Cryptocurrency news

For a long time now, people have been seeing cryptocurrency appear almost everywhere over time. This even applies to the gaming industry, and many casinos allow transactions to be made using digital currency. Among these, https://wobit.org/ is worth mentioning. But what exactly is this type of currency and where did it come from?

In fact, already with the creation of the internet, there have been some attempts to create cryptocurrencies. Programmers with out-of-the-box thinking were always there, and many were already working with this type of coin at the time, but it was many years before it became popular.

The first mentions are actually related to B-Money or Bit Gold. And based on these developments, the first decentralised internet currency, bitcoin, was created in the future.

Today, this market is actively developing and includes numerous instruments that resemble bitcoin. In fact, it is already a global phenomenon that many people are familiar with. On the other hand, many banks or companies do not realise the importance of digital currency. It is a market that is constantly being explored, but it is not often used in practice by firms and various institutions.

What is cryptocurrency?

To put it as simply as possible, it is a virtual or digital currency that uses cryptography for security purposes. And it is mined by solving mathematical problems. Its peculiarity is total security, and it is almost impossible to counterfeit it. So there is no way for the state to interfere in the process in any way.

Another plus is the anonymity of payments. But at the same time, illegal activities are also associated with it, for example the possibility of money laundering, tax evasion and so on.

As already mentioned, the first digital coin, bitcoin, appeared in 2009, and in 2017 it became the most expensive and increased in value significantly. It had a daily turnover of $5.5 billion. It is because of this success that numerous competitors have emerged.

Pros and cons of cryptocurrencies

The first thing to say is that e-currencies greatly simplify and speed up the transfer between parties in a transaction. This is due to the use of both public and private keys to achieve maximum security.  Minimal fees are charged on transactions.

The central part is blockchain technology, which is used to store an online registry of all transactions carried out using digital currency.

Experts say that blockchain plays an important role in the development of technology. And now some institutions have begun to look at cryptocurrencies as an alternative that could reduce transaction costs. And by doing so, payment processing will become as efficient as possible. 

But because it is a virtual currency, there is no central repository, and the balance could be destroyed by a computer crash. Especially in the absence of back-up holdings, problems cannot be avoided.

And it is important to understand right away that cryptocurrency is in no way hack-proof. And history already knows situations when companies have lost huge sums, up to millions of dollars.