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Power of Cryptocurrency

The first cryptocurrency was Bitcoin, which was invented in 2008.

This currency began its use in 2009 and is still the best known.

Units of a cryptocurrency are made through a process called mining.

It involves the computation of complex

mathematical algorithms to create a virtual coin.

The mechanism is chosen to control the supply of

coins over time thereby preventing hyperinflation.

As such, each cryptocurrency has its unique

model of mining, distribution and economic principles.

Cryptocurrency, sometimes called crypto, is any

form of currency that exists digitally or virtually and

uses cryptography to secure transactions.

Cryptocurrencies don’t have a central issuing or

regulating authority, instead using a decentralized

system to record transactions and issue new units.

The term “cryptocurrency” is a combination of cryptography and currency.

It simply means cryptocurrency makes extensive

use of cryptographic techniques to secure transactions.

Cryptocurrencies are usually built using blockchain technology.

Blockchain describes the way transactions are

recorded into “blocks” and time stamped.

It’s a fairly complex technical process but the

result is a digital ledger of cryptocurrency

transactions that’s hard for hackers to tamper with.

Cryptocurrencies which are completely digital are

generated through a process called “mining”.

Cryptocurrencies were solely meant to be used as

money and Bitcoin is a classic example.

However, modern blockchains like Ethereum allow

developers to run smart contracts code on a decentralized network.

Cryptocurrency is nothing but a digital finance or

digital currency secured by cryptography that you can stock in virtual storage.

The value of a cryptocurrency will depend on the supply and demand factors.

Crypto will be decentralized, unlike a fiat currency like INR or USD.

The units of a cryptocurrency are made via crypto

mining, which involves complex mathematical algorithms.

Crypto can only be bought online and one should

have a virtual account in a crypto exchange.

With WazriX exchange associated with Binance, it

is also effortlessly integrated with global exchanges.

If you buy cryptocurrency, you have to store it.

You can keep it on an exchange or in a digital wallet.

While there are different kinds of wallets, each has its

benefits, technical requirements and security.

Investing in cryptocurrencies is not a new phenomenon.

But with the recent surge in popularity and value,

coupled with falling returns on bank deposits, more

people are now looking out for cryptocurrencies.

To start investing, sign-up with a cryptocurrency exchange and you’re good to go.

If you have decided to invest in cryptocurrencies, ensure that you start with the leading

cryptocurrencies like Bitcoin or Ethereum.

What are your thoughts on buying cryptocurrencies?

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