, from
its early beginnings as a concept to its current state as a rapidly evolving
industry. I will explore the current state of the cryptocurrency market,
including the most popular currencies and the various platforms and
technologies that support them.
But most importantly, I will look at the potential future implications
of this technology. Cryptocurrency has the potential to disrupt traditional
financial systems, increase financial freedom and autonomy, and
revolutionize the way we think about ownership and the transfer of
assets. This technology is still in its early stages, and there is much to be
understood and discovered. Together we will explore the many ways in
which cryptocurrency can change our daily lives, including the use of
decentralized finance (DeFi) and non-fungible tokens (NFTs), the use
of smart contracts, and the potential to increase financial privacy and
security. I will also examine the challenges facing the cryptocurrency
industry, including regulation and adoption, and discuss how these
challenges can be overcome.
5
This book is designed to give you a comprehensive understanding of

the past, present, and future of blockchain technology and cryptocurrency.
I will begin by exploring the basics of blockchain technology, including its
key components and potential applications beyond cryptocurrency. I will
also cover the future of blockchain technology in various industries such
as supply chain management, voting systems, healthcare, and more.
Moving on, I will explore the practical aspect of cryptocurrency,
including the history and mechanics of Bitcoin and other cryptocurrencies,
as well as the potential future of digital ownership through non-fungible
tokens (NFTs). I will also discuss the current regulations and laws
surrounding cryptocurrency and the risks and challenges associated with it.
Finally, I will cover the rapidly growing field of decentralized finance
(DeFi) and its potential to disrupt traditional finance. I will discuss the basics
of traditional finance and provide an introduction to DeFi, with a focus on
stable coins and decentralized autonomous organizations (DAOs). I will also
examine the current regulatory landscape and the disruptive potential of DeFi.
Throughout this book, I will explore the many ways in which
blockchain technology and cryptocurrency have the potential to change
the world we live in and the ways in which they are already doing so. I hope
that this book will provide readers with a comprehensive understanding of
this exciting and rapidly evolving field.
This book is intended for readers of all levels of knowledge, from those
who are new to the world of cryptocurrency to those who have been following
the industry for years. Whether you are an individual looking to invest in
cryptocurrency or a business considering integrating it into your operations,
this book will provide you with the knowledge and insights you need to make
informed decisions about your involvement in the crypto revolution.
So join me on this journey as we explore the exciting and rapidly
evolving world of cryptocurrency. Together, we will discover the potential
for this technology to change the way we live, work, and interact with one
another. Let’s begin.
6
CHAPTER 2
Understanding
the Blockchain
Let me start by apologizing that I will have to go into a bit of technical
detail here and I realize not everyone is as passionate about technology
as I am. However, blockchain technology is such an important part of this
book that I feel it’s important for you to at least understand the basics of
the technological aspects of it. It is the foundation that crypto is based
upon. So I will keep it as light as possible, but you need to get through this
to understand the full dynamics of crypto and the impact it has on the
world. Enjoy.
Tracing the Roots

The history of blockchain technology is a tale of innovation, disruption,
and revolution. From its humble beginnings as a little-known concept in
the world of cryptography, blockchain technology has grown to become
one of the most transformative forces of our time.
The origins of blockchain can be traced back to the early 1990s, when a
team of computer scientists, including Stuart Haber and W. Scott Stornetta,
began working on a new kind of cryptography that would allow for secure,
tamper-proof digital records. Their goal was to create a secure way to store
data that would not be vulnerable to tampering, hacking, or other forms of
malicious activity.

Chapter 2 Understanding the Blockchain
In 2008, the world was introduced to blockchain in its current form,

with the creation of the first decentralized cryptocurrency, Bitcoin. The
concept behind Bitcoin was simple: it used blockchain technology to
create a secure, decentralized ledger of transactions that could not be
manipulated or altered in any way. This new technology was unlike
anything that had come before, and it immediately captured the attention
of the financial and tech communities. One of the primary motivations
behind the invention of Bitcoin was to create a decentralized currency that
could be used to bypass the traditional banking system. The financial crisis
of 2008 highlighted many of the flaws in the traditional banking system,
and some people felt that a new, decentralized form of currency was
needed to provide a more stable and secure alternative independent of the
traditional financial system.
Since then, blockchain technology has continued to evolve and
expand, with new uses and applications being developed every day. From
the rise of decentralized finance (DeFi) to the creation of non-fungible
tokens (NFTs) and the growing interest in decentralized autonomous
organizations (DAOs), blockchain technology has proven to be a catalyst
for innovation and change. All of these topics will be covered in the
following chapters of this book.
One of the most exciting aspects and reasons blockchain technology
was invented is its ability to create a more equitable and fair world. By
eliminating the need for intermediaries and central authorities, blockchain
technology gives individuals and communities the power to transact and
exchange value directly, without the need for middlemen. This opens
up new possibilities for financial inclusion, data privacy, and greater
economic opportunity, making blockchain technology a true game-
changer in the world of finance and beyond.
In conclusion, the history of blockchain technology is a story of
innovation and disruption, with the potential to shape the future in ways
we can only imagine. Now let’s delve into the potential impacts that this
innovative technology can have on your daily life, beginning with the basics.
8
Blockchain 101: Understanding the Basics

Blockchain technology is a revolutionary new way of storing and sharing
data that has the potential to change the way we interact with the digital
world. It is a decentralized system that allows multiple parties to share
and access information without the need for a central authority. At its
core, blockchain technology is a digital ledger that records transactions in
a secure and tamper-proof way. Now, if you are a little bit like me, I hear
you thinking: “Yes, I have heard this before somewhere, but I still don’t
understand why this is such a big deal.” Let me try to explain using a very
simple example:
A ledger is basically just a record-keeping system that is used to keep
track of transactions. It is essentially a list of entries that details what has
happened in a given period of time. For example, imagine you keep a
ledger of your personal expenses. Every time you buy something, you
would add an entry to the ledger that lists the date, the amount, and
what you bought. This way, you have a record of all your expenses and
can see exactly how much money you’ve spent and on what. Blockchain
technology is essentially a digital ledger that records transactions across
a network of computers in a secure and transparent way. Think of it like
a shared ledger that everyone has access to. A copy of it is stored on the
computer of every member of the network. Once somebody tries to alter or
delete an entry in the ledger, it doesn’t match with the other computers in
the network anymore and is therefore rendered invalid.
Now, why is this so powerful? Imagine a scenario where you and a
group of friends are splitting a bill at a restaurant. Instead of relying on one
person to keep track of who owes what and who has paid, you all agree to
use a shared ledger that everyone has access to. Each time someone makes
a payment, the transaction is recorded on the ledger, and everyone can see
it. This ensures that everyone is on the same page and there is no room for
dispute or confusion.
9
A shared ledger, such as the one described in the example of splitting a

bill with friends, has several advantages, including
• Transparency: Everyone has access to the ledger and

can see the transactions being made, which eliminates
any doubts or confusion about who owes what and who
has paid.
• Security: Once information is added to the ledger, it

cannot be altered or deleted, which means that the data
is secure and tamper-proof.
• Accuracy: Transactions are recorded and updated in

real time, ensuring that everyone has access to the
latest information.
• Traceability: Transactions can be easily traced and

audited, which increases accountability and reduces
the risk of fraud.
• Improved efficiency: By removing the need for a central

authority to keep track of transactions, a shared ledger
can speed up the process and reduce the cost of
transactions.
Overall, a shared ledger provides a secure, transparent, and efficient
way to keep track of transactions and ensures that everyone is on the
same page.
This same basic concept is applied in blockchain technology, but
on a much larger scale. Transactions are grouped into blocks, and each
block is linked to the previous block to create a chain, hence the name
“blockchain.” The network of computers, known as nodes, work together to
validate transactions and maintain the integrity of the ledger, as illustrated
by Figure 2-1.
10
Figure 2-1. Tamper-proof shared ledger
Okay, so now that we cleared the concept of a shared ledger, let’s

bridge the gap toward a blockchain. In a blockchain each block contains a
set of transactions, along with a unique code called a “hash” that identifies
the block and links it to the previous block in the chain. Here’s an analogy
to explain how blocks are added to a blockchain:
11
Imagine a group of people building a tower out of blocks. Each block

represents a set of transactions, and the tower represents the blockchain.
Each time a new block is added to the tower, it must be carefully placed on
top of the previous block so that it stays upright and doesn’t topple over.
This is similar to how new blocks are added to a blockchain in a secure and
unbreakable way.
Before a new block can be added to the tower, it must be verified by the
other people building the tower. This process is similar to how transactions
are verified in a blockchain network. In the tower analogy, the other people
building the tower might inspect the new block to make sure it fits with the
other blocks and doesn’t contain any fraudulent or invalid transactions.
In a blockchain network, the verification process is done by a
network of computers called nodes. These nodes work together to verify
new transactions and add them to the blockchain. They check that the
transaction is valid and has not been tampered with, and once it is verified,
it is added to the blockchain. Once the new block has been verified, it can
be added to the top of the tower. This process is similar to how blocks are
added to a blockchain. The new block is linked to the previous block in the
chain by its hash code, creating a continuous and unbreakable chain of
blocks. The hash code is a unique identifier for the block that is generated
using complex mathematical algorithms.
As more and more blocks are added to the tower, it becomes taller and
more stable. Similarly, as more and more blocks are added to a blockchain,
it becomes longer and more secure. The hash codes that link each block
together create an unbreakable chain that ensures the integrity of the
ledger and prevents any fraudulent or unauthorized changes from being
made. In a blockchain network, all nodes have a copy of the blockchain
and work together to maintain it. This creates a decentralized and
transparent system where every transaction is recorded and can be traced
back to its origin. The security and transparency of the blockchain make it
ideal for use in a variety of applications, from cryptocurrencies to supply
chain management to voting systems.
12
As mentioned before, one of the key features of blockchain technology

