#BinanceBlockchainWeek Many people misunderstand one thing - Blockchain is not here to take away the jobs of gold and silver.

What it really wants to revolutionize is the game rules of paper currency. What does traditional fiat currency rely on for anti-counterfeiting? To put it bluntly, it is backed by a violent machine. And what about Blockchain? It hands this job over to mathematical algorithms.

This brings up an interesting classification: $BTC is essentially a purely digital fiat currency, which, apart from having strong anti-counterfeiting technology, has nothing behind it—no gold backing, no government guarantee, all relying on consensus.

Looking at the stablecoin sector again. USDC still follows the traditional approach: a contract promises that you can exchange it for US dollars at any time, essentially moving paper cash onto the blockchain. Tether Gold is even more radical, directly turning the proof of ownership of gold into an on-chain contract, which can be exchanged for physical gold at any time.

So next time, don't compare cryptocurrencies with precious metals - they are not even in the same arena.