Cryptocurrency, or, more precisely, Bitcoin that made its appearance in 2009, was the first digital currency reasons of the global digital eco-system. A cryptocurrency is like any other regular currency like the US dollar but transacted entirely digitally without any physical interface. The virtual form of the currency remains well protected. By using cryptography for security that makes it extremely difficult to counterfeit. The currency is different from other currencies in its constitution and because a central authority does not issue it. This makes it susceptible to its seizure by the governments if the need arises, explains Eric Dalius, a marketing veteran who has experience in investing in cryptocurrencies.
Over the years, cryptocurrencies have gained wide popularity, and more and more people are taking an interest in the newest form of currency for reasons explained below.
The currency is protected from fraud, says Eric J Dalius
To reasons ensure complete protection of the currency against fraud, all transactions. Related to it remain nicely stored in a public ledger, a feature incorporated into cryptocurrency during its creation. To ensure the legitimacy of record-keeping, the identities of currency owners remain entirely encrypted. Since the currency is decentralized, you become its owner, and neither any bank of government. Has any claim on its ownership.
Blockchain protects against identity theft
The public ledger ensures accurate calculation of the balance of all transactions across digital wallets. Transaction reasons Blockchain is another name of the public ledger that uses blockchain technology to ensure secure transactions through smart contacts and encryption to protect the entity by making it wholly fraud-proof and impregnable to hackers. With such superior security features, blockchain technology has enormous potential to impact almost all segments of our lives.
The blockchain technology imparts value to cryptocurrencies, and the high demand for the currency is due to its ease of use. The technology behind cryptocurrency allows users to become the makers and owners of their own currency by using a smart digital device and an internet connection and even operate like banks while making money transfers and payments.
Accessible – Millions of people who do not have access to use traditional exchange systems or do not have accounts are more inclined to own cryptocurrencies. It is worth like any other currency but without the controls imposed on conventional. Currencies by central banks and governments.
Cryptocurrency is attracting institutional investors
The promise of cryptocurrencies has not escaped the attention of investors. It is evident from many reasons banking and technology companies like Barclays, Intel, and Walmart investing time. And money in cryptocurrencies like Bitcoin and Ethereum since 2017. This has encouraged countries with weak currencies to adopt digital currencies. For substituting traditional printed currency that has lost its value through depreciation. Countries like Colombia, Brazil, Venezuela, and Turkey are some of the frontrunners in adopting cryptocurrency.
The trend of adapting reasons cryptocurrency is also affecting many wealthy countries. As the central banks of Holland, Japan, and the European Union have conducted research, projects. And trails to explore the feasibility of adopting it.