is its decentralized nature. As a reminder of what I wrote about this in
Chapter 1, centralized refers to a system where there is a single, central
authority or point of control. All decisions are made and all power is held
by this central authority. For example, a traditional bank is centralized
because all transactions go through the bank and the bank makes all
the decisions. Decentralized refers to a system where there is no central
authority or point of control. Power and decision-making are distributed
among a network of individuals or entities. For example, a blockchain
network is decentralized because all transactions are recorded on a
distributed ledger and no single entity controls the network. In simple
terms, in centralized systems all power is concentrated in one place, while
in decentralized systems power is distributed among multiple entities.
The number of nodes (computers) needed in a network to make the
blockchain safe is not fixed, as it depends on various factors such as the
type of blockchain, its purpose, and the level of security required. However,
generally speaking, the more nodes there are in a blockchain network, the
more secure it is. Having a large number of nodes in the network increases
the security of the blockchain. When there are more nodes, there are more
copies of the ledger, which makes it more difficult for anyone to alter the
information on the blockchain without being detected. Additionally, the
decentralized nature of the blockchain means that even if some nodes
are compromised or go offline, the network as a whole can continue to
function.
Therefore, having a sufficient number of nodes is crucial to
maintaining the security and integrity of the blockchain. However, it is
worth noting that having more nodes does not necessarily guarantee
complete security, as there are other factors such as the consensus
algorithm and network protocol that also play a role in the security of the
blockchain. I will explain more about this later.
13
Unlike traditional systems, which rely on a central authority to

validate and process transactions, blockchain technology is based on
a network of computers that all have equal power and authority. This
means that there is no single point of failure and no central authority that
can be compromised. Instead, transactions are validated and processed
by a consensus of the network, ensuring that the system is secure and
tamper-proof.
Another key feature of blockchain technology is its use of
cryptography. Cryptography is the practice of securing communication
and information by encoding it in a way that only authorized parties
can access it. In the case of blockchain technology, this means that all
transactions are encrypted and stored on the network in a way that makes
them impossible to tamper with or change without being detected. This
ensures that the integrity of the data on the blockchain is maintained and
that any attempts to alter it can be easily detected.
Creating a tamper-proof record of transactions is achieved by the way
that data is stored on the blockchain. Each block of data on the blockchain
contains a record of all the transactions that have taken place since the last
block was added to the chain. Once a block is added to the chain, it cannot
be altered or deleted, ensuring that the data stored on the blockchain is
permanent and immutable.
It’s important that a blockchain is tamper-proof because it helps
ensure the security, trust, and integrity of the data stored on the
blockchain. If a blockchain can be easily altered or manipulated, then
it becomes unreliable and untrustworthy, as the data can be changed
without the knowledge or consent of its users. A tamper-proof blockchain,
on the other hand, provides a secure and trustworthy platform for storing
and transmitting data, allowing users to have confidence in the validity
of the information and transactions on the blockchain. This is crucial for
many applications of blockchain technology, such as cryptocurrencies,
where the integrity of financial transactions must be maintained.
14
Key Components of Blockchain Technology

A blockchain network is a network that allows multiple users to keep a
copy of the same digital ledger. Each copy of the ledger is called a node.
These nodes can take on different roles in the network, and it is important
to understand the different types of nodes and their functions in order to
fully understand how blockchain technology works.
Full nodes are the backbone of the blockchain network. They store a
complete copy of the blockchain, including every transaction that has ever
been made. These nodes are responsible for validating new transactions
and adding them to the blockchain. They also ensure that the blockchain
remains in a consistent state by following the consensus mechanism of the
network.
Light nodes, also known as “light clients,” do not store a complete copy
of the blockchain. Instead, they only store a portion of the blockchain,
such as the current state of the network. These nodes are generally used by
individuals or organizations that want to use the blockchain network but
do not have the resources to run a full node.
Mining nodes are responsible for creating new blocks in the
blockchain. They do this by solving complex mathematical problems,
known as “proof of work” (PoW), to find the next block in the chain. These
nodes are also responsible for adding new transactions to the blockchain
and ensuring that the blockchain remains in a consistent state.
The consensus mechanism is the process by which all the nodes in
the network agree on the current state of the blockchain. This ensures that
every node on the network has a copy of the same ledger.
A simple example of a consensus mechanism is a voting system.
Imagine a group of people who are trying to decide on the best restaurant
to go to for dinner. Instead of everyone making their own decision, they
decide to use a consensus mechanism to reach agreement. They each
write down their preferred restaurant on a piece of paper, and then they
15
place all of the papers into a hat. Once all of the papers are in the hat, they
are counted, and the restaurant with the most votes is the one that they will
all go to.
In this example, the consensus mechanism is the voting process, and
the participants in the network are the people who are trying to reach
agreement (consensus) on the best restaurant. Just like in a blockchain
network, the consensus mechanism helps ensure that all participants have
the same information and that the decision that is made is accurate and
trustworthy.
In blockchain technology the most commonly used consensus
mechanism is called “proof of work” (PoW), which is used by Bitcoin and
other cryptocurrencies. This mechanism uses complex mathematical
problems that are solved by the mining nodes. Once a solution is found,
it is broadcast to the network, and all the nodes verify the solution. If a
majority of the nodes agree on the solution, a new block is added to the
blockchain.
Here’s a simple example to understand the concept: Imagine a treasure
hunt where participants need to solve a puzzle to find the treasure. In this
case, the puzzle is the complex mathematical problem that needs to be
solved in order to validate a transaction on the network. Each participant
competes to be the first to solve the puzzle and find the treasure. Once the
puzzle is solved, the winner is rewarded with some cryptocurrency, and
the transaction is added to the blockchain.
This process of solving the puzzle is called “mining,” and the
participants are called “miners.” The more miners there are in the network,
the more secure the network becomes, as it becomes more difficult for any
one miner to manipulate the transactions on the network. This is because
the network would need to reach a consensus that the transactions are
valid before they can be added to the blockchain.
In summary, PoW is a way for the network to reach consensus and
validate transactions in a secure and decentralized manner.
16
One of the main disadvantages of PoW is that it requires a large

amount of energy to validate transactions. Miners must compete to solve
complex mathematical problems in order to validate transactions and add
them to the blockchain. This requires a lot of computing power, which in
turn requires a lot of energy to power the computers and cool them down.
Another commonly used consensus mechanism is “proof of stake”
(PoS), which is used by Ethereum and other cryptocurrencies. In this
mechanism, nodes put up a certain amount of cryptocurrency as collateral
in order to participate in the validation of transactions. The more collateral
a node has, the more likely it is to be chosen to validate a transaction.
Let’s say you are part of a group of people who are building a new city
from scratch. To make sure everyone has a say in how the city is built and
run, you all agree to use a proof of stake consensus mechanism. In this
mechanism, instead of everyone putting in equal amounts of physical
labor (proof of work), each person in the group puts in a certain amount of
money that they are willing to stake (or bet) on the success of the city.
The more money someone is willing to stake, the more influence they
have in decision-making. For example, if one person stakes 10% of the
total funds, they have 10% of the decision-making power. The group then
votes on important decisions such as where to build roads, what kind of
buildings to construct, etc.
The proof of stake mechanism incentivizes people to act in the best
interest of the city because if the city is successful, the value of their stake
will increase. On the other hand, if they act maliciously or make poor
decisions, the value of their stake may decrease. This mechanism ensures
that decision-making is distributed and democratic, as the people with the
most stake have the most influence, and there is a financial incentive for
everyone to work together for the success of the city.
Proof of stake is seen as a more environmentally friendly alternative
to proof of work, as it requires significantly less energy to run the network.
Figure 2-2 depicts this disparity.
17
Figure 2-2. Proof of work vs. proof of stake
In summary, understanding the different types of nodes and the

consensus mechanism used in a blockchain network helps understand
how blockchain technology works. Full nodes are the backbone of
the network and are responsible for validating new transactions and
maintaining the consistency of the blockchain. Light nodes and mining
nodes play important roles in the network as well, but are used for different
purposes. Full nodes are used to store a complete copy of the blockchain,
while light nodes are used to access the blockchain without having to store
a complete copy, and mining nodes are used to create new blocks and
validate transactions on the network.
In addition, blockchain technology also allows for smart contract
functionality. Smart contracts are self-executing digital agreements
that contain the terms of a transaction between parties. They are a key
component of blockchain technology, and they can be programmed to
18
automatically enforce the rules and regulations of the contract. Smart

