Cryptocurrencies are considered secure because they employ a “trustless” system of verification for all transactions
DurationCryptocurrency is a digital alternative to traditional money and financial assets. Also known as virtual currency, cryptocurrency offers a decentralized money system and a means to store monetary assets. Based on block chain technology, there are over 5,000 cryptocurrencies in circulation today.
Used as a medium of exchange for transactions, individual coin ownership records remain stored in a database that serves as a computerized ledger. Cryptocurrency makes it easier to secure purchases, create additional coins as needed, and verify the transfer of coin ownership, thanks to strong cryptography.
You can use cryptocurrency to purchase goods and services. However, many people use cryptocurrency to invest in other non-centralized monetary system assets like precious metals or stocks. Cryptocurrency is still relatively new, offering exciting possibilities.
Today there are thousands of cryptocurrencies, and while many are designed to provide some new feature or function on a given block chain platform, most are founded on similar principles to those that established Bitcoin. Crypto is secured by a peer-to-peer network, and users can trade or transfer value — globally and almost instantly without relying on a middleman like a bank or payment processor.
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