Common people’s perception of crypto coins
If one thinks of Bitcoin as a very risky ‘stock’ or ‘share’ that “Aaj Aamir Kaal Fokir”, almost entirely of manipulation and fraud, one cannot blame him at all. Since such incidents are happening, the news is always available and spread by word of mouth. Risk is not wrong, the assumption of Amir/Fakir reversal is also correct. That’s what people in favor of Bitcoin say too.
But none of this is ‘bitcoin’, it’s what’s going on with bitcoin. Bitcoin is one of the inventions, the first ‘cryptocurrency’ based on ‘block chain’ technology. Bitcoin is a secure software. Experts agree that the ‘block chain’ technology at the core of Bitcoin is groundbreaking, highly reliable. Banks & financial institutions are should also use this ‘block chain’ technology.
Current situation with crypto coins
Recently, its incredible price explosion has shocked everyone. No one can mess it up anymore. Its futures are allowed to be sold on called the Chicago exchange. Many reputable institutions including Merrill Lynch, Bank of America say it is not a ‘bubble’. There are reasons behind this price increase. There are reasons, of course, and deep reasons. As much as economic, it is equal or more technical and scientific. This ‘crypto currency’ has the power to transform society and economy. Already ‘Block-Chain’ has been accepted as a promising new technology. There is intense research and much discussion about what it might contribute.
Attempts to invent crypto-currencies have been going on for a long time. It was only in the 1980s that researchers discovered that such a currency could be invented from cryptography. But they failed to solve some problems. In 2008, an unknown researcher posted a research paper on an Internet forum with a neat solution to all those problems. His solution works surprisingly well. His solution is called “Block-Chain”. Based on that block-chain, the first ‘crypto-currency’ was invented, called Bitcoin. Because of its skyrocketing price, and its ever-increasing volatility, it is now considered an asset rather than a currency by most people.
Since then, many other crypto-currencies have been invented, such as Ethereum, Ripple, Litecoin, etc. But Bitcoin is ahead of others due to being the first crypto currency, and being able to attract the attention of many researchers, investors. However, another crypto-currency could suddenly move forward and make Bitcoin completely bankrupt, which is a big investment risk. No one can say which one will go ahead.
There are now hundreds of crypto-currencies on the market, and many more will surely be imported. So it is not easy to be in doubt about the investment. Many people ask, what does this currency look like? This currency has no real existence. It is a computer software. There are even souvenirs that have the English letter ‘B’ written in capital letters on gold coins in many pictures. That’s not Bitcoin.
Why is Bitcoin or Crypto Currency Needed?
As society and life progress, economic instruments advance along with the advancement of science. Coins have evolved a lot. From metallic currency it has become paper currency. There high Advanced technology is being used to prevent counterfeiting & others. Then came credit cards, debit cards. With that, economic exchange became more and more easy. These can be called “digital currencies”. But the most incredible progress has been made by “crypto currency“. Let’s highlight some of its characters.
1. It has no government or institutions. A large number of people around the world are circulating this currency through an ultra-secure network. There is No one or anyone is a policy maker, there everyone is equal, just a node in this network. This coin will move from buyer to seller directly, without any middleman, safely and securely. Do you know there no central form of this monetary system and it is completely decentralized. It is called a direct “buyer-seller” (peer-to-peer) network.
2. As a result, anyone will be able to buy anything by sending money from Ghana to China in an instant. No bank issues, no exchange rate issues. in this network no middleman there and that is the design of this coin.
3. This currency can move from any one country to another without hassle at an accelerated pace. In the case of Bit Coin it takes a maximum of ten minutes. But some other ‘crypto Coins’ can be change hands in less time. But the current wire transfer takes some days to go from 1 country to another country .
4. The fee required to send this currency from one person to another is only nominal. It is again not dependent on the amount of money sent. The fee to send one bit coin, the fee to send 100,000 bit coin. When compared to current money transfer fees, here too “crypto currency” is far ahead in terms of convenience.