contracts have the potential to revolutionize a wide range of industries,
from finance and real estate to healthcare and government.
One of the main benefits of smart contracts is their automation and
efficiency. Unlike traditional contracts, which require manual processing
and reconciliation, smart contracts are executed automatically based on
predefined rules and conditions. This reduces the need for intermediaries,
such as lawyers or financial institutions, and increases the speed and
accuracy of transactions. I will explain the concept of a smart contract
later in more detail, but let me give you some examples to give you an
impression of how it works.
Let’s use the example of a crowdfunding platform to explain the
concept of smart contracts in a simple way. In a traditional crowdfunding
scenario, a project creator sets up a campaign on a centralized platform,
like Kickstarter or Indiegogo. They define a funding goal and a deadline.
Supporters pledge money to the campaign, and the platform holds the
funds. If the funding goal is reached by the deadline, the platform releases
the funds to the project creator, minus fees. If the goal isn’t reached,
the funds are returned to the supporters. The platform acts as a trusted
intermediary to manage and enforce the rules of the campaign.
Now, imagine a crowdfunding campaign using a smart contract
on a blockchain network: The project creator creates a smart contract,
which includes the funding goal, deadline, and rules for releasing funds
or returning them to supporters. The smart contract is deployed on the
blockchain network. Supporters send their contributions directly to
the smart contract using a digital currency (like cryptocurrency). The
smart contract automatically keeps track of the total funds raised and the
individual contributions.
If the funding goal is reached by the deadline, the smart contract
automatically releases the funds to the project creator, without the need for
a centralized platform or intermediary. If the funding goal isn’t reached by
19
the deadline, the smart contract automatically returns the contributions to

the supporters, again without the need for a centralized platform.
In this example, the smart contract replaces the need for a trusted
central authority (the crowdfunding platform) to enforce the rules of
the campaign. The self-executing nature of the smart contract ensures
that the funds are either released to the project creator or returned to
the supporters according to the predefined rules, without the risk of
mismanagement or fraud.
This use of smart contracts in crowdfunding can make the process
more efficient, transparent, and secure while also reducing the fees
typically associated with traditional crowdfunding platforms. It
demonstrates the potential of smart contracts to revolutionize a wide
range of industries and applications.
Another example is of a phone battery insurance policy. In today’s
connected world, smartphones have become an essential part of our daily
lives, allowing us to stay in touch, access information, and manage various
tasks on the go. A key component of any smartphone is its battery, which
powers the device and enables us to use it throughout the day. However,
many users experience frustration when their phone’s battery performance
degrades over time, causing the device to lose charge quickly or require
frequent recharging. In some cases, this degradation can happen earlier
than expected, leading to inconvenience and additional costs for users.
To address this issue, we could introduce a phone battery insurance
policy, offering coverage and financial protection to policyholders in
the event that their phone’s battery performance declines too rapidly. In
this context, utilizing smart contracts on a blockchain network can help
streamline the insurance claim process by automating the monitoring,
verification, and payout of claims, making it more efficient, transparent,
and secure for both policyholders and insurance companies.
In a traditional phone battery insurance scenario, if a phone’s battery
performance degrades too quickly, the policyholder would need to contact
the insurance company, submit a claim with proof of the battery’s poor
20
performance, and wait for the company to review and approve the claim
before receiving a payout. This process can be time-consuming and may
require a lot of back-and-forth communication between the policyholder
and the insurance company.
Now, let’s imagine a phone battery insurance policy using a smart
contract on a blockchain network. The policyholder and the insurance
company agree on the terms of the phone battery insurance policy, such
as coverage, premium, and conditions for payout (e.g., battery capacity
dropping below a certain threshold within a specific period). These terms
are coded into a smart contract, which is deployed on the blockchain
network.
The policyholder pays the insurance premium using a digital currency
(like cryptocurrency) directly to the smart contract. The phone’s battery
performance is monitored automatically using a software or hardware
sensor, which periodically sends the battery capacity data to the smart
contract. If the battery capacity drops below the predefined threshold
within the specified period, the smart contract automatically verifies
the conditions of the claim and releases the insurance payment to the
policyholder, without the need for manual claim submission, review, or
approval.
In this example, smart contracts simplify and speed up the phone
battery insurance claim process by automating the monitoring, verification
of claims, and release of payments. The self-executing nature of the smart
contract ensures that payouts are made quickly and accurately, based on
the predefined conditions of the policy.
This use of smart contracts in phone battery insurance demonstrates
their potential to revolutionize various industries and applications by
making processes more efficient, transparent, and secure while also
reducing the need for manual intervention and the potential for errors or
disputes.
I will dive deeper into the topic of smart contracts later in the chapter.
21
igital Currencies and Blockchain

D
Technology
Blockchain technology is mostly used to create digital currencies, also
known as cryptocurrencies, by providing a secure and decentralized way
to record and transfer ownership of digital assets. The most well-known
cryptocurrency, Bitcoin, was the first to use blockchain technology. It was
created in 2009 by an anonymous individual or group of individuals known
as Satoshi Nakamoto.
To understand how blockchain technology is used to create digital
currencies, it’s important to first understand the concept of digital tokens.
A digital token is a digital representation of an asset or utility, such as
a currency, that can be traded and stored electronically. In the case of
cryptocurrencies, these tokens represent a specific unit of the currency.
Blockchain technology allows for the creation of digital tokens by using
mining. Mining is the process of creating new blocks in the blockchain,
which in turn creates new units of the cryptocurrency. When a new block
is added to the blockchain, it contains a certain number of new tokens
that are created and added to the circulation. These tokens can be bought
and sold on cryptocurrency exchanges and transferred between users.
Blockchain technology allows for the secure and transparent transfer
of digital tokens between users. When a user wants to transfer a digital
token to another user, they broadcast a transaction to the network. This
transaction is then verified by the nodes on the network, and if it is valid, it
is added to the next block in the blockchain. This creates a permanent and
tamper-proof record of the transfer of ownership of the digital token.
Cryptocurrencies like Bitcoin and Ethereum use a public blockchain,
which means that anyone can participate in the network and view the
transaction history. There are also private blockchains, which are only
accessible to a specific group of people or organizations. These are
commonly used in enterprise solutions and consortiums, where only
authorized members have access to the blockchain.
22
In summary, cryptocurrencies are a revolutionary development

in the world of finance, offering a new way of conducting transactions
and exchanging value that is secure, fast, and accessible to anyone with
an Internet connection. Blockchain technology is used to create digital
currencies, such as Bitcoin and Ethereum, by providing a secure and
decentralized way to record and transfer ownership of digital assets. Digital
tokens, or units of the currency, are created and added to circulation
through the process of mining. These tokens can then be bought and sold
on cryptocurrency exchanges and transferred between users.
otential Applications Beyond

P
Cryptocurrency
Blockchain technology has the potential to revolutionize many industries
beyond just cryptocurrency. One of the main advantages of blockchain
is its ability to provide a secure and transparent way to record and
track transactions. This makes it particularly useful in industries where
transparency and trust are important. Here are some potential areas of
application of blockchain technology beyond cryptocurrency:
1. Supply chain management: Supply chain

management is the process of overseeing the flow
of goods and services from the point of origin to the
point of consumption. Blockchain technology can be
used to create a tamper-proof record of the movement
of goods through a supply chain. This can help
increase transparency and trust in the supply chain,
as well as improve efficiency by reducing the need
for intermediaries. For example, Walmart is using
blockchain technology to track the movement of food
products through its supply chain, which can help
quickly identify the source of any food contamination.
23
2. Digital identity: Blockchain technology can be

used to create a secure and tamper-proof digital
identity for individuals or organizations. This
can be particularly useful in industries where
verifying identity is important, such as banking
and healthcare. For example, Microsoft is working
on a blockchain-based digital identity platform
that allows individuals to control and share their
personal information.
3. Voting systems: Blockchain technology offers a

solution to create a secure and transparent voting
system. This can help increase trust in the electoral
process and reduce the potential for voter fraud.
For example, West Virginia has successfully used
blockchain technology in a pilot voting project for
military personnel overseas, which helped increase
transparency and trust in the voting process. The
system was designed to allow military personnel to
vote in the state’s primary elections using a mobile
application that was linked to the blockchain. The
use of blockchain technology helped increase trust
in the voting process and reduce the risk of fraud, as
the votes were recorded on a tamper-proof ledger
that was accessible to all stakeholders.
4. Real estate: Blockchain technology can create a

tamper-proof record of property ownership and
transactions. This can help increase transparency
and trust in the real estate industry, as well as
reduce the need for intermediaries. For example,
24
Ubitquity is a company that is using blockchain

technology to create a tamper-proof record of
property ownership and transactions, which can
help speed up the process of buying and selling
property.
5. Healthcare: Blockchain technology could be used

to create a secure and transparent way to store and
share medical records. This can help increase trust
and security in the healthcare industry, as well as
improve the efficiency of medical research. For
example, MedRec is a project that uses blockchain
technology to create a tamper-proof record of
medical information, which can help improve the
efficiency of medical research.
In summary, blockchain technology has the potential to revolutionize

many industries beyond just cryptocurrency by providing a secure and
transparent way to record and track transactions. This makes it particularly
useful in industries where transparency and trust are important. Some
of the potential practical applications of blockchain technology beyond
cryptocurrency include supply chain management, digital identity, voting
systems, real estate, and healthcare. These industries can benefit from
the tamper-proof and decentralized nature of blockchain, which can help
increase transparency, trust, security, and efficiency. With the potential
to revolutionize so many industries, it’s no surprise that many companies
and organizations are exploring the use of blockchain technology in their
operations.
25
Smart Contracts
As explained previously in this chapter, smart contracts are self-executing
contracts with the terms of the agreement between parties being directly
written into lines of code. These contracts are stored and replicated on
the blockchain network and can be executed automatically when certain
conditions are met. Once a smart contract is stored on the blockchain, it
cannot be altered, ensuring that the terms of the agreement are honored
by all parties involved. The use of blockchain technology allows smart
contracts to be transparent, secure, and tamper-proof, making them a
useful tool for a variety of transactions, from simple exchanges of goods
and services to complex financial transactions. Smart contracts eliminate
the need for intermediaries, such as lawyers or notaries, and enable faster
execution times due to their trustless nature enabled by cryptographically
secured ledgers.
One platform that utilizes smart contracts is the Ethereum Virtual
Machine (EVM). The EVM is a decentralized platform that allows
developers to create and deploy smart contracts, shown in Figure 2-3.
These contracts are written in a programming language called Solidity and
are executed by the EVM. The EVM runs on a network of nodes, which are
computers that are running the Ethereum software.
26
Figure 2-3. A smart contract on the blockchain
Smart contracts can be used in a wide range of industries and

