London, UK, 5th Feb 2022, ZEXPRWIRE, It sounds like something you hear about in a cyberpunk novel, but cryptocurrency is an innovative new technology that could change the very fabric of our society. FinancialCentre Broker Chris Fisher said that it’s no surprise that people are taking notice, and many businesses are already hopping on the bandwagon. Cryptocurrency isn’t just useful for gamers and techies anymore; it’s for everyone! Here’s what you need to know.
Cryptocurrency is a kind of digital money that has no physical representation and isn’t controlled by any central bank or authority. It runs on the blockchain, which helps keep track of all transactions without revealing who owns them or how much each person holds. The blockchain is like a public ledger that everyone can see, so it’s more secure than having your money in a bank account. The ledger has many copies distributed across multiple servers around the world, so no hacker can steal or destroy them without facing massive consequences.
Easy but distinct
Cryptocurrency is also extremely easy to use and spend. It doesn’t rely on physical bills, and coins like regular money does, so you can’t lose it. There are also no fees for transactions, so you can send your funds from country to country without worrying about hidden charges. Chris says It’s even possible to have multiple people access a single wallet through multi-signature technology, which allows the funds to be spent only when two or more owners agree on a payment.
Cryptocurrency doesn’t have any borders either. Because it’s digital money that runs on the internet, you can buy or sell anything with it regardless of where you live. Chris says it’s a great equaliser in a world dominated by economic powerhouses like the U.S. and China; anyone with internet access can participate in the market and earn their share of crypto-wealth!
Cryptocurrency can be traded for other currencies, too, such as the dollar or euro, which makes it extremely versatile even when compared to regular money. It isn’t just for techies either; many services exist that allow you to purchase cryptocurrency using real money. You can either buy it with credit or debit cards or exchange your regular money for BTC (bitcoin), LTC (Litecoin), DOGE (Dogecoin) and other currencies on websites like CoinBase.
What’s the catch?
You might be wondering… what’s the catch? Well, cryptocurrency is still relatively new, so there are some hurdles to overcome before it becomes truly mainstream. The biggest hurdle for people is learning how to use and store cryptocurrency. It’s a lot different from regular money because you need special software to access it and keep your coins safe! You can’t just pull out your digital wallet on a whim like you can with physical bills. It’s also hard to estimate its real-world value, which can be frustrating for people who are used to measuring everything in cash terms.
Apart from this, the main challenge is the cost of mining. Cryptocurrency transactions are validated on a blockchain using proof-of-work technology. This requires computers to solve cryptographic puzzles so that they can send blocks to the network for approval. The first computer to solve one of these problems gets rewarded with cryptocurrency for their trouble, but the amount decreases as people try to solve it. This makes it harder for regular people to mine crypto, which is what decentralises the whole process and makes cryptocurrency more secure in the first place.
Another hurdle is price volatility. Cryptocurrency is extremely volatile because its value changes so rapidly based on supply and demand, so it’s really hard to predict how much it will be worth down the road. This can make cryptocurrency a huge gamble, but it also makes day-to-day transactions annoying because you never know if your money is going to go up or down in value by lunchtime!
Despite all the cons attached to crypto, Thailand has decided to regulate crypto and make it a better option to use for payment for goods and services. The country wishes to avert any negative impacts that it might have on the financial and economic stability of the country. The officials said that the potential pros and cons of digital currency would be studied before taking a final decision. The finance ministry needs to make sure that no loopholes are present to avoid any risks and make it a safe and secure way of digital transaction.
Chris believes that cryptocurrencies are the next big thing to disrupt the world economy. He likes it because it takes out middlemen like banks and governments, which can make transactions really slow or even untrustworthy! The only downside is that cryptocurrency isn’t regulated or backed by any country, which means its value could go down as well as up. Thailand’s stance on regulating cryptocurrency is a positive step towards its mainstream adoption, but it has yet to be seen if the pros are really worth the cons.
Disclaimer: Our content is intended to be used for informational purposes only. It is very important to do your own research before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you find on this article and wish to rely upon, whether for the purpose of making an investment decision or otherwise.