I’m sure that lately most of you have been wondering, reading, seeing facebook ads of digital
terms such as the most popular one of the bunch that appears most in your newsfeed or in any kind of news outlet would be Bitcoin, and it's not only Bitcoin that has been appearing in your newsfeed when your scrolling down in your device, Ethereum, Litecoin and other Digital "otherworldy" terms that you haven't heard before must have crossed your feed when you have been scrolling.
Have you ever wondered what are these?
Well, these digital terms that you have been hearing and reading
lately are called “Cryptocurrencies”. If you are a veteran in the Cryptocurrency
market for the past years not farther than 2009, the birth year of Bitcoin, you have probably mined, invested, and has been through
its roller coaster ride of price volatility of up's and down's. If you are a newbie on what Cryptocurrency is and how and what does it do? And why is it that your hyped up friend keeps talking about Bitcoin, Ethereum and etc and you can't seem to relate well yet it sparks you interest because other people gained an income from it? Well, this article is for you.
What is Cryptocurrency?
A Cryptocurrency is a digital currency that uses cryptography. If you don't know what cryptography means, In Merriam-Webster Dictionary, it is defined as "secret writing" (see link for more information: https://www.merriam-webster.com/dictionary/cryptography) In modern times, cryptography constructs codes that prevents hackers, third parties, or the public from getting personal information or private messages exposed or use it to their own advantage. Cryptography increases the security when it comes to communication. This is what Facebook, Google, Yahoo, Banks and other Apps are doing when it comes to securing your privacy. Cryptocurrency acts as a medium of exchange not issued by any central authority with the benefit of having to be anonymous when doing transactions.
It means that you can do transactions without anyone knowing you and the Government can't interfere about it. It may sound like it would be a great medium of exchange for criminals due to it's anonymity but when used righteously on transacting to another individual, it makes it easier to transfer money with minimal fees unlike transferring money in financial institution's where there is a possibility of manipulating your money.
Bitcoin, Ethereum and Litecoin are not the only cryptocurrency out there, in fact, there are hundreds of cryptocurrencies. I will discuss about it with other cryptocurrencies in the next blog.
Keep up-to-date with my blog to know more about othercryptocurrencies, cryptocurrency news and education.