DEFINITION of Blockstack
Blockstack is a new blockchain-based, decentralized internet platform where users completely own and control their data, and the network apps that may use the data are run locally on the user’s browser. A compatible browser is sufficient to access everything on Blockstack. Blockstack became the first company to receive approval from the SEC to sell digital tokens in a public offering in early July, 2019.
BREAKING DOWN Blockstack
Imagine not having to upload data on an external site like Facebook or on an app like WhatsApp, and yet being able to share it with friends and other users.
Blockstack enables this by offering an all new internet platform, where all decentralized apps are run locally on the user’s browser, and users continue to own their data (text, images, videos, and files).
Using the power of blockchain, a Blockstack user gets digital keys to create their identity on the Blockstack network. User data can be stored locally or connected to his/her storage hosting providers, allowing the user to retain full control.
Sharing of content is achieved through a secure and encrypted medium. The Blockstack network supports tokens like bitcoin and other cryptocurrencies and are available for peer-to-peer transfer or charging for downloads, subscriptions, and more. (See also, How Ethereum Could Change the Way the Internet Works.)
In a still largely unregulated cryptocurrency market, Blockstack received first-ever approval by the SEC to sell bitcoin-like tokens in a public offering. Prior to the recent approval, the company had raised more than $50 million in funding through approved token sales, but only to accredited investors.
The public offering was approved under Regulation A+ of the 2012 Jumpstart Our Business Startups Act, which was introduced as a way to help fledgling companies raise capital with minimal disclosure requirements. Blockstack's success in winning approval will now provide other young cryptocurrency and blockchain businesses a template for how to proceed in raising funds of their own.