Welcome back to the r/CryptoCurrency Academy.

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In previous Lessons, we explored Public Blockchains like Bitcoin and Ethereum. These are open networks where anyone can participate, and every transaction is transparent to the world.

However, for some global industries, this is a dealbreaker.

A bank or a logistics company wants the security of a blockchain, but they cannot share their internal data with the public or their competitors.

This led to the creation of Private Chains, also known as Permissioned Blockchains.

The Problem: Public vs. Private

If a Public Blockchain (like Ethereum) is a "Public Mall" that anyone can walk into, a Private Chain is a "Members-Only Warehouse."

Corporations faced a dilemma:

1. They wanted the tech: Instant settlements and immutable records.
2. They couldn't use the open networks: They have legal requirements to know exactly who they are dealing with (Compliance) and must keep trade secrets hidden (Privacy).

The Solution: Permissioned Access

To solve this, developers created blockchains where access is restricted.

• Public (Permissionless): Anyone can join, download the ledger, and validate transactions. (e.g., Bitcoin).
• Private (Permissioned): You usually need an invitation to join. The network is controlled by a specific organization or a group of companies (a Consortium).

How it Works

In a private chain, the "Miners" are not anonymous users solving math puzzles. They are known entities: usually the IT departments of the companies involved.

Because all the participants are identified and legally bound to each other, the network doesn't need energy-intensive security.

If 10 out of 15 member banks agree on a transaction, it is approved. This makes these chains incredibly fast and cheap to run.

Real World Use Cases

These chains don't usually have "coins" for the public to buy, but they are a massive part of the blockchain industry.

1. Supply Chain Tracking

Companies can use private ledgers to track goods between trusted partners.

• Example: A car manufacturer, a shipping company, and a parts supplier share a private blockchain. They can track a shipment of engines in real-time. If an engine arrives damaged, the immutable ledger proves exactly when and where the damage occurred, without exposing this data to the public.

2. Banking Settlements

Banks utilize private chains to settle debts between each other instantly, replacing slow legacy systems that take days to clear funds.

Criticism

Some crypto purists argue that Private Chains are not "true crypto" because they are centralized. They view them as simply "shared databases."

However, for the enterprise world, they offer a middle ground: using the efficiency of blockchain technology without the risks of an open network.

Categorizing all CryptoAssets

Now that we have covered the history, public chains, tokens, and private chains, we now go onto finalizing this course.

With thousands of assets on the market, how do we distinguish a currency from a tech platform or a meme?

It is time to organize the chaos.

See you in Lesson 9: Types of CryptoAssets.

rCryptoCurrency Foundation (CCMOON DAO) is the official Non-Profit DAO that helps moderate the rCryptoCurrency community, the world's largest crypto community with over 10 Million Members on several platforms. The Foundation also provides Community Tools and Educational Content for everyone.

r/CryptoCurrency Academy Syllabus:

Course 1: The History of CryptoCurrency

• Lesson 1: What is CryptoCurrency after all? The Bitcoin Story
• Lesson 2: The Evolution of Money (Debt, Barter, Gold, Fiat, and Crypto)
• Lesson 3: How a Blockchain Works (The "Public Ledger" Explained)
• Lesson 4: Other CryptoCurrencies

Course 2: Types of CryptoAssets

• Lesson 5: The World Computer, Ethereum, and other Smart-Contract Cryptos (Protocols)
• Lesson 6: Tokens
• Lesson 7: Crypto Layer 2 and Scaling
• Lesson 8: Private Chains (You Are Here)
• Lesson 9: Types of CryptoAssets (Classification) (Next Lesson)

Course 3: CryptoAsset Tools and Finance

• Lesson 10: Common Crypto Mistakes and How to Spot Scams
• Lesson 11: Educational How to Buy CryptoAssets. Centralized Exchanges (CEX) and Decentralized Exchanges (DEX)
• Lesson 12: Wallets & Keys (Hot vs. Cold Storage)
• Lesson 13: Transactions (Gas Fees, Mempools, and Block Explorers)

Course 4: CryptoAssets and the Smart Economy

• Lesson 14: Introduction to DeFi (Decentralized Finance)
• Lesson 15: NFTs: Beyond the JPEGs (Digital Identity and Ownership)
• Lesson 16: Real World Assets (RWA) & Tokenization
• Lesson 17: The Banking System with Stablecoins & CBDCs

Course 5: CryptoAssets and the Law

• Lesson 18: Smart Contracts and Legal Validity
• Lesson 19: Oracles & The Law
• Lesson 20: Digital Evidence & Chain of Custody (What happens when things go wrong?)

Course 6: The Frontier Tech of CryptoAssets

• Lesson 21: Proof of Work vs. Proof of Stake (Miners vs. Validators)
• Lesson 22: Layer 2 Solutions (Scaling)
• Lesson 23: Algorithms trading and AI agents
• Lesson 24: The Metaverse

Course 7: Crypto Institutions (Governance & Compliance)

• Lesson 25: Corporate Structures in Crypto
• Lesson 26: What are rCryptoCurrency Moons?
• Lesson 27: DAOs and The rCyptoCurrency Non-Profit Model
• Lesson 28: The Future

Disclaimer: This content is for educational purposes only and does not constitute financial or investment advice. The technology described involves risks. Never invest money you cannot afford to lose.