- What is Cryptocurrency?
- How does it work in simple words?
- How to trade?
So finally you are here to know about Cryptocurrency, ok so before knowing what is crypto we first have to know some of the basic things about crypto.
Crypto is Legal in India after September 2020 after Supreme Court orders, previously it was banned by RBI.
Why RBI banned it? well, because crypto is decentralized, which means that crypto is not regulated by any entity or government, or company, it is independent of all and works freely (we will discuss how it works down below).
What is cryptocurrency?
So, Crypto is a digital currency, which fully encrypted and cannot be hacked. There are many cryptocurrencies like Bitcoin, Doge, Ripple, Etherium, etc.
Bitcoin is the most popular crypto coin and it has the highest rate, approx Rs. 30 lakh as of 30 July 2021. We will make another article for Bitcoin, subscribe to our page to get notified.
yes, it can’t be manipulated by anyone, because once we have to make a transfer it creates a block that cannot be reversed, we will later discuss this in How it Works.
Crypto coins or tokens are mined or generated through complex mathematical algorithms. They are physical coins like Rs. 1 or 2 or any Gold coin, they are totally virtual coins, in simple words, you can buy these coins and store them on your hard disk just keeping their address.
Crypto is highly volatile which means it can go up and down instantly, someone can become a millionaire or go bankrupt instantly.
So, before trading in crypto we need to keep full awareness of what we are doing and in which cryptocurrency do we have to invest our money.
How does it work?
We will try to explain you easily and in short!
We told you that it is a mathematical equation that needs to be solved whenever someone buys crypto or sells it. So whenever it does calculation it generated coins that are called mining. So every time someone buys or sells crypto it generates coins as a reward for solving equations and it creates a block.
And there are many transactions that go every second and every second it creates blocks, called blockchain which is not reversible once it did its done.
And we told you it cannot be hacked this why because when we mad any transaction it changes it location to many addresses if someone wants to hack it they must hack all the address at the same time, which is near to impossible.
I hope you got how it works, there is much more to understand but our target is to get you an idea of what the heck this Crypto is.
How can you buy Cryptocurrency?
I have used these platforms they all have their own features and benefits, but if you ask my choice to invest then I will recommend you Wazix, it is more economical. You can create your account free by clicking here.
Of course, there is a traditional way to buy crypto but this article is made for the people who are beginners and even expert people buy using the apps, because they have provided us a platform that simplifies the trading, and anyone can easily check and buy cryptocurrency.
And keep these coins can be stored in a digital wallet just like digital gold.
But keep full awareness before putting your money into any crypto, they are highly volatile if used with good research about coins one can gain profit.
Also read – Google Fined Rs. 30 lakhs for Violating Personal Data Law, It’s First Fine for the Offense
What is the use of these coins?
Well many of us must wonder what we will do by buying these coins, just to make profits?
The answer is yes! hehe, for now, we all are buying this crypto coin just to store and make a profit with them in the future.
so, we of us do intra trading which means buy and sell after a simple hike many times a day,
But, also there are many companies that are accepting crypto to buy and sell things, for ex-Tesla company tried Bitcoin as a payment method, Bollywood rapper, Raftaar also accepts Bitcoin as a payment method.
I hope you get an idea and some info about crypto, we are publishing more updates on cryptocurrency and their latest news, so you can subscribe to our site to get notified of all crypto news.