To begin with, advancements in technology, we have seen many improvements in all the fields. Further, we can call it as digital era, as things have become so easy. Like one can order food, groceries, and many other things being at home. Besides, now it is easy to pay bills. One can easily pay bills using applications like phone pay, Paytm, google pay, etc. Further, there is emerging of Cryptocurrencies. Therefore, now it is time for one to understand all information related to Cryptocurrency. Know about the Cryptocurrency/Crypto Meaning, cryptocurrency examples, types of cryptocurrency, and advantages of cryptocurrency. So, let’s begin and know all details on the crypto meaning, types, etc.
In the first place, a cryptocurrency or crypto meaning is that it is a digital currency or virtual currency it can be used to buy or purchase goods and services. Further, it uses an online ledger with strong cryptography to secure online transactions. Besides, all cryptocurrencies are decentralized networks based on blockchain technology. Blockchain technology is nothing but defined as a system of recording details that makes it difficult to change and hack the system.
Further, the first blockchain-based cryptocurrency was Bitcoin, which remains the most popular and most valuable. But, today, you see so many currencies in the market. Below we have added some of them with their market cap, advantages of cryptocurrency, examples, types of cryptocurrency.
Key Points on the Cryptocurrency Meaning
- In the first place, the word “cryptocurrency” is derived from the encryption techniques which are used to secure the network.
- Later, it is a form of digital currency or asset based on the network distributed across a large number of computers.
- Then, Cryptocurrencies are systems that allow for secure payment online. They are virtual tokens that are represented by the ledger entries internal to the system.
- Besides, more than 14,500 different cryptocurrencies are traded publicly, according to CoinMarketCap.com. Further, the total value of all cryptocurrencies on Nov. 19 2021, was more than $2.5 trillion, having fallen off an all-time high above $2.9 trillion days earlier.
- Further, they have the ability to remove central banks from managing the money supply.
Later, one question that arises in mind that are cryptocurrencies are legal? Well, they are legal in the United States, and they are banned in China. Further, it depends on each country. It also becomes important for one to protect from fraud.
Further, below table, we have added details of the various currencies with their market capitalization.
|Binance Coin||$94.3 billion|
|USD Coin||$34.4 billion|
|Bitcoin (BTC)||Bitcoin cash (BCH)||Ether (ETH)||Litecoin (LTC)||EOS (EOS)||Stellar (XLM)|
|Maximum supply||21 million||21 million||No upper limit||84 million||No upper limit||100 million|
|Current mining/release rate||12.5 per block||12.5 per block||3 per block||25 per block||Up to 5% inflation per year||Up to 15 million per year|
|Transactions per second||7||60||20||56||2800||1000|
|Lastly, Block time||10 minutes||10 min||15 sec||2 minutes 30 sec||0.5 sec||15 sec|
Types of Cryptocurrency
Now it is time to understand the types of cryptocurrencies or cryptocurrency examples below.
- Ethereum – In the first place ETH. It runs on the ether, its platform-specific cryptographic token. Further, it is like a vehicle for moving around on the Ethereum platform. It was launched in 2014, and it had received an overwhelming response.
- Bitcoin Cash – Later, BCH holds a vital place in the history of altcoins. As it was the earliest coin, and it was also the most successful coin.
- Litecoin – This coin launched in 2011. It was one among all the other cryptocurrencies that followed the footsteps of Bitcoin. Litecoin (LTC) is based on an open-source global payment network. Besides, it is not controlled by any central authority and uses “scrypt” as proof of work, that can be decoded with the help of consumer-grade CPUs.
- Cardano (ADA) – It is an “Ouroboros proof-of-stake”. Further, it is created with research done by engineers, mathematicians, and cryptography experts.
- Polkadot (DOT) – it is a unique proof-of-stake cryptocurrency that is aimed at delivering interoperability among other blockchains. Further, it is a protocol is designed in such a way to connect permissioned and permission-less blockchains.
Continued – Cryptocurrency Meaning
- Stellar (XLM) – Further, XLM is an open blockchain network that is created to offer enterprise solutions by connecting financial firms for the purpose of large transactions.
- Dogecoin – the original name is “memecoin” caused a stir in 2021. Further, this coin uses an image of the shiba inu as its avatar, is accepted major companies.