5. “Crypto-currency” transactions cannot be faked. When once transferred, it cannot be withdrawn or changed this transferred in any way. It is being recorded with thousands of machines in various countries around the hole world. This transaction is irreversible.
6. “Crypto currency” has no inflation. As countries overtly or covertly try to increase their international purchasing power by overprinting their currency, resulting in a ‘currency war’, that is absolutely impossible with ‘crypto currency’. Like this ex:- the maximum number of bitcoins is set at 2.1 or Plus crore.
Why are Crypto Coins so Expensive?
The reasons for its price increase are as follows-
1. It is believed that in the near future, everyone across the globe will be using ‘crypto-currency’. To put it this way, if someone had said twenty years ago that everyone in the world would be using mobile phones, it might not have seemed very believable at the time. Many strongly feel that the same is happening here.
2. The number of Bit Coins is limited. So it is not surprising that the price of a bitcoin is very high. Because all the world’s wealth will be bought with those limited bitcoins, the price of each one will skyrocket.
Can Bitcoins Buy Anything?
it can be used to buy many things these time of days. Here is an example like any product from Overstock.com can be purchased with this Bitcoin. Many more such businesses are currently selling their products using Bitcoin as a currency. It is assumed that, just as credit cards are being used instead of money, in the future, Bitcoin or some other ‘token currency’ will be used instead of money and credit cards.
Why is the price so unstable?
All the above possibilities increase its price. Again, if there is any fraud or caught, its price decreases. Again, if a country declares it illegal before, or if a country takes a stand in favor of this currency, its price will decrease or increase instantly. Price increase-decrease is a psychological matter of people. Then there is the location of other ‘token currencies’.
If Ethereum or Ripple are indeed considered to be the currency of the future, they will rise in price and Bitcoin will fall in price. Due to these various reasons, its price suddenly decreases and suddenly increases. There may be profit-seeking large crocodile-rupee investors, who can suddenly increase the price by investing a lot, and suddenly withdraw all the money and cause the price to collapse. All in all, its price can rise or fall at an alarming rate, which no one can predict.
Who is doing fraud with it?
No one is scamming directly with Bitcoin or Crypto-Currency. It is based on ‘Block-Chain’, which is considered to be absolute and the most secure. Fraud is about Bitcoin buyers’ accounts. Fraud occurs through middlemen who are helping to buy and sell bitcoins. People are being cautious. More reliable institutions are coming. Passwords and identity systems are becoming more secure, and must be. So, some news that is or will destroy Bitcoin or crypto currency is not entirely true. Its foundation is quite strong.
How to get crypto coins or bitcoins – (Bitcoin Mining)
Bitcoin mining is similar to mining. Similar in all respects, but no real mines. No real minerals either. However, it can be extracted by a computer or similar machine. The mills are in this place, extracting minerals takes time, labor, fuel. Sometimes more material can be found in a short period of time, sometimes nothing was found from the mine due to lumps.
The harder and rarer it is, and the more desirable it is to people, the higher the price of the substance. Like gold or diamonds. Bitcoin is made scarce through a mathematical formula. It takes a lot of fuel, a lot of effort to extract it. Even then there is no guarantee that a bitcoin will be found. The word “work” can be matched here with the use of computer ‘cpu’ or ‘gpu’. Fuel can be matched with electricity consumption. Bitcoin’s algorithm (‘Proof of Work’) is designed in such a way that it will be difficult to ‘withdraw’ from day to day.
What is its future?
It is believed that ‘crypto currency’ is the currency of the future. Information and technology experts have already started working on the blockchain that is its basis. The way the internet changed the world, the way the mobile phone spread from house to house, from village to village, it will also spread. But which currency? Bitcoin? Ripple? Litecoin? Ethereum? Or “Mofiz Coin”? It’s hard to say. no one knows But one crypto-currency will take root.
The dollar will gradually rise, the euro will rise, the money will rise one day. People will not go to the bank, everyone will have a “crypto currency” wallet, on a computer or mobile. Many people say that this account should not be compared only with a bank account. Each of these is a bank in itself. The bank rules, fees, all will be determined by that person. And this currency does not have country limits. So the world will take a new form.
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