Cryptocurrencies: a brief introduction
Cryptocurrencies are digital/virtual currencies that are guarded (or encrypted) by the use of various computer algorithms. The best thing about these currencies is they are highly secure, and not even a country’s government can interfere in their transactions.
These Cryptocurrencies rely on a technology called a blockchain. You might ask- “What’s a blockchain?”
Well, in short, as the name suggests these are sub-parts of these Cryptocurrencies. They store digital information about currencies’ attributes and user transactions in ‘blocks’. The ‘chain’ is a network of refers to the database where these blocks are stored.
Whenever some ‘stuff’ occurs with Cryptocurrencies like transactions, that information is added at the end of the blockchain inside a new block. With the use of complex algorithms and the ‘linear’ storage of blocks, blockchain technology is highly secure.
Well, those are some basics if you’re a newbie in the world of Cryptocurrencies. Now, let’s head on to our main topic of this article.
Even without any knowledge of Cryptocurrencies, you must’ve heard about Bitcoin. Made by a group called “Satoshi Nakamoto” in 2009, this Cryptocurrency has about 40% shares in the worldwide Cryptocurrency market. It is also one of the most popular Cryptocurrencies known worldwide.
1 Bitcoin is currently worth 5, 35,301 INR.
However, there have been some ups and downs on the value of Bitcoin; hence you should do proper research before investing in Bitcoin.
Launched in 2011, Litecoin is often referred to as ‘silver’, when compared with Bitcoin (i.e gold). Litecoin was made by Charlie Lee, who’s an MIT graduate. Litecoin has a very close resemblance to Bitcoin, but it offers swift block generation which aids in accelerating transaction confirmation.
1 Litecoin is worth around 3,181 INR and has shares worth $2.85 in the market.
Ripple is known for its outstanding performance in 2017. It was started as just another Cryptocurrency, and quickly accelerated its value from $0 to $2.4 by December; hence showing an enormous growth of around 36,000%!
Ripple became popular due to its flexibility in performing international transactions. While it takes at least 2 days to perform an international payment, the same task can be done in seconds with the use of Ripple. Due to this advantage, companies like American Express have already adapted to using Ripple’s technology.
Ripple’s shares worth around $12 billion in the global market, and 1 Ripple is worth around 30 INR.
Dash was initially called ‘darkcoin’, as transactions made it are highly elusive making them untraceable. However, it was named Dash (or “digital cash”) in 2015. Dash was made by Evan Duffield.
The name might’ve changed but Dash still offers that anonymity in its transactions.
Dash’s shares worth around $468 million on the global market and 1 Dash is worth around 3,685 INR.
Cryptocurrencies have great potential in the global market, and investing in them could generate huge profits for you. However, it is important to analyze the market fluctuations before investing in any Cryptocurrencies.
No technique or algorithm can efficiently predict the future values of shares of a company. So, your investment should result in minimal risk while investing in any Cryptocurrency.