Cryptocurrency

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What is this crytocurrency that everybody is talking about? In simple words, it is digital currency in encrypted form. Money transaction is processed and validated through data mining. As of now, using crypto currency is a very complex process. Still, it is becoming popular in recent times worldwide.

Here, money transaction is carried out between two parties only.Hence there is no third party involvement. After validation and processing through data mining,it is kept in public ledgers but the transactions are kept confidential.Once a transaction is validated, miners get this crypto currency as reward.

Litecoin, Bitcoin, Ethereum ,Pipple are some examples of cryptocurrency. Out of this, Bit coin is the most popular crypto currency.

Cryptocurrency works on Block Chain Technology, which is a decentralised technology spread across many computers that manages and records transactions.

There are more than 4000 cryptos worldwide as of now. It’s users are called miners. This virtual currency is exchanged over the internet and uses cryptography as a means of security. There is no central authority to manage this system and it is immune to government interference.It is highly confidential and totally decentralised person to person payment method. All the transactions and accounts can be traced but the owner accounts are usually not easily traceable.

International money transfer can also be done through crypto. As it is becoming popular nowadays, it’s value is getting increased. Some people even use it for investment purposes. A large number of individuals and businesses have started using this. Many online websites also accept virtual currencies as payment.

Bitcoin is a premier crytocurrency created by Satoshi Nakatomo on 31 st October, 2008. It is pseudonomous and is controlled by users called bitcoin miners. These miners use different computer program and resources to solve highly complicated mathematics problems and get a number of bitcoins in exchange. They do this by verifying transactions and adding them to a public ledger called Blockchain. It holds the transaction history of all bitcoins in circulation. These miners keep the network secure and ensure that all systems are synchronized together. Those miners who help to accurately track the transactions and maintain network are rewarded with cryptos.

Ripple or XRP is an open source digital payment platform. Here money can be transferred in actual currency or cryptocurrency. XRP is used as a bridge currency to settle cross border payment in a faster and cheaper manner.

The cryptocurrency has neither been made legal nor banned. In India, they are not in use legally. Experts are advising on shutting down its trading. Likewise, other major countries are thinking of banning cryptocurrencies. So we have to wait and watch if the crypto will become the future of transactions or goes away for good.