The modern concept of cryptocurrency is becoming very popular among traders. A revolutionary concept introduced to the world by Satoshi Nakamoto as a by-product became a hit. Decrypting cryptocurrency we understand that crypto is something hidden and currency is a medium of exchange. It is a coin shape used in the blockchain created and maintained. This is done through encryption techniques to control the creation and verification of the traded currency. The bit coin was the first cryptocurrency to come into existence.
Cryptocurrency is just one part of the process of a virtual database operating in the virtual world. The identity of the real person here cannot be determined. Also, there is no centralized authority that regulates the trading of cryptocurrencies. This currency is equal to the strong gold stored by humans and whose value is assumed to increase by leaps and bounds. The electronic system set up by Satoshi is decentralized where only miners have the right to make changes by confirming the initiated transactions. They are the only providers of human contact in the system.
Cryptocurrency counterfeiting is not possible as the whole system is based on mathematics and cryptographic enigmas. Only those people who are able to solve these puzzles can make changes to the database, which is almost impossible. The transaction once confirmed becomes part of the database or blockchain, which can not be returned later.
Cryptocurrency is nothing but digital money which is created with the help of encryption technique. It is based on the peer-to-peer control system. Let us now understand how one can profit from trading in this market.
Cannot be reversed or forged: Although many people may object to the fact that the transactions performed are non-refundable, but the best thing about cryptocurrencies is that once the transaction is confirmed. A new block is added to the block chain and then the transaction cannot be forged. You become the owner of that block.
Online transactions: This not only makes it convenient for anyone sitting in any part of the world to conduct transactions, but also facilitates the speed with which the transaction is processed. Compared to real time where you need third parties to enter the picture to buy a house or gold or get a loan, you only need a computer and a potential buyer or seller in case of cryptocurrency. This concept is easy, fast and packed with ROI prospects.
The fee is low per transaction: There is a low or no fee received from the miners during the transactions as this is taken care of by the network.
Accessibility: The concept is so practical that all those people who have access to smartphones and laptops can enter the cryptocurrency market and trade with it anytime and anywhere. This access makes it even more profitable. Since ROI is to be commended, many countries like Kenya have introduced the M-Pesa system allowing bitcoin currency device, which now allows 1 in every three Kenyans to have a bitcoin currency portfolio with them.