What is Cryptocurrency? Future in Cryptocurrency

What Is Cryptocurrency?

A cryptocurrency is a digital currency that can be used to buy and sell products and services online. Many businesses have created their own currencies, referred to as tokens, which will be exchanged for the products or services that the business offers. To use the merchandise or service, you will need to trade real money for cryptocurrency. A cryptocurrency is a form of payment that can be swapped/switched online for products (that are bought and sold) and services. Many companies have issued their own types of money, often called symbols, and these can be traded specifically for the good or service that the company provides. Think of them as you would arcade symbols or casino chips.

Cryptocurrencies work using a technology called a blockchain. Blockchain is a (without having one central area of command) technology spread across many computers that manage and record transactions.

Why It Was Needed To Create A New Currency - Cryptocurrency?

The very first such cryptocurrency created is understood as Bitcoin. It had been created in 2009. The crazy part of this is often that nobody knows the precise details of who created this cryptocurrency.

This cryptocurrency was created in the wake of the 2008 financial crisis, which hit the world's economic systems very hard and solid. People were upset at banks and governments for a good sort of reason. One of these reasons was the implicit nature that citizens had to trust banks and governments, things completely outside of their control, with their hard and honestly earned money.

Among all of them, regular people could have their financial assets (cash) seized or frozen for any reason by almost anyone, including companies and foreign governments. So, in essence, you didn't fully control your money before cryptocurrencies happened. 

Thus, Bitcoin was created as to how for people to interact in financial transactions without counting on banks or governments. It is a peer-to-peer currency. Nobody controls your money, but yourself (so long as you're taking certain steps beyond this lesson's scope), and such transactions are generated, secured, and verified because of cryptography. In other words, it isn't a bank or government that verifies and secures a transaction; it's mathematics.

This allows you the liberty to try to do what you would like together with your money at any time and with anyone, anywhere around the world, with no restrictions whatsoever aside from those you place upon yourself. In other words, no prying eyes would be invading your privacy and security with reference to what it's that you simply prefer to do together with your money.

Types Of Cryptocurrency 

Here’s a list of popular cryptocurrency types and descriptions:

1. Bitcoin

2. Bitcoin Cash

3. Litecoin

4. Ethereum

5. Ripple

6. Stellar

7. NEO

8. Cardano

9. IOTA

10. Peercoin

11. Litecoin

12. Dogecoin

13. Auroracoin

14. Namecoin

Why Should You Invest In Cryptocurrency In 2021?

Cryptocurrency is that the hottest new trend within the investing world. Although digital currencies are around for over a decade, they need to be exploded in popularity over the past few months and maybe it will rise in the future too.

Bitcoin (CRYPTO:BTC) has been setting records this year, Touching the moon at around $63,000 in mid-April. Other cryptocurrencies like Dogecoin (CRYPTO:DOGE) and Ether (CRYPTO:ETH) have also been gaining popularity as investors scramble to leap aboard the cryptocurrency bandwagon.

It's possible to make plenty of cash investing in cryptocurrencies, but it's also possible to lose plenty of cash. CryptoCurrency may be a risky investment, and it isn't right for everybody. 

But is it right for you?

Is it right for you?

If digital currencies become mainstream, they have the potential to vary society as we all realize it. Cryptocurrency supporters believe it'll still become more widely accepted by merchants, increasing its value.

Venmo recently announced it might start accepting crypto as a type of payment, and its parent company, Holdings,  PayPal also accepts cryptoCurrency. additionally, companies like Square and Tesla have made significant investments in Bitcoin.

With more and more large companies aged board with cryptocurrency, investing now might be a sensible thanks to getting in on the bottom level, so to talk. By investing now, you'll potentially make plenty of cash as cryptocurrencies become more widely accepted. For instance, 5 years ago, in April 2016, BitCoin cost was just over $400 for one coin. As of this writing, Bitcoin is now worth quite $54,000 per coin. If the worth of Bitcoin continues towards the moon, investing now could put you on the trail to becoming rich.

That is an enormous "if," however, and there are many risks involved in investing in cryptocurrencies also.

For starting a business in this market, the most important thing is that you have to keep patience and don't get panic earlier. You have to understand the market and keep patience in both gain or loss.

 

How Cryptocurrency Transaction Works?

1. A works to Transfer money to B

2. Transaction is represented as a block.

3. Block is broadcasted to everyone in the network.

4. Approved as valid from everyone in the network.

5. Block is then added to the chain, providing a transparent record of transactions.

6. B receives money from A.

Is CryptoCurrency Safe?

Investing money in any market is always risky, but some legends say cryptocurrency is one of the riskier investment choices out there, according to the analysis of consumers. But Digital currencies are also one of the most well-liked commodities for making money in the future.

Advantages and Disadvantages of CryptoCurrency

Advantages of Cryptocurrency - 

• There is no regulator, no Government control over a Cryptocurrency. This largely applies to cash transactions also. However, cash transaction isn't practical for long-distance transactions. Cryptocurrencies are often transacted over the web & hence international transactions are convenient. Cryptocurrency is actually the cash for a Borderless World. Like E-Commerce, it's a challenge to geographical borders, to regulators.

• No intermediaries – like banks are required, transactions are often fast & cost-efficient. In India, many banks have collected usurious charges - especially on – exchange conversions. they need also delayed delivery of credit to the recipient (payment lag). During the delay, banks have enjoyed the take advantage transit for his or her own business. this is often a good cause for people opting for Cryptocurrency.

Disadvantages of Cryptocurrency - 

• Cryptocurrency issuers claim no responsibility to stabilize the worth of Cryptocurrency. Hence it's hospitable massive fluctuations. Bitcoin price fluctuations have established that it's not meant for anyone but the hard-core speculators & gamblers.

• Unnecessary lengthy record: what's the necessity to take care of a record of a whole cycle of all transactions from inception? In ten years the cycle is going to be goodbye that rather than present half-hour time taken for processing one transaction; it's going to take 24 hours. The amount of computing power required, and electricity consumed may make it unsustainable.

• Hacking: BitCoin is an entirely supported software. there's no outside the software safety or cross-check. When a university student hacked into NASA computers; he proved that software and the internet are vulnerable. There are several attacks on different CCs & their exchanges. Some are successful.

Can Cryptocurrency Be Converted Into Cash?

Yes, It can be converted into cash. There are many ways to convert cryptocurrency into cash - 

1. Selling Bitcoin on a crypto exchange.

2. Bank transfer or PayPal

3. Bitcoin ATMs

4. Bitcoin Debit cards

5. Peer to peer transaction

6. Cash deposit

7. Bank transfer

Why The Indian Government Is Not Accepting Cryptocurrency?

The reason behind this is Indian government is unable to track records and earnings of any people in cryptocurrency because there is no third-party app. Its transactions are end-to-end encrypted and the government has no records of it. One major reason for banning crypto in India is Crypto buyers are not paying tax for their earnings also.

Upcoming Cryptocurrency

Pi is an upcoming cryptocurrency and you can “mine” (or earn) from your phone. Now, you can mine (or earn) Pi by using a simple app on your mobile phone. Today it's free but in the future, its price maybe reaches up to 14000 in 2022. I am also mining in my android phone and it's free of cost now. 

To claim your Pi, follow this link https://minepi.com/SimranKeswani and use my username (SimranKeswani) as your invitation code.