applications. Here are a few examples:
1. Real estate: Smart contracts can be used to automate

the process of buying and selling property. The
contract can include all the terms of the agreement,
such as the purchase price and closing date, and
can be executed automatically when the conditions
are met. This eliminates the need for intermediaries
and can speed up the process of buying and selling
property.
27
2. Supply chain management: Smart contracts can be

used to automate the tracking of goods through a
supply chain. The contract can include all the terms
of the agreement, such as the delivery date and
payment terms, and can be executed automatically
when the conditions are met. This can increase
transparency and trust in the supply chain and can
improve the efficiency of the logistics process.
3. Insurance: Smart contracts can be used to automate

the process of making claims and paying out
insurance benefits. The contract can include all the
terms of the agreement, such as the coverage limits
and deductibles, and can be executed automatically
when the conditions are met. This can speed up the
process of making claims and can reduce the costs
associated with traditional insurance processes.
4. Banking: Smart contracts can be used to automate

the process of issuing and trading financial
instruments, such as bonds and derivatives. The
contract can include all the terms of the agreement,
such as the interest rate and maturity date, and can
be executed automatically when the conditions are
met. This can increase transparency and trust in the
financial system and can reduce the costs associated
with traditional banking processes.
In the forthcoming chapter, I will explore these ideas and concepts

in more detail, but it is good to already have a basic understanding
beforehand.
28
In summary, smart contracts are self-executing contracts that

are stored and replicated on the blockchain network. They allow
complex agreements between two or more parties to be automated via
predetermined conditions written into code running atop a decentralized
platform such as the Ethereum Virtual Machine (EVM). This eliminates
costly legal fees associated with traditional contract enforcement methods
while providing faster execution times due to their trustless nature enabled
by cryptographically secured ledgers. Smart contracts can be used in a
wide range of industries, such as real estate, supply chain management,
insurance, banking, and decentralized finance, to increase transparency,
trust, security, and efficiency.
F oundational Principles of
Blockchain Technology
By now you have learned that some of the foundational principles that
define blockchain technology are immutability, transparency, and
decentralization.
Immutability refers to the fact that once data is recorded on a
blockchain, it cannot be altered or deleted. This is achieved through
the use of cryptography, which ensures that the data on the blockchain
is tamper-proof. This feature is particularly useful in industries where
transparency and trust are important, such as supply chain management
and financial systems.
Transparency is another key concept of blockchain technology.
The decentralized nature of blockchain means that all transactions are
recorded on a public ledger, which can be accessed by anyone. This
ensures that the data on the blockchain is transparent and can be easily
audited. This feature is particularly useful in industries where transparency
is important, such as voting systems and supply chain management.
29
Decentralization is another key concept of blockchain technology.

Unlike traditional systems, which rely on a central authority to validate
transactions, blockchain technology is based on a decentralized network
of nodes. This ensures that the system is not controlled by any single entity,
which makes it more secure and less prone to manipulation. This feature is
particularly useful in industries where trust is important, such as financial
systems and supply chain management.
30
CHAPTER 3
The Future
of Blockchain
Technology
Currently, blockchain technology is most commonly associated with
digital currencies such as Bitcoin and Ethereum. However, the underlying
technology of blockchain has the potential to be applied in a wide range
of industries and systems. The decentralization of blockchain technology
provides increased transparency and security in various processes, which
makes it a suitable technology for real-world usages such as supply chain
management, digital identity, and voting systems.
In supply chain management, blockchain technology can be used to
track goods as they move through the supply chain, from the manufacturer
to the consumer. By using blockchain-based smart contracts, it would
be possible to automate processes such as tracking inventory, managing
logistics, and ensuring compliance with regulations. This can greatly
improve the transparency and efficiency of supply chains and can also
help reduce costs and increase security. For example, a company could
use a blockchain system to track products and identify any issues that arise
during the production process, such as counterfeit products or issues with
quality control. This would enable the company to quickly identify and
correct any problems, which would improve the overall efficiency and
effectiveness of the supply chain.

