Many in academia do not know about or fully understand what blockchain and cryptocurrencies are or why they are even important. This is a major issue that needs to be fully realized and addressed as soon as possible. Blockchain and cryptocurrencies offer unparalleled possibilities and are extremely important to higher education for three main reasons: academic relevancy, procedural evolution, and potential monetary solvency.
At the very least, the following two main terms need to be understood in order to even start to comprehend their importance and impact in higher education and on the world overall.
Blockchain: “…a shared, immutable [digital] ledger that facilitates the process of recording [and encrypting] transactions and tracking assets. Virtually anything of value can be tracked and traded on a blockchain network, reducing risk and cutting costs for all involved… members share a single view of the truth, you can see all details of a transaction end-to-end, giving you greater confidence, as well as new efficiencies and opportunities” (IBM, 2020, para. 2).
Cryptocurrency: “…typically decentralized digital money designed to be used over the internet… not issued or controlled by any government or other central authority… managed by peer-to-peer networks of computers running free, open-source software… makes transactions with people on the other side of the planet as seamless as paying with cash at your local grocery store… secured using technology called a blockchain, which is constantly checked and verified by a huge amount of computing power” (Coinbase, 2021, para 1).
Academic Relevancy
Understanding what blockchain is and how cryptocurrencies like Bitcoin (bitcoin.org) and Ethereum (ethereum.org) as well as derivative tokens like Algorand (algorand.com) work, isn’t just about understanding the future, it is about understanding the now. How can we as educators teach students to be prepared for the future if we are not personally fully engaged in understanding these key technologies that are starting to affect every single college degree if not subject matter? A key component in teaching and learning is motivation and a key component in motivation is relevancy. Blockchain and cryptocurrency are relevant to us all.
Are you teaching Computer Science, Math, Programming, Data Science, Machine Learning, or Artificial Intelligence? You better be incorporating blockchain in that it is considered part of the fourth industrial revolution (Takyar, 2020). Blockchain is playing a growing and major role in all aspects of computer science including data optimization, sharing, tracking, and security. These are key concepts and considerations that students must be informed about (Takyar, 2020).
Are you teaching about psychology, business, economics, finance, sociology, or anthropology? You better be teaching about cryptocurrency and how this is turning investing, the stock market, the banking system, and how people and societies work and conduct business on its head. Cryptocurrencies via their protection against hyperinflation, reduction of transaction costs, smart contracting, and instant verification, are evolving cultures and how individuals, as well as communities interact around the world (Hay, 2021).
Are you teaching English, Communications, Media, Journalism, or Political Science? You better be teaching about this new language with all of its new terms and acronyms such as:
- blockchain: encrypted digital ledger and records and tracks via a large network of computers around the world. Information can not be changed it can only be appended.
- altcoins: any digital currency other than bitcoin (alternatives).
- cryptocurrency: digital currency backed/supported by the blockchain.
- mining: The rewarded process of computing mathematical calculations for a minable cryptocurrency network in order to confirm transactions and increase security.
- exchanges: a marketplace for cryptocurrency where one can buy, sell, and/or trade.
- gas fees: a transactional fee applied within some crypto networks to verify transactions.
- staking: interest-earning process of buying & holding crypto to support the blockchain.
- DeFi (Decentralized Finance): blanket term referring to ways that cryptocurrency & blockchain can be used to disrupt traditionally established financial processes.
- fiat: “by degree” minted currencies that have value due to a central authority’s backing.
- hard fork: a permanent change (modification) to a cryptocurrency’s rules or protocols.
- digital wallet: secure online or offline digital software to store cryptocurrency
- hardware wallet: highly secure physical device for storing cryptocurrency
- POW (Proof of Work): extensive decentralized computational process used to ensure consensus/verification of a blockchain procedure.
- whale: a person or group that has an excessively large amount of cryptocurrency with the penitential ability to manipulate the market price of said crypto.
These are just a few of the new terms to understand within the realm of blockchain and cryptocurrency. Additional explanations and terminology are available at www.coinbase.com/learn.
Teaching Art, Graphic Design, Animation, Videography/Cinematography? You better be helping students understand NFTs and how they can be associated with the developed artwork. This importance is illustrated in a recent example report from the New York Times that a piece of digital art (with an associated NFT) Everydays — The First 5000 Days, by the artist known as Beeple, sold for over $69 million (Reyburn, 2021). NFTs are a massively growing field that is revolutionizing the way art is viewed, handled, and interpreted. This is a billion-dollar industry that continues to grow (Post, 2021), which means instructors and students must understand the field to avoid being left behind.
