The world of Crypto currency and its methodologies

A payment system which is completely digital and does not need any bank to carry out transactions. This is what cryptocurrency is all about. It allows transactions between persons only. Anyone who has a crypto wallet can send and receive payment from anywhere. You carry out physical payment in your wallet or pockets. And they need to be exchanged physically. However, cryptocurrency is completely different.

Every business transaction that includes crypto currency happens in the digital world. The transactions and its history is stored in a database on the online platform. There are public ledgers in which crypto currency funds are transferred. It is named cryptocurrency because there are various encryption methods that are required to transfer this currency. It’s name is Derived from cryptic which means secret.

There is a complete coding system involved in the transactions and storage of this currency. Everything that involves the transaction from public ledgers and digital wallets happens through coding of cryptocurrency.

Bitcoin is the first ever cryptocurrency that came into the market. Speculators trade for profit at the time of price hike. From 2009 till today bitcoin is growing each day.

Methodologies of cryptocurrency

Each transaction that happens regarding the cryptocurrency of the holder is distributed on Blockchain. Which is a public ledger. Traders and sometimes minors create the units which determine the value of cryptocurrency. Apparently you need to solve some mathematical problems to earn some coins. This process is called mining.

If you cannot mine, then many users also buy crypto currency from traders and brokers. Basically keep this currency into your wallet. Sell it when the price is right.

People who own cryptocurrency do not have any physical asset in their hand. The value is untouchable as it moves in units. You basically transfer these units to another person if you want to sell or receive. This process does not require a third-party.

Bitcoin is the only currency that is moving around since the year of 2009. From that time forward there have been many currencies and applications that are emerging in the financial era. This type of technology is also used to transfer and exchange the Stocks, financial assets as well as bonds.