What is Cryptocurrency And It’s Types?

Cryptocurrency

A digital currency, or digit asset, cryptocurrency can be used to purchase services and other items. This currency uses cryptography. It is a peer-to-peer electronic system that allows you to buy goods and services over the internet. Cryptocurrency can be used as a decentralized currency. It is not controlled by any government, agency or board. There are nearly 1000 cryptocurrency in existence.

Types Of Cryptocurrencies:

  1. Bitcoin – Bitcoin was the first cryptocurrency created by Satoshi Nakamoto back in 2009. It is a digital currency that can be used to purchase goods and services online. Indian rupees are 4,69,986.99.
  2. Ethereum – Ethereum is an open-source, decentralized blockchain-based computing platform similar to bitcoin. Vitalik Buterin is the founder. Its cryptocurrency token, Ether, is its name. It allows users to create digital tokens that can be used to make currency.
  3. Litecoin Litecoin is a peer-to-peer decentralized cryptocurrency. The block generation time for litecoin is four-times faster than that of bitcoin. This allows it to complete transactions quickly. It uses a script algorithm to mine.
  4. Faircoin Faircoin is part of the grand socially conscious vision, which is a Spanish cooperative organization. To verify the coins, it uses proof-of work.
  5. Dash is a digital cash that can also be called peering-to-peer cryptocurrency. It has many more features than bitcoin, such as private send, instant send, and so forth. Dash uses an unusual algorithm.
  6. Peercoin – Peercoin is completely based on the bitcoin protocol. It uses both the proof-of stake system and proof of work to verify transactions.
  7. Ripple : Ripple is based upon distributed open-source protocol and is real-time gross Settlement System (RTGS).
  8. Monero – The key difference between bitcoin (and monero) is that monero uses high-end CPUs while bitcoin uses lower-end CPUs.

Cryptocurrency Benefits:

  • There are fewer fraud chances with cryptocurrency.
  • It’s more secure than regular digital payments.
  • Transaction fees are lower than other payment options.
  • Because it uses different cryptography algorithms, the account in cryptocurrency is safer.

The Disadvantages Of Cryptocurrency:

  • After completing a transaction, cryptocurrency cannot be reversed.
  • The wallet ID is only provided once. If a user loses the wallet id, he can’t get another. It is important to protect the wallet ID.