Crypto Currency Meaning
A crypto currency is basically a virtual currency and it is secured by cryptography. It is almost impossible to counterfeit or double spend in it. So many crypto currencies are here which decentralized network based on block chain technology. It is generally not issued by any central authority, rendering them theoretically immune to government interference or manipulation.
It is in form of a digital asset based on a network this is a decentralized structure allows us to exist outside the control of governments and central authorities. Crypto currency is facing criticism for many reasons like their use for illegal activities, exchange rate volatility, and vulnerabilities of the infrastructure underlying them.
The first block chain based crypto currency is Bitcoin which is still the most valuable and popular. But now there are so many crypto currencies with various functions and specifications. Bitcoin was launched in 2009 by an individual or group known by the pseudonym Satoshi Nakamoto. Some of the competing crypto currencies are altcoins. Include Solana litecoin,Ethereum, cardano and EOS . The total aggregate value of all the crypto currencies are $2.4 trillion. And Bitcoin is having 42% share of the total value.
Benefits
Crypto currencies hold the promise of making easier to transfer funds directly between two parties. It does not need trusted third party like a bank or credit card company. These transfers are instead secured by use of public keys and private keys now a days a users wallet or account address has a public key while the private key is known to the owner and most often used to sign transactions. Transfers are initiated with minimal processing fees.
Drawbacks
The innominate nature of cryptocurrency transactions makes them well suited for illegal activities like money laundering and tax evasion. If we talk about bitcoin it is a poor choice for conducting illegal business online as bitcoin blockchain has helped authorities arrest and prosecute criminals.
FAQ About Cryptocurrency
If you want to purchase cryptocurrency you can purchase through crypto exchanges. There are so many apps available in market for investing in it and you can directly invest through website.
Most popular crypto currencies are Bit coin followed by Ethereum, Binance coin, Solana, and cardano.
