Introduction to Cryptocurrency
‘Cryptocurrency is a virtual or digital currency that works on blockchain technology and is designed as a medium to exchange online like goods and services’
The cryptocurrency was introduced by Satoshi Nakamoto. On 31 October 2008, a link to a paper authored by Satoshi Nakamoto titled Bitcoin: A Peer-to-Peer Electronic Cash System was posted to a cryptography mailing list. Nakamoto implemented the bitcoin software as open-source code and released it in January 2009.
Cryptocurrency is called a cryptocurrency because it is safe by cryptography which a lot of currencies like bitcoin use like blockchain. blockchain is not currency nor it is a bitcoin. it is a secure block of letters that you have a spreadsheet of everyone's transactions. blockchain is just organizing it. so every time you pay as a bitcoin that transaction is recorded as a block.
blockchain is a block of letters that stores transaction data. each block contains a unique identifier like from that person to that person, the amount that we have a transaction, hash which is a unique identifier, and the last transaction that was recorded.
There are different types of cryptocurrencies like Bitcoin, Ethereum, Dogecoin, Tether, Binance coin, and many more. The most popular ones are Bitcoin and Ethereum.
Let's talk about the pros of cryptocurrency. It is easily accessible, is Independence from a central authority(no use of the third party like banks), its payments are safe and secured, and offer an unprecedented level of anonymity. all in all, it is very much reliable if you want 3rd party involved and want anonymity.
Now about the cons of cryptocurrency, the anonymity of cryptocurrency makes them easy to be the focus of illegal activities such as money laundering, tax evasion, and possibly even terror financing, crpto is rightnow an evolving and new currency so it is not accepted everywhere.
All in all, cryptocurrency is still evolving and new. researchers are still being done it. In the future, It is going to change our lives.
