by Today crypto currency is becoming famous very fast all over the world. Today we will tell you in this article first of all that what is cryptocurrency after all. And how does it work? What are its benefits? What’s the harm? Apart from these, there is a lot that you want to know, so we first tell you about Cryptocurrency in what is Cryptocurrency.
What is Cryptocurrency?
Each country has its own currency that can be used for transactions or purchases. What is seen, over which the country has complete control, the country of which that currency is. On the contrary, there is also a currency which is not visible, only it can be felt, which is called crypto currency, in other language we also call it virtual currency.
Because this currency can only be felt, it can be used but it cannot be touched. It is a virtual currency. What is not visible but can be used to make purchases or transactions digitally. It is not controlled by any one country because it is global, just any country can ban it in its country but cannot impose its will on other countries.
If we technically know about crypto currency, then crypto currency is a virtual currency. Which is managed by a decentralized system. In this, every transaction is verified by a digital signature. And all its records are maintained by cryptography. If we technically say it in a more short and simple language, then Crypto currency is a currency based on blockchain technology which is secured by cryptography. And copying it is not possible.
Now what is cryptocurrency, now you must have understood what is crypto currency.
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What is crypto currency used for?
Crypto currency is used for online transactions, it is a global currency that is used to buy services and goods in one country as well as in other countries, a strong crypto currency to secure its transactions. An online laser is used as well as graphics. Its prices keep changing very fast, sometimes its prices become very high and sometimes its prices go very low.
How does Crypto Currency work
Crypto currency works with the help of blockchain. This means that the correct record of transactions is kept in it. Which is monitored with the help of powerful computers. Which is called Cryptocurrency mining. And those who do this mining work are called miners.
Types of Cryptocurrency-
There are more than 10000 types of cryptocurrency all over the world, in which Bit Coin, Ethereum, Binance Coin, Cardano, Polkadot, XRP (Ripple), Tether, Dogecoin, Bitcoin Cash, Internet Computer etc. are very much in vogue.
Cryptocurrency Meaning-
Cryptocurrency means money that is completely virtual and cannot be seen, but which can be used online for the purpose of availing services and buying something.
Cryptocurrency to invest in-
What is the best cryptocurrency to invest in-
According to Forbes, if you want to invest in crypto currency, then the 10 best crypto currency is-
- Bitcoin (BTC) Market cap: Over $641 billion
- Ethereum (ETH) Market cap: Over $307 billion
- Tether (USDT) Market cap: Over $62 billion
- Binance Coin (BNB) Market cap: Over $56 billion
- Cardano (ADA) Market cap: Over $51 billion
- Dogecoin (DOGE) Market cap: Over $44 billion
- XRP (XRP) Market cap: Over $40 billion
- USD Coin (USDC) Market cap: Over $23 billion
- Polkadot (DOT) Market cap: Over $21 billion
- Uniswap (UNI) Market cap: Over $13 billion
What is Cryptocurrency trading?
Crypto trading means buying or investing in Crypto Currency. This is a type of Crypto Currency market which is known as Crypto Market, Cryptocurrency Exchange, Coin Market, Digital Currency Exchange etc.
What is Bitcoin?
Bitcoin is also a virtual or virtual currency from which you can buy, perceive, store online but you cannot touch it. It is just like normal currency, the only difference is that it is completely online currency.
How do I start investing in Cryptocurrency?
To invest in Cryptocurrency, you need to complete your simple registration formalities in any Crypto Exchange like eToro, Buyucoin, Zabpay, CoinDCX, Unocoin, WazirX. Can buy and sell too.
Advantage and Disadvantage of cryptocurrency-
Advantage of Cryptocurrency-
Large Returns-
To invest in Cryptocurrency, you need to complete your simple registration formalities in any Crypto Exchange like eToro, Buyucoin, Zabpay, CoinDCX, Unocoin, WazirX. Can buy and sell too.
Worldwide Currency-
Crypto currency is operating virtually in many countries of the world. Many countries of the world are accepting Crypto Currency, which has made it very easy for people to buy things and services globally. And transaction through crypto currency has become very easy.
Inspiration of digital currency-
The huge success of Crypto Currency can also inspire the world to change its monetary policy, that is, from Crypto Currency, the countries of the world can also get inspiration for a currency which is digital and which cannot be touched, for example India. Reserve Bank has also indicated to make some changes in its monetary policy. Now the Reserve Bank is also moving faster towards digital currency. Although we cannot call digital currency as virtual currency or crypto currency.
Digital Currency V/s Virtual or Crypto Currency-
Because his country has complete control of digital currency, there is no risk in it. Whereas there is risk in Crypto Currency as no one has any control over it.
Rapidly increasing the purchasing power of the people-
The global buying power of many people is increasing rapidly due to the profits being made from Crypto Currency. And there is a rapid positive change in his lifestyle.
Disadvantage of Cryptocurrency-
Due to the huge profits of Crypto Currency and no government control, the currency is becoming secondary in many countries and due to the rapid increase in the rate of inflation due to the ability to buy more, the governments of some countries are worried about increasing inflation. Looks like Which is its disadvantage. There is also a fear among some that this will lead to a rapid devaluation of national currencies.
Too much volatility
The most negative thing about Cryptocurrency is its volatility, it never sees stability, it reaches the heights of the sky in a very short time and sometimes goes down quite a lot, due to which its investors have to suffer a lot. Which is a huge drawback of it.
Due to no control, the possibility of misuse increases.
Due to no control over Crypto Currency, there is a lot of risk of wrong transactions and fraud in it. And thus far many investors have suffered a lot. Therefore we can say that Crypto Currency is not so secure in terms of security as the currency controlled by any country.
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Who uses crypto currency?
Many of the world’s leading companies like Overstock, Dish TV, Microsoft, Subway and all types of shopyfi sites accept transactions in Cryptocurrency.
In which countries of the world bitcoin is used the most-
According to Yahoo Finance, the countries with the most crypto currency transactions in the world are Nigeria: 32%, Vietnam: 21%, Philippines: 20%, Turkey: 16%, Peru: 16%, Switzerland: 11%, India: 9% , US: 6%, Germany: 5%, Japan: 4%.
Which countries have banned bitcoin?
There are also many countries where the most used crypto currency has been banned, according to Investopedea, these countries include countries like China · Russia · Vietnam · Bolivia, Columbia, and Ecuador.
Are Bitcoins legal in US?
Bitcoin is completely legal in the US According to Investopedia, the IRS in the US has taken considerable interest in bitcoin, and has issued guidelines for taxpayers regarding bitcoin.
Conclusion-
We have created this article what is cryptocurrency, so that you can understand about cryptocurrency properly.
In our article What is Cryptocurrency, if you want to know our view, then we believe that if you invest properly then Crypto currency is a good currency. Do not invest too much in this by getting greedy. Invest at least in the beginning, and when there is income, gradually invest more because the cryptocurrency market keeps on fluctuating very fast.
After investing a lot, if the market comes down, then you may have a lot of losses in it, but if you invest in it at the right time, then you can also make very good profits in it, so definitely invest in Cryptocurrency, but carefully. Invest in the right way.
So hopefully you must have understood a lot about what is cryptocurrency and you must have got to understand many such things about cryptocurrency which you probably did not know before. Do tell us how did you like our article What is Cryptocurrency. And what else can we tell you in this which we missed in this article. You can comment us or you can also express your views on our mail: [email protected].
