Is blockchain's negative press justified?

In the early days of the internet, it was drilled into us that there would always be bad actors lurking - never talk to strangers, don’t post sensitive information online, and always be aware of scams. 

As the years have gone by, we have become more and more comfortable with what we do online - it's familiar and part of our daily lives, so the sense of risk has been diminished. We are more aware of how it works and what to look out for. 

But there's a new kid on the block that has some people hesitating about its adoption. Blockchain and cryptocurrency has seen its fair share of negative press, but is it justified? It can feel as though every other week there is a hacking scandal within the blockchain space. With the recent hack of Axie Infinity’s Ronin Network, where $600 million of tokens were stolen, there comes a question of how? 

Blockchain in itself is a technology whose sole purpose is to ensure data is secure and immutable. However, there were key oversights in the Ronin attack. With the use of sidechain for faster and cheaper transactions, an oversight in a discontinued agreement and unrevoked permissions led towards a gap in the security of the network. Experts have stated that the issue is cybersecurity, with social engineering and seeking these gaps in human error being the culprit, not cryptocurrency or blockchain technology itself. 

With the rise in popularity of blockchain and its various use-cases and applications over the recent years, it is important we have a thorough understanding of this technology in the same manner we did when the internet was first adopted. We need to demystify blockchain, make it accessible and easily understood to highlight where human error may occur.

At BlockchainNZ we are dedicated to the education of blockchain and making this technology accessible for all. We want to see a world where this technology is understood, respected and adopted to help create a decentralised world. 

We have been working behind the scenes to produce educational resources on our website that can help break down what is blockchain, Bitcoin, Ethereum, tokens, DeFi, NFTs - the list goes on. Feel free to deep-dive here and keep an eye out for what’s coming next.