WHAT ARE CRYPTOCURRENCIES?
A cryptocurrency (or crypto currency) is a digital asset designed to work as a medium of exchange using cryptography to secure the transactions and to control the creation of additional units of the currency. Cryptocurrencies are classified as a subset of digital currencies and are also classified as a subset of alternative currencies and virtual currencies.
Bitcoin, created in 2009, was the first decentralized cryptocurrency. Since then, numerous cryptocurrencies have been created. These are frequently called altcoins, as a blend of bitcoin alternative. Bitcoin and its derivatives use decentralized control as opposed to centralized electronic money/centralized banking systems.
The decentralized control is related to the use of bitcoin’s blockchain transaction database in the role of a distributed ledger.
WHAT ARE BLOCKCHAINS?
A blockchain is a continuously growing list of records, called blocks, which are linked and secured using cryptography. Each block typically contains a hash pointer as a link to a previous block, a timestamp and transaction data. By design, blockchains are inherently resistant to modification of the data. A blockchain can serve as “an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way.
For use as a distributed ledger, a blockchain is typically managed by a peer-to-peer network collectively adhering to a protocol for validating new blocks. Once recorded, the data in any given block cannot be altered retroactively without the alteration of all subsequent blocks, which needs a collusion of the network majority.
Blockchains are secure by design and are an example of a distributed computing system with high Byzantine fault tolerance. Decentralized consensus has therefore been achieved with a blockchain. This makes blockchains potentially suitable for the recording of events, medical records, and other records management activities, such as identity management, transaction processing, documenting provenance, or food traceability.
The first distributed blockchain was conceptualised by an anonymous person or group known as Satoshi Nakamoto, in 2008 and implemented the following year as a core component of the digital currency – bitcoin – where it serves as the public ledger for all transactions. The invention of the blockchain for bitcoin made it the first digital currency to solve the double spending problem without the use of a trusted authority or central server. The bitcoin design has been the inspiration for other applications.
EASY TO UNDERSTAND
Videos about bitcoin,cryptocurrencies and blockchain
CRYPTOCURRENCY EXCHANGE & TRADING PLATFORMS
Our latest cryptocurrencies analysis
Moment Of Truth! Bitcoin 1-hour chart as of September 27th, 2018. Ripply [...]
Analysis: Metaverse (ETP) / US-Dollar (USD) Metaverse (ETP) was certainly one of the most [...]
083/18 Crypto Chartbook – No position in the market is often the most valuable one, September 8th 2018
No position in the market is often the most valuable one! We were very aggressive [...]
Analysis: Litecoin (LTC) / Tether (USDT) When getting introduced to cryptocurrencies, it’s no longer [...]
All Midas Touch Cryptocurrencies Categories
Get our exclusive free Newsletter
Receive in depth market analysis and profitable investment ideas by signing up for our free newsletter.
Outstanding and profitable recommendations (mainly in the cryptocurrency and precious metals sector)
First class technical analysis that keeps you update with gold, silver, bitcoin and many other cryptocurrencies as well as commodities and stocks
Frequent & professional tips and tools on how to improve your investment and trading success