- Lastly, Binance Coin (BNB) – It operates as a payment method for fees that associated with the trading on the Binance Exchange
Advantages of Cryptocurrency
So, now you know about Cryptocurrency Meaning, it is time to understand the Advantages of Cryptocurrency.
- Self-governed and managed – All transactions are stored by the developers/miners on their hardware, which they get the transaction fee as a gift for doing so.
- Cost-effective – It is one of the most useful things if you use Cryptocurrency. All transactional fees are paid by the users are reduced to a negligible or zero amount. Besides, it will eliminate third parties like VISA or PayPal to verify a transaction and remove the need to pay extra transaction fees.
- Further, it comes with Secure and Private – One of the best things about cryptocurrencies are they are highly secure. As there is no involvement of the middle men. Further, it uses the block chain technology, it is impossible for someone to hack as the Blockchain relies on the different mathematical puzzles, which are hard to decode.
- Exchanges are smooth – You can buy crypto using many currencies rather like the US dollar, European euro, British unit of measurement, the Indian rupee, or Japanese yen.
- easy to transfer – with respect to transactions it can be domestic or international. They are quick as it needs less time for the verification process.
- Further, one can store their coins in the wallets and there are two types of wallets. Besides, they are secured by the private and the public keys.
Later, we have only listed some of the advantages of cryptocurrency, and there are many other benefits.
However, we all know it can be anything you will find some issues related to it. For example, it is said that all these coins are the host for illegal activities, such as money laundering and tax evasion. Besides, there is a fear of data loss, But, as we have already mentioned, they are highly secure. Furthermore, people need to understand it and start using them to save time and help the nation grow.
After understanding Cryptocurrency Meaning, we will now know which are the popular crypto exchange platforms below.
- CoinDCX – It is launched in 2018, it is a Mumbai-based start-up that has emerged as one of the most popular cryptocurrency exchanges. Further, it has more than 3.5 million (35 lakh) investors.
- WazirX – This platform allows users to invest in NR, USD, Bitcoin, and even make peer-to-peer transactions.
- Zebpay is also one of the famous cryptocurrency exchanges because of its clean, light, and simple method. Besides, it offers users a particular security feature where users can disable all outgoing transactions with the click of a button.
- Unocoin – It is one of the oldest cryptocurrency exchanges present in India. Further, the platform at the moment boasts about 1.5 million (15 lakh) registered investors. Besides, it allows users to schedule sales, which automatically sells a certain amount of their cryptocurrencies on a certain date and time.
Conclusion – Cryptocurrency Meaning
In summary, the above article will give all information related to the crypto meaning, types of cryptocurrency, cryptocurrency examples, advantages of cryptocurrency, and other essential details. Further, in this digital era, it becomes important for all of us to know about crypto. Besides, with technology improvements, we have seen developments across various fields, and it also helps in the country’s development. This article will help you in giving the necessary information on crypto. The use of this currency comes with many benefits, and it will also reduce your work. Besides, it also helps in the growth of the nation. It will help you know what is going on around you and how it will help the nation.
Further, understanding such concepts becomes important for the exams as well. Therefore, if you read this article or our other article, it is for the IAS exam preparations. Further, we all know the difficulty level of the exam. As it is one of the emerging topics, students need to be aware of it. Therefore, try to make important points while reading the article on crypto meaning, cryptocurrency examples, and other related details. It will help you with the exam. So, click here for more details on the IAS exam. Know More.
FAQs – Cryptocurrency Meaning
Finally, we have added some FAQs for your better understanding of the Cryptocurrency Meaning.
It is a digital currency or virtual currency that helps you to buy goods or services.
The cryptocurrency works on the technology called the Blockchain.
You can buy cryptocurrencies through any exchange, and we have some of the above in the article.
Editor’s Note | Cryptocurrency Meaning
In brief, the above article will help you understand the Cryptocurrency Meaning, examples, types of cryptocurrency and advantages of cryptocurrency. Besides, the Crypto industry is still emerging in India, and one must have a piece of knowledge on the same. Further, as they come up with many benefits, it will help the nation to grow economically. Therefore, this article will surely help you understand the crypto meaning and cryptocurrency examples if you are new to this concept. Besides, we have also added some of the platform details that will help you buy coins.