For those who are new to investing, discussing Cryptocurrency is a bit of a headache. Not finished learning about stocks or mutual funds, the world is now planning to adopt Cryptocurrency for payment instruments. However, you don’t need to worry. As long as you have the desire to learn and are always careful when making decisions, so your Crypto money investment will be successful. Well, before starting investing, it helps us know what Cryptocurrency is. The following is an understanding of Cryptocurrency and its brief history.
What is Cryptocurrency?
Reporting from various sources, Cryptocurrency is a digital currency that is used to transact virtually via the internet network. In addition, it is explained that Cryptocurrency is decentralized, which means neither party will be an intermediary in a transaction. Payments are also made directly between the recipient and the sender (peer to peer). To make transactions easier, Cryptocurrency also uses a blockchain platform. This needs to be done. A decentralized Cryptocurrency that requires a computer with high and sophisticated specifications.
The Beginning of Cryptocurrency
Over time, Cryptocurrency appeared back in the 1990s and has only begun to become international prominence in recent years. There are several types of Cryptocurrency that are widely circulating, including Bitcoin, Ethereum, Litecoin, and Monero. Of all the cryptocurrencies, of course, the most popular is Bitcoin.
Is Cryptocurrency really going to overturn paper currency? Of course, the answer is not certain. However, we can see what are the advantages of Cryptocurrency for the community. Here are some of the advantages of Cryptocurrency, including :
Digital currency is designed as a transparent currency. Here, users can monitor transaction activity that has been carried out without worrying about losing money or the difference in amount. In addition, no other party can see the transactions you have made and vice versa. You can make financial transactions without the need to display your real identity which is a personal data security solution.
2. Is Universal
Cryptocurrency can be used by everyone without any binding regulations and conditions.
3. Fast and Accurate
With blockchain technology, the digital currency payment process can be done quickly, safely, and easily.
4. Avoiding Counterfeiting
Blockchain uses a system that does not allow two different transactions with the same currency. Therefore, this system can avoid counterfeiting.
Until now, Cryptocurrency is still used only in terms of online buying and selling transactions, mining, and as a means for investment. Then, is it possible to replace paper money as a convenient means of payment in the future? The only time that can answer.