Another random document with
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frowning behind, looks, from across the firth, absolutely like a
tasteful little haunt of the capricious spirit of romance.
Well, between this road on the lowland side of the firth, and the
water’s-edge, and before it winds off round by the romantic seat of
Sir Michael Shaw Stewart, farther up, there stand, or stood, two or
three small fishing cottages which, from the hills nearly over them,
looked just like white shells, of a large size, dropped fancifully down
upon the green common between the hills and the road. In these
cottages, it was observed, the fishermen had numerous families,
who, while young, assisted them in their healthful employment; and
that the girls, of which there were a number, were so wild in their
contented seclusion, that if any passenger on the road stopped to
observe them, as they sat in groups on the green mending their
father’s nets, they would take alarm, and rise and run off like fawns,
and hide among the rocks by the sea, or trip back into the cottages.
Now it happened, once on a time, that a great event took place to one
of the cottager’s daughters, which, for a long period, deranged and
almost destroyed the happy equality in which they had hitherto lived;
and becoming the theme of discourse and inquiry concerning things
beyond the sphere of the fisher people and all their neighbours as far
as Gourock, introduced among them no small degree of ambition
and discontent.
There was one of the fishermen, a remarkably decent, well
disposed Highlandman, from the opposite shore of Argyleshire,
named Martin M‘Leod, and he had two daughters, the youngest of
which, as was no uncommon case, turned out to be remarkably and
even delicately beautiful.
But nobody ever saw or thought anything about the beauty of
Catherine M‘Leod, except it might be some of the growing young
men in the neighbouring cottages, several of whom began, at times,
to look at her with a sort of wonder, and seemed to feel a degree of
awe in her company; while her family took an involuntary pride in
her beyond all the others; and her eldest sister somehow imitated her
in every thing, and continually quoted her talk, and trumpeted about
among the neighbours what was said and done by “my sister Kate.”
Things continued in this way as Kate grew to womankind; and she
was the liveliest little body about the place, and used to sing so
divertingly at the house-end, as she busied herself about her father’s
fishing gear, and ran up and down “among the brekans on the brae,”
behind the cottages, or took her wanderings off all the way to the
Clough lighthouse at the point. I say things continued in this way
until a gentleman, who, it turned out, was all the way from London,
came to lodge in Greenock, or Gourock, or Inverkip, or somewhere
not very far distant; and, being a gentleman, and, of course, at liberty
to do every sort of out-of-the-way thing that he pleased, he got a
manner of coming down and wandering about among the cottages,
and asking questions concerning whatever he chose of the fishermen;
and then it was not long until he got his eyes upon Kate.
“The gentleman,” as her sister used to tell afterwards, “was
perfectly ill, and smitten at once about our Kate. He was not able,”
she said, “to take the least rest, but was down constantly about us for
weeks; and then he got to talking to and walking with Kate, she
linking her arm in his beneath the hill, just as it had been Sir Michael
Stewart and my lady; and then such presents as he used to bring for
her, bought in the grand shop of Bailie Macnicol, at Greenock;
gowns, and shawls, and veils, and fine chip hats, never speaking of
ribbons, and lace edging, and mob caps—perfectly beautiful.”
The whole of the fishermen’s daughters became mad with envy of
poor Kate, and admiration of her new dress, which some said was
mostly bought by her father after all, who wanted to have his
daughter made a lady of; and now nothing was heard in the hamlet
but murmurings and discontented complaints; every girl looking at
herself in the little cracked glass that her father used to shave by, to
see if she were pretty, and wishing and longing, not only for a lover of
her own, but even for a gentleman. So, as matters grew serious, and
the gentleman was fairly in love, old Martin M‘Leod, who looked
sharply after Kate, behoved to have sundry conversations with the
gentleman about her; and masters being appointed to teach her right
things, which the fisher folks never heard of, but which were to turn
her into a lady, Kate and the gentleman, after a time, were actually
married in Greenock new church, and set off for London.
During all this time, there were various opinions among the fisher
people, how that Kate never was particularly in love with the
gentleman; and some even said that she was in love with somebody
else (for pretty maidens must always be in love), or, at least, that
some of the youths of the neighbourhood were in love with her; but
then the old folks said, that love was only for gentle people who could
afford to pay for it; and that when a gentleman was pleased to fall in
love, no one had a right to say him nay, or pretend to set up against
him. Some of the young women, to be sure, ventured to contest this
doctrine, and cited various cases from the authority of printed
ballads bought at the Greenock fair, at a halfpenny each; and also
from the traditionary literature of Argyleshire, which was couched in
the mellifluous numbers of the Gaelic language; but, however this
might be, the fame of Catherine M‘Leod’s happy marriage and great
fortune was noised abroad exceedingly, among the fisher people
throughout these coasts, as well as about Gourock and all the parts
adjacent.
As to the gentleman, it was found out that his name was Mr
Pounteney, and that little Kate M‘Leod was now Mrs Pounteney, and
a great London lady, but what quality of a gentleman Mr Pounteney
really was, was a matter of much controversy and discussion. Some
said that he was a great gentleman, and others thought that, from
various symptoms, he was not a very great gentleman; some went so
far as to say he was a lord or a prince, while others maintained that
he was only a simple esquire.
Nothing, therefore, could be talked of wherever Flora M‘Leod
went, but about “my sister Kate;” and she was quite in request
everywhere, because she could talk of the romantic history and
happy fortune of her lucky sister. Mrs Pounteney’s house in London,
therefore, Mrs Pounteney’s grand husband, and Mrs Pounteney’s
coach, excited the admiration and the discontent of all the
fishermen’s daughters, for many miles round this romantic seacoast,
and these quiet cottages under the hills, where the simple people live
upon their fish, and did not know that they were happy. Many a long
summer’s day, as the girls sat working their nets on a knoll towards
the sea, the sun that shone warm upon their indolent limbs on the
grass, and the breeze that blew from the firth, or swept round from
the flowery woods of Ardgowan, seemed less grateful and delicious,
from their discontented imaginings about the fortune of Mrs
Pounteney; and many a sweet and wholesome supper of fresh boiled
fish was made to lose its former relish, or was even embittered by
obtrusive discourse about the fine wines and the gilded grandeur of
“my sister Kate.” Even the fisher lads in the neighbourhood—fine
fearless youths—found a total alteration in their sweethearts; their
discourse was not relished, their persons were almost despised; and
there was now no happiness found for a fisherman’s daughter, but
what was at least to approach to the state of grandeur and felicity so
fortunately obtained by “my sister Kate.”
The minds of Kate’s family were so carried by her great fortune,
that vague wishes and discontented repinings followed their constant
meditations upon her lucky lot. Flora had found herself above
marrying a fisherman; and a young fellow called Bryce Cameron,
who had long waited for her, and whose brother, Allan, was once a
sweetheart of Kate’s herself, being long ago discarded; and she, not
perceiving any chances of a gentleman making his appearance to
take Bryce’s place, became melancholy and thoughtful; she began to
fear that she was to have nobody, and her thoughts ran constantly
after London and Mrs Pounteney. With these anxious wishes, vague
hopes began to mix of some lucky turn to her own fortune, if she
were only in the way of getting to be a lady; and at length she formed
the high wish, and even the adventurous resolve, of going all the way
to London, just to get one peep at her sister’s happiness.
When this ambition seized Flora M‘Leod, she let the old people
have no rest, nor did she spare any exertion to get the means of
making her proposed pilgrimage to London. In the course of a
fortnight from its first serious suggestion, she, with a gold guinea in
her pocket, and two one-pound notes of the Greenock Bank, besides
other coins and valuables, and even a little old-fashioned Highland
brooch, with which the quondam lover of her sister, Allan Cameron,
had the temerity to intrust to her, to be specially returned into the
hand of the great lady when she should see her, besides a hundred
other charges and remembrances from the neighbours, she set off
one dewy morning in summer, carrying her shoes and stockings in
her hand, to make her way to London, to get a sight of everything
great, and particularly of her happy sister Kate.
Many a weary mile did Flora M‘Leod walk, and ride, and sail,
through unknown places, and in what she called foreign parts; for
strange things and people met her eye, and long dull regions of
country passed her like a rapid vision, as she was wheeled towards
the great capital, and proper centre of England. After travelling to a
distance that was to her perfectly amazing, she was set down in
London, and inquired her way, in the best English she could
command, into one of those long brick streets, of dark and dull
gentility, to which she was directed; and after much trouble and
some expense, at length found the door of her sister’s house. She
stood awhile considering, on the steps of the mansion, and felt a sort
of fear of lifting the big iron knocker that seemed to grin down upon
her; for she was not in the habit of knocking at great folk’s doors, and
almost trembled lest somebody from within would frown her into
nothing, even by their high and lofty looks.
And yet she thought the house was not so dreadfully grand after
all;—not at all such as she had imagined, for she had passed houses
much bigger and grander than this great gentleman’s; it was not even
the largest in its own street, and looked dull and dingy, and shut up
with blinds and rails, having a sort of melancholy appearance.
But she must not linger, but see what was inside. She lifted up the
iron knocker, and as it fell the very clang of it, and its echo inside,
smote upon her heart with a sensation of strange apprehension. A
powdered man opened it, and stared at her with an inquisitive and
impertinent look, then saucily asked what she wanted. Flora
courtesied low to the servant from perfect terror, saying she wanted
to see Mrs Pounteney.
“And what can you want with Mrs Pounteney, young woman, I
should like to know?” said the fellow; for Flora neither looked like a
milliner’s woman nor any other sort of useful person likely to be
wanted by a lady.
Flora had laid various pretty plans in her own mind, about taking
her sister by surprise, and seeing how she would look at her before
she spoke, and so forth; at least she had resolved not to affront her
by making herself known as her sister before the servants; but the
man looked at her with such suspicion, and spoke so insolently, that
she absolutely began to fear, from the interrogations of this fellow,
that she would be refused admittance to her own sister, and was
forced to explain and reveal herself before the outer door was fully
opened to her. At length she was conducted, on tiptoe, along a
passage, and then upstairs, until she was placed in a little back
dressing-room. The servant then went into the drawing-room, where
sat two ladies at opposite sides of the apartment, there to announce
Flora’s message.
On a sofa, near the window, sat a neat youthful figure, extremely
elegantly formed, but petite, with a face that need not be described,
further than that the features were small and pretty, and that, as a
whole, it was rich in the nameless expression of simple beauty. Her
dress could not have been plainer, to be of silk of the best sort; but
the languid discontent, if not melancholy, with which the female, yet
quite in youth, gazed towards the window, or bent over a little silk
netting with which she carelessly employed herself, seemed to any
observer strange and unnatural at her time of life. At a table near the
fire was seated a woman, almost the perfect contrast to this
interesting figure, in the person of Mr Pounteney’s eldest sister, a
hard-faced, business-like person, who, with pen and ink before her,
seemed busy among a parcel of household accounts, and the
characteristic accompaniment of a bunch of keys occasionally
rattling at her elbow.
The servant approached, as if fearful of being noticed by “the old
one,” as he was accustomed to call Miss Pounteney, and in a half
whisper intimated to the little figure that a female wanted to see her.
“Eh! what!—what is it you say, John?” cried the lady among the
papers, noticing this manœuvre of the servant.
“Nothing, Madam; it is a person that wants my lady.”
“Your lady, sirrah; it must be me!—Eh! what!”
“No, Madam; she wants to see Mrs Pounteney particularly.”
“Ah, John!” said the little lady on the sofa; “just refer her to Miss
Pounteney. There is nobody can want me.”
“Wants to see Mrs Pounteney particularly!” resumed the sister-in-
law: “how dare you bring in such a message, sirrah? Mrs Pounteney
particularly, indeed! Who is she, sirrah! Who comes here with such a
message while I am in the house?”
“You must be mistaken, John,” said the little lady sighing, who was
once the lively Kate M‘Leod of the fishing cottage in Scotland; “just
let Miss Pounteney speak to her, you need not come to me.”
“No, madam,” said the servant, addressing Miss Pounteney, the
natural pertness of his situation now returning to overcome his
dread of “the old one.” “This young person wants to see my mistress
directly, and I have put her into her dressing-room; pray, ma’am,
go,” he added, respectfully, to the listless Kate.
“Do you come here to give your orders, sirrah?” exclaimed Miss
Pounteney, rising like a fury, and kicking the footstool half way
across the room, “and to put strange people of your own accord into
any dressing-room in this house! and to talk of your mistress, and
wanting to speak to her directly, and privately, while I am here! I
wonder what sister Becky would say, or Mr Pounteney, if he were at
home!”
“Who is it, John? Do just bring her here, and put an end to this!”
said Kate, imploringly, to the man.
“Madam,” said John at last to his trembling mistress, “it is your
sister!”
“Who, John?” cried Kate, starting to her feet; “my sister Flora—my
own sister, from Clyde side! Speak, John, are you sure?”
“Yes, Madam, your sister from Scotland.”
“Oh, where is she, where is she? Let me go!”
“No, no; you must be mistaken, John,” said the lady with the keys,
stepping forward to interrupt the anxious Kate. “John, this is all a
mistake,” she added, smoothly; “Mrs Pounteney has no sister! John,
you may leave the room;” and she gave a determined look to the
other sister, who stood astonished.
