Well I have seen many guys talking about cryptocurrencies and trading without knowing what they are actually talking about and what they are really investing in.
Well here i am trying to explain what i have understood from days of work into CryptoCurrencies.

Let us Begin

Well in my life...CryptoCurrency entered when bitcoin sky-rocketed!!!
Where it all started for most of us to be exact :)

What is CryptoCurrency!!

First let me clear Human Psychology and developers efforts are two of the major factors that affects Value of this currencies

Simple and accurate defination for CryptoCurrency is it a virtual currency whose value depend solely upon the demand.
To be more precise it depends upon demand to supply ratio.If there is a very large supply of this currency and if there is no demand then currency will fall its a Thumb Rule of any business.

And what do you need to make your cryptocurrency.If you guys know how to increase demand of your CryptoCurrency or you know how to increase value of money that people will be investing into it you can make your own Crypto.

Well first currency i came to know about was bitcoin so let me start with bitcoin!

What is bitcoin? How does it gets its value ? What could be its future

There are several type of currencies you cant even imagine how many of them are out there in the market!

then there's bitcoin Its a MINING based CryptoCurrency.i know it is quite boring but i would like to tell you guys how bitcoin gets its value.

There are several factors which makes Bitcoin special and the most important factor is That it was the first CryptoCurrency well this doesn't sound good but its a fact.

And second most important thing is its low market capacity it has capacity of only 21 million and almost 18 million are already mined.

BItcoin is a Currency which is highly dependent upon the human Psychology let me explain you some event events in the past that has happened with BitCoin and why did they happen

Why did bitcoin Sky-Rocketed in late 2017?

Bitcoin is highly volatile CryptoCurrency which is highly depends upon the demand .

What exactly happened in late 2017 which lead to a massive rise ?
Well what happened is after little popularity in bitcoin people started seeing profit in bitcoin it was a perfect way for teenagers to sit at home and make some money.And as soon as its price increased by a little the media came into the picture they spreaded Bitcoin all over the world Creating interest in peoples mind everyone was watching bitcoin going up some people like me went for mining and some went and bought it.People started guessing the demand and started selling there bitcoins for more price.raising its value to the peak.people were mining bitcoin and mining after days people used to end up getting bitcoins worth couple of dollars.
So some of them started buying and demand went up up and up

Why did it fall ?

As i said its all human Psychology.

What happened ones bitcoin got famous is people started looking into other CryptoCurrencies generating more and more interested people saw many currencies with a lot more potential than bitcoin.And many people started investing their money into alt currencies. Many people converted their bitcoins into other cryptos causing alot of mass transfer towerd other currencies making them more visible and as people went for other currencies demend for bitcoin went down as people started seeing value if bitcoin getting lowered they tried to sell their stocks for even lower reducing their price further down this is how all this things ups and downs happened.

What i think is future of Bitcoin?

Right now condition of bitcoin is not very nice.After so many people jumping into bitcoins The difficulty level of Mining bitcoins is of the chart and many of the miners are giving up.Even most of mining rigs in various countries went down.

Still it has a value because ,many of the bigshots are holding bitcoin and these smart investors are not willing to sell their stocks for this low.
Also why do you need bitcoin is most of the Exchanges in most of the Countries only trade bitcoin and few other Currencies so Crypto's like Steem and many other Currencies need to have a direct stock of bitcoins for their users to convert their money easily .
So i m pretty sure it will have stabilty in futurtre at some point.
But about the other mining based CryptoCurrencies i am not sure about them at all.
Because some of the CryptoCurrencies came up simply as an option for Bitcoin like ethereum and litecoin
And they will go down with bitcoin as well so i think if you guys are planning to invest into them then you should seriously not.

Now i guess its enough of Bitcoin lets talk about our favorite CryptoCurrency Steem

How does steemit work?

As i told before if you know how to you increase value of money of investor who is investing it you can make your own CryptoCurrency.Steem is that kind of CryptoCurrency.

Now let me tell you in a simple form how steemit gets money.

Steemit is more like a "bank"
This all started with the first investor who invested his money into this project that guy got himself steempower.
Then few people joined steemit in thought of making some free money as it is a tendency of people that they love making free money.
As i said its like a bank and you get interest in bank then what about steemit?
Here you get interest in term of voting power you can vote other people or yourself.Let us consider first investor invested 10million$ in the project and he got himself steempower then he voted a guy which gave him lets say 10steempower now this steempower is like the principle amount in his bank and he will get interest on this amount in term of voting power and then he can transfrer some part of his interest to other people so that they can make money.
What it did was it attracted people's interest and made then invest their own money also convert from other currencies to steem and steem dollars.Increasing the value of steem and steem dollars.

Enough with the Currencies lets say i guess you guys have idea how CryptoCurrencies work

Lets build a theoretical CryptoCurrency of our own!

Well i am just a little guy who can give ideas maybe in future i might stand up on my own and make some revolutionary change into society.

Lets see what i think what will be the revolution into the Crypto World will be a GAMING CryptoCurrency!

Lets talk about it

Gaming Crypto!

All the other CryptoCurrencies in the world are like newly made people had to invest their money to make things happen.

But gaming is a thing in which people have been investing money from ages.
Now think someone is paying you for playing a game wont it be amazing?

Lets see some person came and made contracts with all gaming industry for a gaming cryptocurrency
Lets name that Currency as G-coin.

Now what different thing we have to do is just people already invest so much money into games even small game like Clash of Clans! is making millions from investors.

All you need to do is other than directly debiting from Debit and Credit cards you insert a medium.
That medium will be G-coin.

Now other than directly buying you will have to buy G-coins then buy whatever stuff you want to buy from G-coins.
Isn't that pretty simple then lets say you get certain G-coins for completing an achievement.And you can buy lets say some weapon or armor with that reward. generally you had to pay 50$ for buying that armor but now you are getting it for 10 G-coins that sets the value of G-coins to 10$ now as time goes the actual distributor will change the contact with the Gaming Companies...Now if you need to buy G-coins first from the distributor so that you can give them as a reward for achievement.Now there will be race between the gaming companies for buying this coin which will raise he value of coin.And also the difficulty level for players to collect one coin.
And value will always go up up and up

How does that sound ?
If you guys understood what i am trying to say here then you have really understood how CryptoCurrencies work

well guys i guess that is enough for today I hope you guys liked my post and efforts that i put into explaining this :) and Be sure to ask questions if you have any.
If you liked my post make sure that you give your valuable vote and follow me Thank You :)