Cryptocurrency is not real money that moves from one person to another or from one company to another. It is a virtual or digital currency. Since these are digital money there is no possibility to produce counterfeit currency or double-spend the same amount. The spent is recorded by a ledger through a decentralized network through a wide network of computers.
The arrival of cryptocurrency in the world has led to the reconstruction of the financial world. AVirtual visa card with Bitcoin or VCC is one important development in this field. Debit cards are introduced to improve the ease of transactions for the users.
How cryptocurrency is using?
Cryptocurrencies are mostly not issued and circulated by any government of a country. Hence the circulation of this type of currency happens without the interference of government authorities.
- The cryptocurrency makes use of a technique called cryptography to secure all the transactions that are happening through the cryptocurrency.
- From the early ’90s, there were several attempts in creating digital currencies, but they were not successful.
- The main reason behind this failure is that they trusted the third party to maintain and support the transactions.
- This paved way for many frauds thus being unsuccessful in the creation of virtual currency.
- This currency has no servers on which they operate.
- They are completely decentralized.
- To avoid frauds, this system has authority who is in control of your funds.
- This authority has all personal information about you thus making it easy to track you.