What Is a Cryptocurrency?

A cryptocurrency or cryptocurrency (crypto market capĀ of the Saxon) is a virtual money that functions to exchange products and services via a system of digital transactions without having to go through any intermediary.

What is the benefit?

When comparing a cryptocurrency using the cash from the ticket, the distinction is that:

  • They are decentralized: they Aren’t controlled by the lender, the government and some other financial institution
    Are Anonymous: Your privacy is preserved when creating transactions
  • They’re International: everyone’s opera with them
  • They are secure: your coins are yours and out of nobody else, it’s kept in a personal wallet with non-transferable codes that only you understand
  • It has no intermediaries: transactions are carried out from person to person
    Quick transactions: to send money to a different nation they charge interest and often it takes weeks to confirm; with cryptocurrencies just a couple of minutes.

Irreversible trades.

Bitcoins and any other digital money could be exchanged for any world currency
It can not be faked since they are encrypted using a sophisticated cryptographic platform
Unlike currencies, the value of digital currencies is subject to the oldest rule of this market: demand and supply. “Currently it’s a value of more than 1000 dollars and such as stocks, this value can go up or down the supply and demand.

What’s the origin of Bitcoin?

  • Bitcoin, is your very first cryptocurrency created by Satoshi Nakamoto in 2009. He chose to start a new money
  • Its peculiarity is that you may only perform operations within the community of networks.
  • Bitcoin refers to the money and the protocol and the red P2P where it relies.
  • Thus, what will be Bitcoin?
  • Bitcoin is a virtual and subjective money. That is, you can’t touch any of its forms as with bills or coins, but you may use it as a way of payment in precisely the exact same manner as these.
  • In some countries it’s possible to monetize with an electronic debit card page that make money trades with cryptocurrencies such as XAPO. In Argentina, as an example, we’ve got over 200 bitcoin terminals.

Undoubtedly, what makes Bitcoin distinct from traditional currencies and other digital way of payment such as Amazon Coins, Action Coins, is decentralization. Bitcoin is not controlled by any government, institution or financial thing, either state or private, like the euro, commanded by the Central Bank or the Dollar from the Federal Reserve of the United States.

In Bitcoin control the real, indirectly by their own trades, users via exchanges P2 P (Point to Point or Point to Point). This arrangement and the lack of management which makes it impossible for any ability to manipulate its value or cause inflation by producing more quantity. Its value and production is based on the law of supply and demand. Another fascinating detail in Bitcoin has a limit of 21 million coins, which will be reached in 2030.