Crypto currency is a digital asset which was designed using cryptography, for medium of exchange, generation, distribution, transfer etc. of virtual funds.
Crypto currency is the combination of two different words, we all know the meaning of currency very well, what we can earn or spend, but what does the word crypto means?
Crypto word stands for "Hidden".
It is also known as E - Currency. Unlike any other currencies, crypto currencies can not be print or can not be used for the purpose of investment because of its fluctuating market values. It can be transfer through digital wallets of ladgers. That's why we called it as virtual currency. It was launched in 2009.
Crypto graphy is used for the purpose of application and payment of crypto currency.
There are thousands of crypto currencies all around the world but bitcoin was the first to come into existence. It was created by Satoshi Nakamoto in 2008.
Bitcoin is earned through Mining and to store it one need to have a Bitcoin digital wallet.
The value of a Bitcoin is around 427 US Dollar ($) that is equal to 28000 Indian rupee(₹). In 2014 Bitcoin was amounted equal to 1000 US Dollar ($).
Bitcoin is the virtual currency that do not move around. It stays fixed on a public Ledger , the "Block Chain". Only the ownership transfers from owner to owner.
Anyone can check the ownership of particular Bitcoin by checking this ledger. It is of public knowledge. Hence it makes difficult to commit any type of fraud.
The network keeps the ledger (owner) up to date and there is only one ledger at a time . Due to which one can not spend the other's bitcoin. In Addition to this one cannot spend the same coin twice. Also it is very difficult to fake the currency as well because to create a bitcoin , one has to decode the heavily encrypted hash codes across peer to peer network. Each user 's digital wallet maintain their bitcoins.
All the adresses from where the Users send or recieve the bitcoins are stored in wallets along with private key or code known only to the User. The Peer to Peer (P2P) networks monitors and verifies Bitcoin transfers.
Litecoin, primecoin , feathercoin etc. Are other crypto currencies in countries like Venezuela and India, the past year activities of demonitization and manipulation of currencies leads to the rise in adoption of Bitcoin.
The greater adoption of crypto currency from emerging markets is leading to the further increase in demand and hike in Bitcoin price .
One should be careful while investing in any crypto currency , as it definitely gives high return but risky as well.