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What is cryptocurrency
Unlike cryptocurrencies from conventional money is that coins are issued in the Internet, have no connection with a conventional currency or any state currency systems. Cryptocurrency is literally – “electronic money”.
Account the presence of cryptocurrency is the blockchain. And she kept decentralized, distributed by e-cryptocotyle users.
The main advantages and disadvantages of cryptocurrency
The advantages of this currency basically is as follows:
Is the anonymity of transactions — there is no information about the owner of the crypto (only a a number of purse)
– Decentralized nature, no single digital Bank, the lack of control over transactions and payments;
– Not subject to inflation (is issued a limited number of coins);
– Security: it cannot be copied, eliminated the double payment.
But there are certain disadvantages:
– High volatility due to the specifics of use;
– With the national regulators potential negative action against her (such as the prohibition of the Central Bank of the Russian Federation on bitcoin transactions);
– Losing a password to an electronic crypto or malfunction result in the irretrievable loss of all the amount of cryptocoins;
– With increasing level of difficulty mining becomes unprofitable amount of cryptocoins on the equipment of individual users.
It is necessary to consider all these advantages and disadvantages amount of cryptocoins and conscious approach to working with these currencies.
How to get cryptocurrency
What is mining
Mining is the most efficient way of obtaining the cryptocurrency by means of generation of new blocks for the maintenance of distributed platforms for cryptocurrencies. For mining in modern conditions special programs on computers, laptops, tablets and even smartphone. Thus, providing their computing power to generate new blocks of transactions, the user can expect to be rewarded in the form of various types extracted all coin. Thus to engage in mining cryptocurrencies can anyone with computer equipment capacity requirements, and special software.
In order to help you better understand the essence of the cryptocurrency and consciously approached to the choice of view is very interesting and informative video from the famous canal
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