Many people tend to call cryptocurrencies the “money of the future”. Funnily enough, we can definitely argue that they are the “money of the present”. Cryptocurrency technology is nuanced, one-of-a-kind, but it’s still completely available to all. So, is it the devil or the angel? Well, to investigate this issue, first of all, one must grasp the fundamentals of cryptocurrencies. Also, how you can use them.
Cryptocurrency doesn’t physically exist like every other regular currency since it’s digital money. It is highly unpredictable due to the fact that it has no relation to any valuable properties in the actual world. For eg, Bitcoin, the most common cryptocurrency at the time, is at an all-time high in terms of its valuation.
In a sense, crypto is similar to gold, aside from the fact that gold also has a function besides being used for currency purposes. Crypto doesn’t. Other common forms of crypto include Ethereum, Ripple, Litecoin, Stellar, etc.
Cryptocurrency is often based on high-end encryption and the already popular blockchain technology, both avoiding fraudulent development and replace the central authority. Nobody can monitor crypto transfers or use them for theft either.
A blockchain is, basically, a massive network that exists across a wide variety of operators, such as machines and nodes. It is an instrument that enables the creation of more crypto coins and is decentralized. This means that no one has all the control, but instead, the power is shared between the peers of the network. Hacking isn’t an alternative, either.
If anyone were to compromise bitcoin, let’s presume, they’d have to hack at least half of all the machines that operate the crypto coin. This is an impossible challenge even for the most professional hacker.
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