Procedural Evolution
Beyond the vital aspect of academic relevancy, using blockchain technology directly relates to student-centered procedural evolution. The power and transparency of blockchain is that it essentially eliminates fraud. This then allows for better verification of institutional credentialing compliance and allows for easier “…access for anyone seeking credentials (think about those post-graduate employers, grad schools, or any other institution requiring verifiable documents),” (Noelle, 2020, para. 5). This gives the power and true ownership back to students while at the same time reducing fake/altered transcripts, credentials, diplomas, and degrees. This makes things cheaper and improves the student experience overall.
Potential Monetary Solvency
Although this article is not meant to offer certified financial advice, all educational institutions should at least research and contemplate investment into the explosively lucrative world of cryptocurrency. Major financial advisors and organizations such as The Motley Fool, Cathie Wood (Ark Invest), Tesla, Mastercard, and Forbes, (Ark Invest, 2021; Asmakov, 2021; Bylund, 2021; Farrington, 2021) have already invested in or strongly view cryptocurrency as a good investment. A growing number of higher education institutions such as Harvard, Yale, Dartmouth, Stanford, MIT, and others that wish to remain anonymous, have already made major investments into cryptocurrency to help ensure their future growth and overall financial sustainability (Collier, 2021; Grant, 2021). Colleges and universities at all levels should investigate this type of investment as a diversification strategy for their endowment portfolios.
All of us in academia in general and higher education specifically must continue to learn about the growing fields of blockchain and cryptocurrency. Academic relevancy, procedural evolution, and potential monetary solvency are powerful reasons why teachers, professors, and instructors at all levels, as well as leadership and administrators, must understand these concepts. We must be able to help students prepare and thrive in the evolving new reality that is increasingly intertwined with blockchain and cryptocurrencies.
A summary video on this article is also available on the Sovorel Educational YouTube Channel: https://youtu.be/gHIDcwIsU6M
What are your thoughts on blockchain and cryptocurrency? Has your instructional institution started to teach these concepts? Have they invested in cryptocurrencies? Tell us and help our community of learning improve by commenting below.
References
Ark Invest. (2021). ARK autonomous technology & robotics ETF. Ark Invest. https://ark-funds.com/arkq
Asmakov, A. (2021, February 26). ARK Invest’s Cathie Wood: Bonds are done, crypto could be the solution. Decrypt: News. https://decrypt.co/59571/ark-invests-cathie-wood-bonds-are-done-crypto-could-be-the-solution
Bomey, N. (2021, February 8). Tesla buys $1.5 billion in bitcoin: as Elon Musk jumps on board with cryptocurrency. USA Today. https://www.usatoday.com/story/money/cars/2021/02/08/tesla-buys-bitcoin-elon-musk-dogecoin-cryptocurrency/4432952001
Bylund, A. (2021, January 5). Why your 2021 resolution should be to buy more crypto stocks. The Motely Fool. https://www.fool.com/investing/2021/01/05/why-your-2021-resolution-should-be-to-buy-more-cry
Coinbase. (2021). What is cryptocurrency? Coinbase: Learn. https://www.coinbase.com/learn/crypto-basics/what-is-cryptocurrency
Collier, M. (2021, January 27). Top universities are now investing in cryptocurrency. Cryptocurrency Price Today. https://www.cryptocurrencypricetoday.com/top-universities-are-now-investing-in-cryptocurrency
Farrington, R. (2021, January 18). Crypto Is everywhere, but should you invest? Forbes. https://www.forbes.com/sites/robertfarrington/2021/01/18/crypto-is-everywhere-but-should-you-invest/?sh=667895e17e73
Grant, S. (2021, January 26). University endowment funds have been investing in crypto. Coin Journal. https://coinjournal.net/news/university-endowment-funds-have-been-investing-in-crypto
Hay, (2021, January 14). A complete list of bitcoin friendly countries. 99 Bitcoins. https://99bitcoins.com/bitcoin-friendly-countries
IBM. (2020). Blockchain. IBM. https://www.ibm.com/blockchain/what-is-blockchain
Noelle, C. (2020, January 8). How blockchain will transform higher education. ProcessMaker. https://www.processmaker.com/blog/how-blockchain-will-transform-higher-education
Post, G. (2021, March 2). Next battlefield in blockchain: ATTA unveils its NFT-powered fan economy solution. BTC Manager. https://btcmanager.com/next-battlefield-in-blockchain-atta-unveils-its-nft-powered-fan-economy-solution
Reyburn, S. (2021). JPG file sells for $69 Million, as ‘NFT Mania’ gathers pace. The New York Times. https://www.nytimes.com/2021/03/11/arts/design/nft-auction-christies-beeple.html
Takyar, A. (2020). Blockchain and AI: Towards the “fourth industrial revolution.” LeewayHertz. https://www.leewayhertz.com/blockchain-and-ai