What is cryptocurrency and why it is needed

Cryptocurrency - is generally what?

Cryptocurrency - a digital currency that is protected by using encryption technology. Physical analogue of these monetary units there, they exist only in the virtual space.

The term "cryptocurrency" came into use after the publication of an article about Bitcoin - a digital currency payment system. Bitcoin - the brainchild of Satoshi Nakamoto, but what kind of person or group of people behind this pseudonym, is still not known for certain. The concept of decentralized payment systems Nakamoto introduced October 31, 2008. Its basic principles: the anonymity of all participants, fraud protection and independence of regulatory bodies.

Bitcoin network consists of interconnected transaction units. Each subsequent block contains information on the previous year, so that you can arrange them in a single chain, and get information about all transactions committed previously (but not on the owners of bitcoins). The process of creating new blocks called mining. To another unit, you need to generate a cryptographic signature for it appeared on the network. As a reward you get a new bitcoins. By the way, their issue - the process is not infinite. It is known that only can be created no more than 21 million bitcoins.

At first, create blocks were relatively easy to deal with it and miners single. Over time, the complexity grew, required for mining solid computing power, so the miners began to unite into pools and produce new bitcoins together.

Cool. A simpler as possible?

If everything is extremely simplified to explain the phenomenon of bitcoins can be an example of caps from soda (yes, hello fans of Fallout). Suppose forge these caps can not run to the shops and buy up all the lemonade, too: it is no longer produced. Number of covers limited and known in advance, so you just wander around and look at his feet - suddenly run into the cap.

Like any limited resource caps have a certain value, increasing with increasing demand. The first cover is easy to find, but more and more difficult. People have to be combined into groups and spend a fair amount of time and effort to look for another lid. Production they change to all sorts of necessary things, but many do make caps stocks in the hope that over time, their course will only get higher.

Why such a currency?

For the same reason, and the usual money: it is a universal commodity, which is a measure of the cost of the purchase and sale of other goods.

In cryptocurrency has several significant advantages. Firstly, it is not afraid of inflation. If the printing press go mad and furious nashtampuet amount of rubles, it is logical that the money will depreciate. With Bitcoin, this situation is excluded: remember that their number is known in advance and limited.

Another plus - decentralized. No single center from which the management of the system, and thus break the performance of the system is forced to limit the spread of currency, it is extremely difficult. We simply do not have the network of a single owner, it is controlled by users around the world.

Another advantage - anonymity. You can track the transaction and see how many bitcoins to move from one purse to another, but to determine who is the owner of the purse, it is not so simple. Account in Bitcoin can open any man to do this, the relevant software and access to the network.

Time is money to them is something you can buy. Or not?

Of course, you can. It seems odd that the money, which, in fact, and not (in any case, we can not hold them in your hands), have the purchasing ability, but the fact remains that they can be exchanged in the same way as banknotes or coins for goods and services that are in your purse. Bitcoin can be exchanged even more money - dollars or euros - at your discretion. In many countries, people buy bitcoins on flights and gadgets, with their help pay utility or a drink in the pub accepts bitcoins even Microsoft.

Funny story: in 2013, a user forum on Bitcoin, offered to exchange its existing 10,000 bitcoins for a couple of pizzas. Then the deal was quite profitable, but what this lover of Italian cuisine is thinking about this exchange is now, we can only guess.

In Russia, due to problems with the definition of the legal status of cryptocurrency case with the exchange bitcoins for goods or services is more complicated, so in the first place should be considered as a variant of bitcoins investment. At this point, the game is definitely worth it: Course Bitcoin is growing steadily. The most profitable investments are associated with the highest risk level, so choose what you is more important: the opportunity to earn good money and complete peace of mind.

How to make bitcoin wallet?

go to official site payment system and choose from the list of applications for Android, iOS, Windows, macOS and Linux option that is right for you. The only problem is that such application may take up too much space, but in this case there is another way.

You can trust a third-party service bitcoin wallet, eg Blockchain. The registration process takes a matter of minutes: you simply enter your email address and password to come up with a sufficiently reliable. In the "Security Center" you can attach a purse to a phone number and activate the two-step verification in order to further protect stored at the expense of the account.

Where to find the best rate for exchange cryptocurrency?

In order not to waste time searching for the exchanger with the most favorable rate, use BestChange - a service which has collected information on current courses of more than 300 heat exchangers. To search for in a heap of suggestions most profitable - a problem for an infinitely patient. With BestChange you can in just a few clicks to determine what you should use the services of the exchanger.

To find a better rate, select your existing currencies and the one on which you want to exchange it. The service provides a list of exchangers that conduct transactions with these types of currency, you sort them on the course, to compare and choose. When there is no possibility to exchange currency directly, rescue twin sharing - here comes to the aid of a transit currency.

If the current situation is not satisfied, set up alerts. As soon as the course you are interested to pick up a mark, BestChange notify you by e-mail or in the Telegram. You can advance to study fluctuations in the period from one hour to one year.

Those who are afraid of running into a scam, help Reviews of the exchange offices. Responses are collected in a separate column, red - negative, green - positive. When you hover over the icon to the left of the name of the exchanger window pops up with a summary: length of service, the country of origin and the amount of reserves.

If you want to sell or buy the currency, BestChange - the first service to which you should pay. June 19th it will be 10 years, over the years BestChange became perhaps the most convenient and thoughtful resource for exchange offices search. The only proven and reliable exchangers able to follow the slightest fluctuations in exchange and quick search for the most favorable option - the smart choice for those who value their time and money.