What do you know about #Cryptocurrency?

Mete Ali Başkaya

Published in

Coinmonks

3 min readMay 21, 2022

Dear All Hi!

I want to clarify some issues which don’t know within the users.

A Cryptocurrency

A cryptocurrency is a digital or virtual currency secured by cryptography, making it nearly impossible to counterfeit or double-spend. Many cryptocurrencies are decentralized networks based on blockchain technology — a distributed ledger enforced by a disparate network of computers.

What is Cryptocurrency?

A cryptocurrency (or “crypto”) is a digital asset that can circulate without a central monetary authority such as a government or bank. Instead, cryptocurrencies are created using cryptographic techniques that enable people to buy, sell, or trade them securely.

What is the primary purpose of cryptocurrency?

The main point of cryptocurrency is to fix the problems of traditional currencies by putting the power and responsibility in the currency holders’ hands. All cryptocurrencies adhere to the five properties and three functions of money. They each also attempt to solve one or more real-world problems.

Benefits of Cryptocurrency

With cryptocurrency, the transaction cost is low to nothing — unlike, for example, the fee for transferring money from a digital wallet to a bank account. In addition, you can make transactions anytime or at night, and there are no limits on purchases and withdrawals.

What is the specification of cryptocurrency?

Cryptocurrency is a digital payment system that doesn’t rely on banks to verify transactions. Instead, 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, cryptocurrency payments exist as digital entries to an online database describing specific transactions. The transactions are recorded in a public ledger when you transfer cryptocurrency funds. Cryptocurrency is stored in digital wallets. (Cold or Hot Wallets)

What is Cold Wallet?

A cold wallet is a wallet that is not connected to the internet and therefore stands a far lesser risk of being compromised. These wallets can also be referred to as offline or hardware wallets.

What is Hot Wallet?

A hot wallet is to access online for Cryptocurrency, and it facilitates cryptocurrency transactions between the owner and end-users. A collection of private keys stored on a program connected to the internet is used to store and send different currencies such as Gabur Token (GBR)

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What do you know about #Cryptocurrency?

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Written by Mete Ali Başkaya