What is Cryptocurrency?

You can use crypto currency, a type of digital or virtual currency, to buy goods and services, implying that no physical coin or bill is involved and all transactions take place online. An online ledger with strong cryptography ensures that online transactions are completely secure.Crypto currency lacks a physical appearance; we can only see it digitally or virtually as it does not have any kind of physical existence.

Cryptocurrency is a digital payment system that doesn’t rely on banks to verify transactions.
It’s a peer-to-peer system that can enable anyone anywhere to send and receive payments. Instead of being physical money carried around and exchanged in the real world 
crypto currency is stored in digital wallet
cryptocurrency recieved its name because it uses encryption to verify transactions.
this means advanced cooding is involved in storing and transmitting crypto data between wallets and public ledgers.

The first crypto currency was bitcoin which was founded in 2009 and bitcoin was one of the best crypto currency , bitcoin is the well known cryptocurrency bitcoin can be used for various purposes like online purchase, investment,as a store of value over the years bitcoin has gained significant recognition bitcoin is very famous now a days peoples are getting also very intrested to get to know about crypto currency as it can give you a high returns the short form of bitcoin was [btc] bitcoin is most commonly traded 

how does it works

How does cryptocurrency work?

Cryptocurrencies run on a distributed public ledger called blockchain, a record of all transactions updated and held by currency holders.

Units of cryptocurrency are created through a process called mining, which involves using computer power to solve complicated mathematical problems that generate coins. Users can also buy the currencies from brokers, then store and spend them using cryptographic wallets.

If you own cryptocurrency, you don’t own anything tangible. What you own is a key that allows you to move a record or a unit of measure from one person to another without a trusted third party.

crypto currency example

bitcoin was the first cryptocurrency and one of the most comonly traded currency 

The bitcoin was developed  by santoshi nakamoto bitcoin was one of the most famous  crypto currency peoples are very curious now a days to invest in crypto and get profitable we can also trade in crypto currency cryptocurrency is a wide industry but easy to understand .

Ethereum – it was also a cryptocurrency and it was developed in 2015 it is a blockchain platform with its own crypto currency short form of ethereum was [eth] it is most popular crypto currency after bitcoin.

Litecoin- this is also a crypto currency this currency is most similar to bitcoin but has moved more quickly to develop new innovations including faster payments and processes to allow more transactions. 

Ripple- ripple is distributed ledger system that was founded in 2012 ripple can be used to track different kinds of transactions not just cryptocurrency. the company behind it has worked with various banks and financial institutions .

How to buy cryptocurrency;

choose a platform – for start investing in crypto currency have to know about platforms

And you have to choose a platform for start investing in crypto there are many brokers which you can choose easily through the brokers you will got a platform to start your journey in crypto investing through this you will be able to buy sell coins on the platform.

fund your account – for start trading or investment you have to fund your account obviously you need money to start investing thats why you have to fund your account with money and then you will be ready to start buy and selling of currency accounts will charge some brokerage on your transactions it depends on brokers that how luch they wants to take

place an order- You can place an order via your broker’s or exchange’s web or mobile platform.

If you are planning to buy cryptocurrencies, you can do so by selecting “buy,” choosing the order type, entering the amount of cryptocurrencies you want to purchase, and confirming the order. The same process applies to “sell” orders.

how to store crypto currency ?

Once you have purchased cryptocurrency, you need to store it safely to protect it from hacks or theft. People usually store cryptocurrency in crypto wallets, which are physical devices or online software used to securely store the private keys to their cryptocurrencies.. Some exchanges provide wallet services, making it easy for you to store directly through the platform. However, not all exchanges or brokers automatically provide wallet services for you.

crypto currency fraud and scams

unfortunately cryptocurrency crime is on the rise 

it includes fake websites- sites which feature fake testimonials and crypto jargon promising massive guaranteed returns provided you keep investing 

schemes –  crypto currency criminals promote non existence opportunities to invest in digital currencies and create illusions of big profit or returns this type of schemes are totally fake 

scammers use posts or photos of other celebrities to make it feels real that it is a real app they uses name of other persons , scammers can steal all your money at ones by sending some otp or message 

call and tip channels – if you are a investor in crypto currency you have to be safe from this kind of call channals all they do is gives you the call to buy or short a trade in starting you will may win money by following their tips and after sometime they will start charging you or start giving you wrong tip so in this case you can loose all your capital

so, beware of scammers

is crypto currency safe?

Developers usually build cryptocurrency using blockchain technology.

Blockchain records transactions into blocks and timestamps them. Although it’s a fairly complex technical process, it creates a digital ledger of cryptocurrency transactions that hackers find hard to tamper with,

Additionally, transactions require a two-factor authentication process. For example, you might have to enter a username and password to start a transaction. These security measures do not make cryptocurrency unhackable. The crypto market is volatile, but overall it’s safe.

However, you still need to take some precautions.

According to Consumer Reports,

all investments carry risk, but some experts consider cryptocurrency to be one of the riskier investment choices out there. If you are planning to invest in cryptocurrencies, these tips can help you make educated choices.

Before you invest, learn about cryptocurrency exchanges. Experts estimate that there are over 500 exchanges to choose from.. Do your research, read reviews, and talk with more experienced investors before moving forward.

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. As with exchanges, you should investigate your storage choices before investing.

Diversification is key to any good investment strategy, and this holds true when you are investing in cryptocurrency. Don’t put all your money in Bitcoin, for example, just because that’s the name you know. There are thousands of options, and it’s better to spread your investment across several currencies.

to read more click here