Understanding Cryptocurrency, Blockchain and Bitcoin

Cryptocurrencies--

In the modern world, there are a lot of changes happening in the style of living of human beings. These changes are making the life of people very easy and comfortable. Almost every aspect of the life of human beings is being revolutionized with modernization. People are making tremendous changes in their lifestyles and the most important contributor to this modern revolution is the advancement in the cyber world making everything digital and online. Even the basic systems which used to follow the traditional paths are now being transformed into digital ones. One of the best examples of this modern revolution is the traditional Banking system in which there is the use of physical money and transaction methods which are now being replaced by cryptocurrency and blockchain methods for the transaction. Revolutionary and spectacular changes have been made in the modern market due to the advent of these substitutes. If you want to invest in bitcoins, you can visit profit builder.

What is cryptocurrency?

Cryptocurrency is the form of digital currency that is only available in the digital world or you can say the cyber world. This form of currency is not available in the physical world which means a person cannot touch the digital currency. Nowadays people are very influenced by digital currency as it does not require the traditional banking system or any centralized banks and for the transaction, a person does not have to depend on banks or third-party organizations. As cryptocurrency does not require any centralized medium for the transaction and the function so it is also called a Decentralized currency. There are a lot of cryptocurrencies available in the present world, such as Bitcoins, Ethereum, Litecoin, Ripple etc. The first and most opted cryptocurrency is bitcoin.

The prime- Bitcoin

Now in this article, we will discuss the most famous cryptocurrency or asset- Bitcoin. Bitcoin is the first crypto that was developed in 2009. A Developer by his name was Satoshi Nakamoto. He developed bitcoins in 2009 as a substitute for the exchange medium i.e. cash or currency. The first payment through bitcoins was made by himself for the purchase of the pizza and for that 20000 bitcoins were given as payment. Since then the interest of the people seems to develop in the decentralized form of the currency and with time, the influence of bitcoins keeps increasing. Very few people in the world have knowledge about cryptocurrencies like Ethereum, Litecoin, etc but a large portion of the world’s population knows about bitcoins and there are a lot of people around the world who are investing in bitcoins. Due to the large no. of people investing in bitcoins the value of bitcoin is increasing day by day. At the time of the article writing the value of bitcoin is 24000 USD. The maximum no. of bitcoins available in the cyber world is limited up to a fixed value. There are only 21 million bitcoins available in the digital world and out of these 21 million bitcoins almost 19 million are already mined and it is expected that 25-30% of 19 million are lost forever because of key misplacing or hard drives crash. The bitcoin transaction is done through a channel or medium called the blockchain.

What is Blockchain?

Blockchain is the medium through which a person can transact bitcoins with another person with security and safety. Due to the blockchain system, there is no requirement of the centralized banks or any third-party organization which makes the decentralized currency meaningful and there are fewer chances of getting robbed or any other bank frauds. Blockchain enables the peer to peer transactions very easily and it is very safe in comparison to the traditional transaction system.

LEAVE A REPLY

Please enter your comment!
Please enter your name here