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Everything you need to know about cryptocurrencies
Written by Davies on / Reading time: 4 minutes.
What are cryptocurrencies? Why are they a payment trend? And what is their role in peer-to-peer transactions?
Cryptocurrencies, cryptopayments, virtual currencies… Call it what you want, because these words are three different ways to refer to "a digital medium of exchange based on cryptography to secure financial transactions, control the creation of additional units and verify the transfer of assets". Of course, that blockchain technology could not go unnoticed here, because it is responsible for supporting the system.
In this post we will tell you what are all those details that you can't miss about cryptocurrencies
All the details about cryptocurrencies
We tell you all the details that you should know about the more modern side of virtual currencies:
- They are exchanged as any other traditional currency, but with an addition: they are issued by private organizations and are used to transfer an equal value to those issued by governments and financial institutions.
- Currently, there are more than 1,300 cryptocurrencies, they are rapidly gaining in popularity, which makes this world a powerful and growing market.
- DAVIES is one of the latest innovations in the field of cryptocurrencies and adds a twist: most of these currencies are supported by teams of altruistic people, pioneers in this field, but very few have a business structure behind. In the case of DAVIES, the reverse is the case, because there is a company of professionals behind ensuring the effective management of the coin.
- The separation from the ASIC technology in the mining allows a much safer blockchain. In this way, we opted for mining through graphics cards, allowing us to democratize the mining to anyone.
- Cryptocurrencies allow to help society in their access to financial resources, because its economic independence from banks, because its speed, its high and secure information technology and because it creates the possibility to be a bank itself.
- These virtual assets are born from the dream of a fairer world, creating a computer network which will end the speculation of stocks.
- Increasingly more stores accept payments with cryptocurrencies, especially of high capitalization, which ensures prosperity to the crypto world (JJ Games, GSM Solutions, etc.).
- The value of these coins is not related exclusively to the behavior of a given economy, but it also depends on the commitment that the users have to keep its price, and on the usability that has to transfer value, serving to the growth of the currency any international user (with its particular FIAT currency).
- Do you know what cryptocurrency mining means? It is the process in which cryptocurrency’s transactions are verified and a compensation is received for the effort.
- Among the cryptocurrencies advantages we can find their global vision (there isn’t a place in the world where people do not have access to them for making any operation), they offer great opportunities to study the financial market in order to make a profit, they are decentralized and achieve greater transparency in its operations due to the blockchain.
- Although some people focus on pointing the illicit character of the cryptocurrencies, from the point of view of money laundering, it is not a social threat, but quite the opposite. The elimination of cash and inviolable log in block makes the cryptocurrencies a perfect vehicle to end with the movement of capitals outside the law.
- It is an opportunity to reduce financial poverty, in a world in which the possibility of acquiring a bank account in many countries is remote or impossible, the digital money would encourage the accumulation of capital in a secure site and the transaction with the least favored countries.
Conclusion about the details of the current cryptocurrencies
These are the most significant details about cryptocurrencies. These are some of the things you need to know about virtual currencies. We have them for you, but you are the only one who can decide what is the point of view from which you want to see them. Volatility, for example, is a positive and a negative factor, as everything you can think of, but you are the one who have to decide how to approach this new world.
Cryptocurrencies have brought fresh air to the traditional financial world, crippled in traditional dynamics without innovation, from physical coins to a digital and practical asset, from a mere attachment to a government, a country or groups of countries, to the injection into the economic system through securities and bonds, to its direct introduction into the market.
At this point in time, technology can help to control everything.