Cryptocurrency is digital currency that is traded online. It is known as crypto. No bank is required to transact. Crypto can run on its own, and no medium can control it. This is why it is so popular now. It is gradually becoming popular among people because it is capable of automatic system movement
What is cryptocurrency?
A digital peer-to-peer payment system known as cryptocurrency. Can this currency be used to transact anywhere in the world? Each transaction takes a few seconds to complete. Digital currencies are known as cryptocurrencies. All over the internet, it is used. It operates over an encrypted network but is not controlled by any nation or authority.
Every cryptocurrency transaction is stored in the ledger of the blockchain. It is spread all over the world; that is, it is stored on many computers. A transaction is complete when all computers agree. After these coins are traded, they become available to the public. You can view any transaction whenever you want.
The characteristic of these currencies is that they can run on their own, and no government or institution controls them. Through this, people can send money and buy products online. And you can deposit money in a digital wallet. The first digital currency coin was called Bitcoin. This coin was created in 2009 by an individual or organization named Satoshi Nakamoto.
What is the future of cryptocurrency?
Cryptocurrency is now the digital dollar, and the future is money. Its future looks very promising. Slowly, many projects are being converted into crypto. Now, many countries have approved of this currency. In a few days, we will see transactions with these currencies. So if you start learning now, you will understand everything about it within a few years. There are over 10,000 crypto projects available worldwide. Among them, the total market cap is $1.32 trillion+. Then think about how far these currencies are going. The market value of these coins is nearly $172 billion per 24 hours.
The most popular crypto currency example.
There are thousands of popular cryptocurrencies on the internet. Among them, the names of some coins are highlighted.
1. Bitcoin
Bitcoin was created in 2009 by a person or organization. Everyone knows him as Satoshi Nakamoto. He has not been identified yet. From there, the short name of Bitcoin is Satoshi. Bitcoin is now very popular because it was the first coin. Everyone calls Bitcoin the Father Coin of Cryptocurrencies
2. Ethereum
The second-most popular coin after Bitcoin is Ethereum. Ethereum was founded by Vitalik Buterin in 2015. The abbreviation of ethereum is eth. New cryptocurrencies started to develop through Ethereum
3.Litecoin
Litecoin is a coin similar to Bitcoin, but it is popular for faster transactions than Bitcoin. Charlie Lee created Litecoin in 2011. Everyone knows litecoin as ltc
4.ripple
Ripple was created in 2012. It is a distributed ledger system. It is not only a cryptocurrency, but it has many advantages. Ripple is now working with various organizations and banks. Ripple was created by Ryan Fugger. It is now known as XRP
5.BNB
BNB is powered by the Binance Exchange. This company has created two currencies. One of which, BNB, was launched in 2017. Started as an Ethereum token. Later in 2020, their new token, BSC, was launched, and their chain was formed. Everyone knows it as BNB. It is completely cloned from Ethereum.
Is this currency safe?
Cryptocurrency is safe because it works through the blockchain. It is not possible to change anything on the blockchain. Once a coin is inputted into the blockchain, no one can change it. Whoever develops the coin cannot change any information about it. A transaction creates one to multiple blocks that are impossible for a hacker to break. If a hacker wants to break this system, he has to destroy thousands of boxes in a few seconds. That is why the blockchain is called the most secure payment system. After reading this article, you will know.
Learn about cryptocurrency in simple language.
Cryptocurrency is a type of digital token. This currency is only used in the internet world. In reality, such currency does not exist; It is a type of currency that is not printed by any country’s government, but is generated by internet users using a small code. To understand this one must know about digital currency.
In the 1960s, the first digital currency system was introduced through a type of credit card called Dance Club. Since the 1970s, credit cards have revolutionized the financial system. Currently, we transfer money digitally through online banking and mobile banking. These organizations deduct some money from their service charges. Financial institutions are again controlled by governments or central banks, thereby holding the overall economy hostage to a few people.