The moment the servant left the room, Miss Pounteney came
forward, and stood in renewed rage over the fragile, melancholy
Kate, and burst out with “What is this, Kate? Is it really possible,
after what you know of my mind, and all our minds, that you have
dared to bring your poor relations into my brother’s house? That it is
not enough that we are to have the disgrace of your mean
connections, but we are to have your sisters and brothers to no end
coming into the very house, and sending up their beggarly names
and designations by the very servants! Kate, I must not permit this. I
will not—I shall not;” and she stamped with rage.
“Oh, Miss Pounteney,” said Kate, with clasped hands, “will you not
let me go and see my sister? Will you just let me go and weep on the
neck of my poor Flora? I will go to a private place—I will go to
another house, if you please; I will do anything when I return to you,
if I ever return, for I care not if I never come into this unhappy house
more!” and, uttering this, almost with a shriek, she burst past the two
women, and ran through the rooms to seek her sister.
Meantime, Flora had sat so long waiting, without seeing her sister,
that she began to feel intense anxiety; and, fancying her little Kate
wished to forget her, because she was poor, had worked herself up
into a resolution of assumed coldness, when she heard a hurried
step, and the door was instantly opened. Kate paused for a moment
after her entrance, and stood gazing upon the companion of her
youth, with a look of such passionate joy, that Flora’s intended
coldness was entirely subdued; and the two sisters rushed into each
other’s arms in all the ecstacy of sisterly love.
“Oh, Flora, Flora! my dear happy Flora!” cried Kate, when she
could get words, after the first burst of weeping; “have you really
come all the way to London to see me?—poor me!” and her tears and
sobs were again like to choke her. “Kate—my dear little Kate!” said
Flora, “this is not the way I expected to find you. Do not greet so
dreadfully; surely you are not happy, Kate?”
“But you are happy,” said Kate, weeping. “And how is my good
Highland father, and mother, and my brother Daniel? Ah! I think,
Flora, your clothes have the very smell of the seashore, and of the
bark of the nets, and of the heather hills of Argyleshire. Alas the
happy days you remind me of, Flora!”
“And so, Kate, you are not so very happy, after all,” said Flora,
looking incredulously in her face; “and you are so thin, and pale, and
your eyes are so red; and yet you have such a grand house, Kate! Tell
me if you are really not happy.”
“I have no house, Flora,” said Kate, after a little, “and, I may say,
no husband. They are both completely ruled by his two vixen sisters,
who kept house for him before he married me, and still have the
entire ascendancy over him. My husband, too, is not naturally good
tempered; yet he once loved me, and I might enjoy some little
happiness in this new life, if he had the feeling, or the spirit, to treat
me as his wife, and free himself and the house from the dominion of
his sisters, especially the eldest. But I believe he is rather
disappointed in his ambitious career, and in the hopes he
entertained of matches for his sisters, and he is somewhat sour and
unhappy; and I have to bear it all, for he is afraid of these women;
and I, the youngest in the family, and the only one who has a chance
of being good tempered, am, on account of my low origin, forced to
bear the spleen of all in this unhappy house.”
“But, Kate, surely your husband would not behave so bad as to cast
up to you that your father was a fisherman, when he took you from
the bonnie seaside himself, and when he thought himself once so
happy to get you?”
“Alas! he does indeed!—too often—too often—when he is crossed
abroad, and when his sisters set him on; and it so humbles me, Flora,
when I am sitting at his table, that I cannot lift my head; and I am so
sad, and so heart-broken among them all!”
“Bless me! and can people be really so miserable,” said Flora,
simply, “who have plenty of money, and silk dresses to wear every
day they rise?”
“It is little you know, my happy Flora, of artificial life here in
London,” said Kate, mournfully. “As for dress, I cannot even order
one but as my sister-in-law chooses; and as for happiness, I have left
it behind me on the beautiful banks of the Clyde. O that I were there
again!”
“Poor little Kate!” said Flora, wistfully looking again in her sister’s
face; “and is that the end of all your grand marriage, that has set a’
the lasses crazy, from the Fairlie Roads to Gourock Point? I think I’ll
gang back and marry Bryce Cameron after a’.”
“Is Allan Cameron married yet?” said Kate, sadly. “When did you
see blithe and bonnie Allan Cameron?—Alas the day!”
“He gave me this brooch to return to you, Kate,” said Flora, taking
the brooch out of her bosom. “I wish he had not gien it to me for you,
for you’re vexed enough already.”
“Ah! well you may say I am vexed enough,” said she, weeping and
contemplating the brooch. “Tell Allan Cameron that I am sensible I
did not use him well—that my vain heart was lifted up; but I have
suffered for it; many a sad and sleepless night I have lain in my bed,
and thought of the delightful days I spent near my father’s happy
cottage in Scotland, and about you, and about Allan. Alas! just tell
him not to think more of me; for I am a sad and sorry married
woman, out of my own sphere, and afraid to speak to my own people,
panting my heart out and dying by inches, like the pretty silver fish
that floundered on the hard stones, after my father had taken them
out of their own clear water.”
“God help you, Kate!” said Flora, rising; “you will break my heart
with grief about you. Let me out of this miserable house! Let me
leave you and all your grandeur, since I cannot help you; and I will
pray for you, my poor Kate, every night at my bedside, when I get
back to the bonnie shore of Argyleshire.”
Sad was the parting of the two weeping sisters, and many a kiss of
fraternal affection embittered, yet sweetened, the hour; and anxious
was Flora M‘Leod to turn her back upon the great city of London,
and to journey northwards to her own home in Scotland.
It was a little before sundown, on a Saturday evening, shortly after
this, that a buzz of steam let off at the Mid Quay of Greenock,
indicated that a steamboat had come in; and it proved to be from the
fair seaport of Liverpool, having on board Flora M‘Leod, just down
from London. The boat as it passed had been watched by the
cottagers where she lived up the Firth; and several of them, their
day’s work being over, set out towards the Clough to see if there was
any chance of meeting Flora.
Many were the congratulations, and more the inquiries, when they
met Flora, lumbering homewards with her bundle and her umbrella,
weary and looking anxiously out for her own sweet cottage by Clyde
side. “Ah, Flora! is this you!” cried the whole at once; “and are you
really here again! And how is your sister, and all the great people in
London? And, indeed, it is very good of you not to look the least
proud, after coming from such a grand place!”
With such congratulations was Flora welcomed again among the
light-hearted fisher people in the West of Scotland. But it was
observed that her tone was now quite altered, and her own humble
contentment had completely returned. In short, to bring our story to
a close, she was shortly after married to Bryce Cameron, and various
other marriages soon followed; for she gave such an account of what
she had seen with her eyes, that a complete revolution took place in
the sentiments of the whole young people of the neighbourhood.
It was observed in the hamlet that the unhappy Mrs Pounteney
was never named after this by any but with a melancholy shake of the
head; the ambition of the girls to get gentlemen seemed quite
extinguished, and Flora in time began to nurse children of her own in
humble and pious contentment.—The Dominie’s Legacy.
WAT THE PROPHET.
By James Hogg, “The Ettrick Shepherd.”
About sixty years ago[4] there departed this life an old man, who,
for sixty years previous to that, was known only by the name of Wat
the Prophet. I am even uncertain what his real surname was, though
he was familiarly known to the most of my relatives of that day, and I
was intimately acquainted with his nephew and heir, whose name
was Paterson,—yet I hardly think that was the prophet’s surname,
but that the man I knew was a maternal nephew. So far, I am
shortcoming at the very outset of my tale, for in truth I never heard
him distinguished by any other name than Wat the Prophet.[5]
4. This interesting account of a very extraordinary character was contributed
to the Edinburgh Literary Journal in 1829.
5. The old prophet’s surname was Laidlaw, being of a race that has produced
more singular characters than any of our country.
He must have been a very singular person in every respect. In his
youth he was so much more clever and acute than his fellows, that he
was viewed as a sort of phenomenon, or rather “a kind of being that
had mair airt than his ain.” It was no matter what Wat tried, for
either at mental or manual exertion he excelled; and his gifts were so
miscellaneous, that it was no wonder his most intimate
acquaintances rather stood in awe of him. At the sports of the field,
at the exposition of any part of Scripture, at prayer, and at
mathematics, he was altogether unequalled. By this, I mean in the
sphere of his acquaintance in the circle in which he moved, for he
was the son of a respectable farmer who had a small property. In the
last-mentioned art his comprehension is said to have been truly
wonderful. He seemed to have an intuitive knowledge of the science
of figures from beginning to end, and needed but a glance at the rules
to outgo his masters.
But this was not all. In all the labours of the field his progress was
equally unaccountable. He could with perfect ease have mown as
much hay as two of the best men, sown as much, reaped as much,
shorn as many sheep, and smeared as many, and with a little extra
exertion could have equalled the efforts of three ordinary men at any
time. As for ploughing, or any work with horses, he would never put
a hand to it, for he then said he had not the power of the labour
himself. However unaccountable all this may be, it is no fabrication;
I have myself heard several men tell, who were wont to shear and
smear sheep with him, when he was a much older man than they,
that even though he would have been engaged in some fervent
demonstration, in spite of all they could do, “he was aye popping off
twa sheep, or maybe three, for their ane.”
I could multiply anecdotes of this kind without number, but these
were mere atoms of the prophet’s character—a sort of excrescences,
which were nevertheless in keeping with the rest, being matchless of
their kind. He was intended by his parents for the Church—that is
the Church of the Covenant, to which they belonged. I know not if
Wat had consented thereto, but his education tended that way.
However, as he said himself, he was born for a higher destiny, which
was to reveal the future will of God to mankind for ever and ever. I
have been told that he committed many of his prophecies to writing;
and I believe it, for he was a scholar, and a man of rather
supernatural abilities; but I have never been able to find any of them.
I have often heard fragments of them, but they were recited by
ignorant country people, who, never having understood them
themselves, could not make them comprehensible to others. But the
history of his call to the prophecy I have so often heard, that I think I
can state the particulars, although a little confused in my recollection
of them.
This event occurred about this time one hundred years ago, on an
evening in spring, as Wat was going down a wild glen, which I know
full well. “I was in a contemplative mood,” he said (for he told it to
any that asked him), “and was meditating on the mysteries of
redemption, and doubting, grievously doubting, the merits of an
atonement by blood; when, to my astonishment in such a place, there
was one spoke to me close behind, saying, in the Greek language, ‘Is
it indeed so? Is thy faith no better rooted?’
“I looked behind me, but, perceiving no one, my hair stood all on
end, for I thought it was a voice from heaven; and, after gazing into
the firmament, and all around me, I said fearfully, in the same
language, ‘Who art thou that speakest?’ And the voice answered me
again, ‘I am one who laid down my life, witnessing for the glorious
salvation which thou art about to deny; turn, and behold me!’
“And I turned about, for the voice seemed still behind me, turn as I
would, and at length I perceived dimly the figure of an old man, of
singular aspect and dimensions, close by me. His form was
exceedingly large and broad, and his face shone with benignity; his
beard hung down to his girdle, and he had sandals on his feet, which
covered his ankles. His right arm and his breast were bare, but he
had a crimson mantle over his right shoulder, part of which covered
his head, and came round his waist. Having never seen such a figure
or dress, or countenance before, I took him for an angel, sent from
above to rebuke me; so I fell at his feet to worship him, or rather to
entreat forgiveness for a sin which I had not power to withstand. But
he answered me in these words: ‘Rise up, and bow not to me, for I
am thy fellow-servant, and a messenger from Him whom thou hast
in thy heart denied. Thou shalt worship the Lord thy God, and Him
only shalt thou serve. Come, I am commissioned to take thee into the
presence of thy Maker and Redeemer.’
“And I said, ‘Sir, how speakest thou in this wise? God is in heaven,
and we are upon the earth; and it is not given to mortal man to scale
the heavenly regions, or come into the presence of the Almighty.’
And he said, ‘Have thy learning and thy knowledge carried thee no
higher than this? Knowest thou not that God is present in this wild
glen, the same as in the palaces of light and glory—that His presence
surrounds us at this moment—and that He sees all our actions, hears
our words, and knows the inmost thoughts of our hearts?’
“And I said, ‘Yes, I know it.’
“‘Then, are you ready and willing at this moment,’ said he, ‘to step
into His presence, and avow the sentiments which you have of late
been cherishing?’
“And I said, ‘I would rather have time to think the matter over
again.’
“‘Alack! poor man!’ said he, ‘so you have never been considering
that you have all this while been in His immediate presence, and
have even been uttering thy blasphemous sentiments aloud to His
face, when there was none to hear but He and thyself.’
“And I said, ‘Sir, a man cannot force his belief.’
“And he said, ‘Thou sayest truly; but I will endeavour to convince
thee.’”
Here a long colloquy ensued about the external and internal
evidences of the Christian religion, which took Wat nearly half a day
to relate; but he still maintained his point. He asked his visitant twice
who he was, but he declined telling him, saying he wanted his reason
convinced, and not to take his word for anything.
Their conversation ended by this mysterious sage leading Wat
away by a path which he did not know, which was all covered with a
cloud of exceeding brightness. At length they came to a house like a
common pavilion, which they entered, but all was solemn silence,
and they heard nobody moving in it, and Wat asked his guide where
they were now.
“This is the place where heavenly gifts are distributed to
humanity,” said the reverend apostle; “but they are now no more
