CRYPTOCURRENCY: THE GLOBAL FUTURE CURRENCY
Cryptocurrencies have become a global phenomenon known to most people, while others are yet to understand it. According to www.en.wikipedia.org, cryptocurrency is a digital asset designed to work as a medium of exchange that uses strong cryptography to secure financial transactions, control the creation of additional units, and verify the transfer of assets. Cryptocurrency is a kind of digital currency, virtual currency or alternative currency. Cryptocurrencies use decentralized control as opposed to centralized electronic money and central banking systems.
Cryptocurrencies make it easier to transfer funds between two parties in a transaction; these transfers are facilitated through the use of public and private keys for security purposes. These fund transfers are done with minimal processing fees, allowing users to avoid the steep fees charged by most banks and financial institutions for wire transfers.
According to Tom Carper, US Senator, “Virtual currencies, perhaps most notably Bitcoin, have captured the imagination of some, struck fear among others, and confused the heck out of the rest of us.”
But beyond the noise and the press releases on the overwhelming majority of people – even bankers, consultants, scientists, and developers – have a very limited knowledge about cryptocurrencies. They often fail to even understand the basic concepts.
Satoshi Nakamoto, is the unknown inventor of Bitcoin, the first and still the most important cryptocurrency. The single most important part of Satoshi‘s invention was that he found a way to build a decentralized digital cash system as many have been attempted to create digital money in the past, but they all failed.
In his announcement of Bitcoin in late 2008, Satoshi said he developed “A Peer-to-Peer Electronic Cash System”, which was on his attempt to accomplish his goal of investing something; many people failed to create before digital cash. Apart from Bitcoin the most popular cryptocurrency, others include Ethereum, Bitcoin Cash, Litcoin, Dogecoin etc.
The earlier people start understanding these virtual currencies, the better for them because soon, these virtual currencies will overtake the traditional currencies.