In addition, the owner of the money is forced to disclose confidential information in the case of transactions. Personal security is more at stake when it comes to online transactions. Ever since the advent of computer-based communication, people have been dreaming of a currency that would operate without any third-party intervention. In 1983, Debit Zoom introduced the promotion of cryptographic payments. In 1995, he pioneered cryptographic electronic payments through DigiCash. But even then, there was a lack of effective technology to ensure secure user transactions. No one has been able to solve this problem for a long time.
Around 2008 or 2009, Satoshi Nakamoto could solve this problem. He is known as the father of cryptocurrency, but nobody knows who Satoshi Nakamoto really is. It is not known whether it is the name of a single person or a group of software scientists. The real Satoshi Nakamoto doesn’t want anyone to find him. The basic idea of cryptocurrency is that anyone can use it safely and securely, just like regular currency.
No username, address or personal information is required to open a cryptocurrency wallet. It is directly transferred from one person’s wallet to another person’s wallet. No bank or financial institution can act in the middle. There are no extra charges, as there is no third party providing its services Bitcoin is the first coin in the crypto system, invented by Satoshi Nakamoto.
The success and popularity of Bitcoin have spawned numerous such cryptocurrencies. Currently, there are more than 4000 cryptocurrencies. Ethereum Lite Coin and Ripple Coin are the most notable. Satoshi Nakamoto’s invention that made it possible to create cryptocurrency is called blockchain. Blockchain is a new way of storing information. Blockchain is a type of ledger or account book that stores digital financial transaction information, like banks. However, the accounts of these transactions are not confidential to any organization. Rather, this laser can be seen from any part of the world through the Internet. This ledger is updated as each transaction takes place.
Cryptocurrency is not an easy thing to understand. Again, there is no organization to do this. A group of people work as volunteers to maintain this system. In return, the blockchain system provides crypto to those volunteers. Cryptocurrency mining is the process of making digital money. Mining requires a powerful computer. Also, it consumes a lot of energy.
Cryptocurrency was born to securely transact money anonymously, but there are still many risks associated with this currency system. The most dangerous aspect of this is that once you forget your password, you will never get your money back. Because there is no chance to reset the password, this currency will also be lost forever if the computer crashes for any reason.
So far, 25 million bitcoins have been lost. As of 2017, more than $20 billion worth of bitcoins have been lost from wallets. One person lost $70 million. It is not easy for the common man to secure such a huge amount of money. For this reason, a lot of people use a particular kind of third-party wallet known as a crypto bank to store cryptocurrency.
Wallets, however, are not like banks. It works like a money exchange. Regular cash can be converted into cryptocurrency using these wallets. Many such cryptocurrency companies have also lost a lot of their money due to hacking and mismanagement. The world’s largest bitcoin exchange, Bitstamp, Tokyo-based Coincheck, and many other companies, including MtGox, Bitfinex, and Ethereum Classic, have been victims of hacking.
Cryptocurrencies are banned in many countries because they are not regulated by governments Despite the risks, it has spread like a revolution of sorts. Currently, many international companies are doing business with it. The younger generation is spending the most time, effort and money on this new type of currency. As a result, many young people around the world are becoming millionaires through cryptocurrency. They are known as crypto-millionaires. Apart from this currency, any kind of online activity requires a secure internet connection.
Cryptocurrency Scam
One of the most common crypto scams is the automatic disappearance of funds from the wallet. The reason for this is to connect the wallet to various scam sites. When you connect your wallet to an unsecure website, the hackers will get the key number of your wallet. And the person who has the wallet key number will become the owner of that wallet.
The second scam is through the purchase of flash coins. Scammers create coins that look the same as bitcoin, USDT, or Ethereum. Then they say to the common man, I will give you 1 bitcoin for $10k. A bitcoin is worth more than $40,000. When you buy that coin out of greed, you will be a victim of a scam. You can’t sell coins after you buy them. There are many other types of scams in crypto; I will write a full article about them. Stay away from the scam.
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Read More:
- Full information is in What is Cryptocurrency? from Wikipedia
- What is crypto coin vs token?
- What is Altcoins?