required, being of no repute. No one asks for them, nor will they
accept of them when offered, for worldly wisdom is all in all with the
men of this age. Their preaching is a mere farce—an ostentatious
parade, to show off great and shining qualifications, one-third of the
professors not believing one word of what they assert. The gift of
prophecy is denied and laughed at; and all revelation made to man
by dreams or visions utterly disclaimed, as if the Almighty’s power of
communicating with his creatures were not only shortened, but cut
off for ever. This fountain of inspiration, once so crowded, is now,
you see, a dreary solitude.”
“It was, in truth, a dismal-looking place, for in every chamber, as
we passed along, there were benches and seats of judgment, but none
to occupy them; the green grass was peeping through the seams of
the flooring and chinks of the wall, and never was there a more
appalling picture of desolation.
“At length, in the very innermost chamber, we came to three men
sitting in a row, the middle one elevated above the others; but they
were all sleeping at their posts, and looked as if they had slept there
for a thousand years, for their garments were mouldy, and their faces
ghastly and withered.
“I did not know what to do or say, for I looked at my guide, and he
seemed overcome with sorrow; but thinking it was ill-manners for an
intruder not to speak, I said, ‘Sirs, I think you are drowsily inclined?’
but none of them moved. At length my guide said, in a loud voice,
‘Awake, ye servants of the Most High! Or is your sleep to be
everlasting?’
“On that they all opened their eyes at once, and stared at me, but
their eyes were like the eyes of dead men, and no one of them moved
a muscle, save the middlemost, who pointed with pale haggard hand
to three small books, or scrolls, that lay on the bench before them.
“Then my guide said, ‘Put forth thine hand and choose one from
these. They are all divine gifts, and in these latter days rarely granted
to any of the human race.’ One was red as blood, the other pale, and
the third green; the latter was farthest from me, and my guide said,
‘Ponder well before you make your choice. It is a sacred mystery, and
from the choice you make, your destiny is fixed through time and
eternity.’ I then stretched out my hand, and took the one farthest
from me, and he said, ‘It is the will of the Lord; so let it be! That
which you have chosen is the gift of the spirit of prophecy. From
henceforth you must live a life of sufferance and tribulation, but your
life shall be given you for a proof, in order that you may reveal to
mankind all that is to befall them in the latter days.’ And I opened
the book, and it was all written in mystic characters, which I could
not decipher nor comprehend; and he said, ‘Put up the book in thy
bosom, and preserve it as thou wouldst do the heart within thy
breast; for as long as thou keepest that book, shall thy natural life
remain, and the spirit of God remain with thee, and whatsoever thou
sayest in the spirit, shall come to pass. But beware that thou deceive
not thyself; for, if thou endeavour to pass off studied speeches, and
words of the flesh for those of the spirit, woe be unto thee! It had
been better for thee that thou never hadst been born. Put up the
book; thou canst not understand it now, but it shall be given thee to
understand it, for it is an oracle of the most high God, and its words
and signs fail not. Go thy ways, and return to the house of thy fathers
and thy kinsfolk.’
“And I said, ‘Sir, I know not where to go, for I cannot tell by what
path you brought me hither.’ And he took me by the hand, and led
me out by a back-door of the pavilion; and we entered a great valley,
which was all in utter darkness, and I could perceive through the
gloom that many people were passing the same way with ourselves;
and I said, ‘Sir, this is dreadful! What place is this?’ And he said,
‘This is the Valley of the Shadow of Death. Many of those you see will
grope on here for ever, and never get over, for they know not whether
they go, or what is before them. But seest thou nothing beside?’
“And I said, ‘I see a bright and shining light beyond, whose rays
reach even to this place.’—‘That,’ said he, ‘is the light of the
everlasting Gospel; and to those to whom it is given to perceive that
beacon of divine love, the passage over this valley is easy. I have
shown it to you; but if you keep that intrusted to your care, you shall
never enter this valley again, but live and reveal the will of God to
man till mortality shall no more remain. You shall renew your age
like the eagles, and be refreshed with the dews of renovation from
the presence of the Lord. Sleep on now, and take your rest, for I must
leave you again in this world of sin and sorrow. Be you strong, and
overcome it, for men will hold you up to reproach and ridicule, and
speak all manner of evil of you; but see that you join them not in
their voluptuousness and iniquity, and the Lord be with you!’”
There is no doubt that this is a confused account of the prophet’s
sublime vision, it being from second hands that I had it; and, for one
thing, I know that one-half of his relation is not contained in it. For
the consequences I can avouch. From that time forth he announced
his mission, and began prophesying to such families as he was sent
to. But I forgot to mention a very extraordinary fact, that this vision
of his actually lasted nine days and nine nights, and at the end of that
time he found himself on the very individual spot in the glen where
the voice first spoke to him, and so much were his looks changed,
that, when he went in, none of the family knew him.
He mixed no more with the men of the world, but wandered about
in wilds and solitudes, and when in the spirit, he prophesied with a
sublimity and grandeur never equalled. He had plenty of money, and
some property to boot, which his father left him; but these he never
regarded, but held on his course of severe abstemiousness, often
subsisting on bread and water, and sometimes for days on water
alone, from some motive known only to himself. He had a small
black pony on which he rode many years, and which he kept always
plump and fat. This little animal waited upon him in all his fastings
and prayings with unwearied patience and affection. There is a well,
situated on the south side of a burn, called the Earny Cleuch, on the
very boundary between the shires of Dumfries and Selkirk. It is
situated in a most sequestered and lonely place, and is called to this
day the Prophet’s Well, from the many pilgrimages that he made to
it; for it had been revealed to him in one of his visions that this water
had some divine virtue, partaking of the nature of the Water of Life.
At one time he lay beside this well for nine days and nights, the pony
feeding beside him all that time, and though there is little doubt that
he had some food with him, no body knew of any that he had; and it
was believed that he fasted all that time, or at least subsisted, on the
water of that divine well.
Some men with whom he was familiar—for indeed he was
respected and liked by everybody, the whole tenor of his life having
been so inoffensive;—some of his friends, I say, tried to reason him
into a belief of his mortality, and that he would taste of death like
other men; but that he treated as altogether chimerical, and not
worth answering; when he did answer, it was by assuring them, that
as long as he kept his mystic scroll, and could drink of his well, his
body was proof against all the thousand shafts of death. His
unearthly monitor appeared to him very frequently, and revealed
many secrets to him, and at length disclosed to him that he was
Stephen, the first martyr for the Gospel of Christ. Our prophet, in
the course of time, grew so familiar with him, that he called him by
the friendly name of Auld Steenie, and told his friends when he had
seen him, and part of what he had told him, but never the whole.
When not in his visionary and prophetic moods, he sometimes
indulged in a little relaxation, such as draught-playing and fishing;
but in these, like other things, he quite excelled all compeers. He was
particularly noted for killing salmon, by throwing the spear at a great
distance. He gave all his fish away to poor people, or such as he
favoured that were nearest to him at the time; so that, either for his
prophetic gifts, or natural bounty, the prophet was always a welcome
guest, whether to poor or rich.
He prophesied for the space of forty years, foretelling many things
that came to pass in his lifetime, and many which have come to pass
since his death. I have heard of a parable of his, to which I can do no
justice, of a certain woman who had four sons, three of whom were
legitimate, and the other not. The latter being rather uncultivated in
his manners, and not so well educated as his brethren, his mother
took for him ample possessions at a great distance from the rest of
the family. The young blade succeeded in his farming speculations
amazingly, and was grateful to his parent, and friendly with his
brethren in all their interchanges of visits. But when the mother
perceived his success, she sent and demanded a tenth from him of all
he possessed. This rather astounded the young man, and he
hesitated about compliance in parting with so much, at any rate. But
the parent insisted on her right to demand that or any sum which she
chose, and the teind she would have. The lad, not wishing to break
with his parent and benefactor, bade her say no more about it, and
he would give her the full value of that she demanded as of his own
accord; but she would have it in no other way than as her own proper
right. On this the headstrong and powerful knave took the law on his
mother; won, and ruined her; so that she and her three remaining
sons were reduced to beggary. Wat then continued—“And now it is to
yourselves I speak this, ye children of my people, for this evil is nigh
you, even at your doors. There are some here who will not see it, but
there are seven here who will see the end of it, and then they shall
know that there has been a prophet among them.”
It having been in a private family where this prophecy was
delivered, they looked always forward with fear for some contention
breaking out among them. But after the American war and its
consequences, the whole of Wat’s parable was attributed thereto, and
the good people relieved from the horrors of their impending and
ruinous lawsuit.
One day he was prophesying about the judgment, when a young
gentleman said to him, “O, sir, I wish you could tell us when the
judgment will be.” “Alas! my man,” returned he, “that is what I
cannot do; for of that day and of that hour knoweth no man; no, not
the angels which are in heaven, but the Almighty Father alone. But
there will be many judgments before the great and general one. In
seven years there will be a judgment on Scotland. In seven times
seven there will be a great and heavy judgment on all the nations of
Europe; and in other seven times seven there will be a greater one on
all the nations of the world; but whether or not that is to be the last
judgment, God only knoweth.”
These are dangerous and difficult sayings of our prophet. I wonder
what the Rev. Edward Irving would say about them, or if they
approach in any degree to his calculations. Not knowing the year
when this prophecy was delivered, it is impossible to reason on its
fulfilment, but it is evident that both the first eras must be overpast.
He always predicted ruin on the cause of Prince Charles Stuart, even
when the whole country was ringing with applauses of his bravery
and conquests. Our prophet detested the politics of that house, and
announced ruin and desolation not only on the whole house, but on
all who supported it. The only prophecy which I have yet seen in
writing relates to that brave but unfortunate adventurer, and is
contained in a letter to a Mrs Johnston, Moffat, dated October 1st,
1745, which must have been very shortly after the battle of
Prestonpans. After some religious consolation, he says, “As for that
man, Charles Stuart, let no spirit be cast down because of him, for he
is only a meteor predicting a sudden storm, which is destined to
quench his baleful light for ever. He is a broken pot; a vessel wherein
God hath no pleasure. His boasting shall be turned into dread, and
his pride of heart into astonishment. Terror shall make him afraid on
every side; he shall look on his right hand, and there shall be none to
know him; and on his left hand, and lo! destruction shall be ready at
his side—even the first-born of death shall open his jaws to devour
him. His confidence shall pass away for ever, even until the king of
terrors arrive and scatter brimstone upon his habitation. His roots
shall be dried up beneath, and the foliage of his boughs stripped off
above, until his remembrance shall perish from the face of the earth.
He shall be thrown into the deep waters, and the billows of God’s
wrath shall pass over him. He shall fly to the mountains, but they
shall not hide him; and to the islands, but they shall cast him out.
Then shall he be driven from light into darkness, and chased out of
the land.
“Knowest thou not this of old time, that the triumph of the wicked
is of short duration, and the joy of the hypocrite but for a moment?
Though his excellency mount up into the heavens, and his pride
reach the stars, yet shall he perish for ever, like a shadow that
passeth away and is no more. They who have seen him in the pride of
his might shall say, Where is he? Where now is the man that made
the nations to tremble? Is he indeed passed away as a dream, and
chased away as a vision of the night? Yea, the Lord, who sent him as
a scourge on the wicked of the land, shall ordain the hand of the
wicked to scourge him till his flesh and his soul shall depart, and his
name be blotted out of the world. Therefore, my friend in the Lord,
let none despond because of this man, but lay these things up in thy
heart, and ponder on them, and when they are fulfilled, then shalt
thou believe that the Lord sent me.”
From the tenor of this prophecy, it would appear that he has
borrowed largely from some of the most sublime passages of
Scripture, which could not fail of giving a tincture of sublimity to
many of his sayings, so much admired by the country people. It
strikes me there are some of these expressions literally from the
Book of Job; but, notwithstanding, it must be acknowledged that
some parts of it are peculiarly applicable to the after-fate of Charles
Edward.
When old age began to steal on him, and his beloved friends to
drop out of the world, one after another, he became extremely heavy-
hearted at being obliged to continue for ever in the flesh. He never
had any trouble; but he felt a great change take place in his
constitution, which he did not expect, and it was then he became
greatly concerned at being obliged to bear a body of fading flesh
about until the end of time, often saying, that the flesh of man was
never made to be immortal. In this dejected state he continued about
two years, often entreating the Lord to resume that which He had
given him, and leave him to the mercy of his Redeemer, like other
men. Accordingly, his heavenly monitor appeared to him once more,
and demanded the scroll of the spirit of prophecy, which was
delivered up to him at the well in the wilderness; and then, with a
holy admonition, he left him for ever on earth. Wat lived three years
after this, cheerful and happy, and died in peace, old, and full of
days, leaving a good worldly substance behind him.

