What Is a Cryptocurrency?

Image result for cryptocurrencyA cryptocurrency or cryptocurrency (cryptocurrency of this Saxon) is a digital money that functions to exchange products and services through a system of electronic transactions without having to go through any intermediary. The first cryptocurrency that began trading has been Bitcoin in 2009, and since then many others have emerged, along with different features like Litecoin, Ripple, Dogecoin, and many others.

What’s the advantage?

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

Are Anonymous: your privacy is maintained when making trades
They Are International: everybody’s opera with them
they’re secure: your coins are yours and from no one else, it’s stored in a private wallet with non-transferable codes which you understand
It’s no intermediaries: Tokens.net Ethereum trades are performed from person to person
Quick trades: to send money to another country they charge interest and it takes weeks to confirm; with cryptocurrencies just a couple of minutes.
Bitcoins and any other digital money could be exchanged for any world currency
It can’t be faked since they’re encrypted using a sophisticated cryptographic system
Unlike currencies, the value of digital currencies is subject to the oldest rule of the market: demand and supply. “Currently it’s a value of over 1000 bucks and such as stocks, this value can go up or down the supply and demand.

What’s the source of Bitcoin?

Bitcoin, is the first cryptocurrency made by Satoshi Nakamoto in 2009.

Bitcoin refers to the money and the protocol and the reddish P2P on which it depends.

Thus, what is Bitcoin?

Bitcoin is a virtual and subjective money. That is, you can’t touch any of its forms as with coins or bills, but you may use it as a way of payment in precisely the exact same way as these.

In some countries you’ll be able to monetize with an electronic debit card page which make money exchanges with cryptocurrencies such as XAPO. In Argentina, as an instance, we’ve got over 200 bitcoin terminals.

Undoubtedly, what makes Bitcoin distinct from conventional currencies and other digital way of payment such as Amazon Coins, Action Coins, is decentralization. Bitcoin isn’t controlled by any government, institution or financial entity, either private or state, like the euro, controlled by the Central Bank or the Dollar from the Federal Reserve of the USA.

In Bitcoin control the actual, indirectly by their trades, users through exchanges P2 P (Point to Point or Point to Point). This arrangement and the lack of control makes it impossible for any ability to control its value or cause inflation by generating more quantity. Its value and production is based on the law of demand and supply. Another interesting detail in Bitcoin includes a limit of 21 million coins, which is reached in 2030.

As we’ve pointed out, the value of Bitcoin is based on supply and demand, and is calculated using an algorithm that measures the number of trades and transactions with Bitcoin in real time. Currently the purchase price of Bitcoin is 9,300 USD (as of March 11 of 2018), although this value isn’t much less secure and Bitcoin is categorized as the very unstable currency in the foreign exchange industry.