What is a cryptocurrency?
A cryptocurrency or cryptocurrency (cryptocurrency of the Saxons) is a virtual currency that serves to exchange goods and services through an electronic transaction system without having to go through any intermediary. The first cryptocurrency to go public was Bitcoin in 2009, and since then many others have emerged, with other features such as Litecoin, Ripple, Dogecoin, and others.
What is the advantage?
When comparing a cryptocurrency with the money on the bill, the difference is that:
They are decentralized: they are not controlled by the bank, the government, and any financial institution.
They are anonymous: your privacy is preserved when making transactions
They are international: everyone’s opera with them
They are safe: your coins are yours and nobody else’s, it is kept in a personal wallet with non-transferable codes that only you know
It has no intermediaries: transactions are carried out from person to person
Fast transactions: to send money to another country they charge interest and often it takes days to confirm; with cryptocurrencies only a few minutes.
Irreversible transactions.
Bitcoins and any other virtual currency can be exchanged for any world currency
You can’t fake it because they are encrypted with a sophisticated cryptographic system
Unlike coins, the value of electronic coins is subject to the oldest rule in the market: supply and demand. “Currently it has a value of more than 1000 dollars and like stocks, this value can raise or lower supply and demand.
What is the origin of Bitcoin?
Bitcoin, is the first cryptocurrency created by Satoshi Nakamoto in 2009. He decided to launch a new currency
Its peculiarity is that operations can only be carried out within the network of networks.
Bitcoin refers to both the currency and the protocol and the red P2P on which it is based.
So what is Bitcoin?
Bitcoin is a virtual and intangible currency. That is, you cannot touch any of its forms as it happens with coins or bills, but you can use it as a means of payment in the same way as these.
In some countries you can monetize with an electronic debit card page that exchanges money with cryptocurrencies such as XAPO. In Argentina, for example, we have more than 200 bitcoin terminals.
Without a doubt, what differentiates Bitcoin from traditional currencies and other virtual payment methods such as Amazon Coins, Action Coins, is decentralization. Bitcoin is not controlled by any government, institution or financial entity, whether state or private, such as the euro, controlled by the Central Bank or the dollar by the Federal Reserve of the United States.
In Bitcoin they control the real, indirectly by their transactions, users through P2 P (Point to Point or Point to Point) exchanges. This structure and the lack of control make it impossible for any authority to manipulate its value or cause inflation by producing more quantity. Its production and value is based on the law of supply and demand. Another interesting detail in Bitcoin has a limit of 21 million coins, which will be reached in 2030.
How much is a Bitcoin worth?
As we have noted, the value of Bitcoin is based on supply and demand, and is calculated using an algorithm that measures the number of transactions and transactions with Bitcoin in real time. Currently the price of Bitcoin is 9,300 USD (as of March 11, 2018), although this value is not much less stable and Bitcoin is classified as the most unstable currency in the exchange market.
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