Let’s talk about the way the mainstream media talk about digital assets. A recent article we saw from a Forbes contributor about the Chainlink token highlighted some of the problems that have led the public to misunderstand Bitcoin, and naive investors to lose their savings.
The problems aren’t just with the way media articles presents information, but also with the infrastructure that supports it. There are exchanges who trade tokens alongside Bitcoin and other native blockchain assets, and data sites that list and compare them as if they’re the same thing.
The article was titled “This Bitcoin Challenger Is Suddenly Soaring And Fast Approaching Its All-Time High Price”. However this isn’t a unique example; there have been thousands of articles like this over the years.
You can probably see a few problems in the headline already. First, there’s yet another reference to a “Bitcoin challenger” (of which there have been thousands now). Then there’s the focus on price, and an implied call to jump in before it’s too late. But first, let’s clear up the tokens/assets issue.
Bitcoin, altcoins and tokens
Bitcoin, altcoins and tokens are all digital assets, but there are big differences in what they are, what they’re intended for, and what they do. There’s nothing inherently wrong with tokens, but not knowing the difference is one of the reasons digital assets have gained such a bad reputation in investor circles.
The digital asset space includes Bitcoin, altcoins, and tokens. Bitcoin is the first and only legitimate asset here—it’s the only one capable of scaling to meet the entire world’s demands. And when we say Bitcoin, we mean BSV.
An altcoin is a digital asset that is not Bitcoin, but is still the “native” asset on its blockchain. Even these assets differ: only those based on proof-of-work (POW) transaction processing contain the necessary economic incentives in their protocols to function effectively. Those based on