The Quiet Crypto Revolution How Blockchain and Cryptocurrency Are Changing Our Lives 1St Edition Klaas Jung Full Chapter

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The Quiet Crypto Revolution: How

Blockchain and Cryptocurrency Are

ISBN-13 (pbk): 978-1-4842-9626-4 ISBN-13 (electronic): 978-1-4842-9627-1

Chapter 1: Introduction to the Crypto Revolution���������������������������������1

Chapter 2: Understanding the Blockchain��������������������������������������������7

Chapter 3: The Future of Blockchain Technology�������������������������������31

Chapter 4: Cryptocurrency in Practice�����������������������������������������������65

Chapter 5: The Future of Decentralized Finance�������������������������������101

Chapter 6: Security and Scams��������������������������������������������������������121

Staying Safe in the Crypto Space���������������������������������������������������������������������128

Chapter 7: Crypto Pioneers: Exploring Entrepreneurial

Chapter 8: Final Thoughts: The Future of Crypto������������������������������151

This book is a product of commitment, resilience, and the unwavering

Now, over to this book. Back in 2010, I was working on a project

As my knowledge and understanding of blockchain technology

In 2014, I was so deeply interested in the potential of cryptocurrency

© Klaas Jung 2023 1

Decentralization, on the other hand, is the process of distributing

• Centralized system: In a centralized social network,

• Decentralized system: In a decentralized social network,

This example highlights the key differences between centralized

many blockchain applications, with some networks struggling to handle

This book is designed to give you a comprehensive understanding of

Tracing the Roots

© Klaas Jung 2023 7

In 2008, the world was introduced to blockchain in its current form,

Blockchain 101: Understanding the Basics

A shared ledger, such as the one described in the example of splitting a

• Transparency: Everyone has access to the ledger and

• Security: Once information is added to the ledger, it

• Accuracy: Transactions are recorded and updated in

• Traceability: Transactions can be easily traced and

• Improved efficiency: By removing the need for a central

Figure 2-1. Tamper-proof shared ledger

Okay, so now that we cleared the concept of a shared ledger, let’s

Imagine a group of people building a tower out of blocks. Each block

As mentioned before, one of the key features of blockchain technology

Unlike traditional systems, which rely on a central authority to

Key Components of Blockchain Technology

One of the main disadvantages of PoW is that it requires a large

Figure 2-2. Proof of work vs. proof of stake

In summary, understanding the different types of nodes and the

automatically enforce the rules and regulations of the contract. Smart

the deadline, the smart contract automatically returns the contributions to

 igital Currencies and Blockchain

In summary, cryptocurrencies are a revolutionary development

 otential Applications Beyond

1. Supply chain management: Supply chain

2. Digital identity: Blockchain technology can be

3. Voting systems: Blockchain technology offers a

4. Real estate: Blockchain technology can create a

Ubitquity is a company that is using blockchain

5. Healthcare: Blockchain technology could be used

In summary, blockchain technology has the potential to revolutionize

Figure 2-3. A smart contract on the blockchain

Smart contracts can be used in a wide range of industries and

1. Real estate: Smart contracts can be used to automate

2. Supply chain management: Smart contracts can be

3. Insurance: Smart contracts can be used to automate

4. Banking: Smart contracts can be used to automate

In the forthcoming chapter, I will explore these ideas and concepts

In summary, smart contracts are self-executing contracts that

Decentralization is another key concept of blockchain technology.

Chapter 1: Introduction to the Crypto Revolution��1

Chapter 2: Understanding the Blockchain��7

Chapter 3: The Future of Blockchain Technology��31

Chapter 4: Cryptocurrency in Practice��65

Chapter 5: The Future of Decentralized Finance��101

Chapter 6: Security and Scams��121

Staying Safe in the Crypto Space��128

Chapter 8: Final Thoughts: The Future of Crypto��151

Tracing the Roots

Blockchain 101: Understanding the Basics

Key Components of Blockchain Technology

igital Currencies and Blockchain

otential Applications Beyond