Living in this digital era, one might have come across the term ‘cryptocurrency’ a number of times. But, not many of us have the exact knowledge regarding the world of cryptocurrency. Smart options is here to inform you everything about this digital revolution so that you can reap maximum profit out of it.
Introduction to cryptocurrency:
In this world of digitisation, the cash system too has been digitised and the digital cash is referred to as cryptocurrency. Earlier, during 90’s tech boom there had been many attempts to create digital currency, none of which found any success. It was only in the early 2009 that an unknown programmer or group of programmers under the alias Satoshi Nakamoto invented Bitcoin. This was the introduction to a completely decentralized digital cash system.
Types of Cryptocurrencies:
- Bitcoin: Developed in 2009, Bitcoin is considered to be the most popular cryptocurrency. As mentioned by its developer, it uses peer-to-peer technology for decentralized control. Hence, it operates without any central authorities or bank.
- Litecoin: It was created in the year 2011. It is a cryptocurrency which is made quite identical to Bitcoin but differs with it in case of processing speed. Litecoin has got faster processing speed when compared to Bitcoin as it has adopted Segregated Witness and Lightning Network and other improvements.
- Ethereum: In Spite of being created two years after Litecoin, Ethereum has surpassed it in terms of popularity. It is the most used cryptocurrency after Bitcoin and also possesses faster processing speeds.
How to use Cryptocurrency?
Just knowing about cryptocurrency and its types is not enough. In order to make use of the digital cash, one should know how to use them. Here are the things that you can do with cryptocurrency-
- Purchase goods: Today, you can buy goods using virtual currency. There are many merchants, offline and online who accept Bitcoin as a method of payment.
- Investment: Cryptocurrencies are considered as the biggest investment opportunity available today. However, it is a high risk investment since its market value fluctuates.
Smart options will guide you in using cryptocurrency in the most profitable way.