Do you want to join the Cryptocurrency wave, but are not sure exactly what Cryptocurrency is? If you answered yes to this question, read on as we define what Cryptocurrency is.
A Cryptocurrency (or “Crypto”) is a digital currency that can be used to buy goods and services, but uses an online ledger with strong cryptography to secure online transactions.
Many companies have issued their own currencies, often called tokens, and these can be traded specifically for the good or service that the company provides. You can think of them as you would arcade tokens or casino chips. You will need to exchange real currency for the Cryptocurrency to access the good or service.
Cryptocurrencies work using a technology called Blockchain. Blockchain is a decentralized technology spread across many computers that manages and records transactions.
The most popular Cryptocurrency, Bitcoin, has had volatile price moves this year, reaching nearly $65,000 in April before losing nearly half its value in May. In recent weeks, the price of Bitcoin was back in the $45,000 range.
Below are the 10 largest trading cryptocurrencies by market capitalization as tracked by CoinMarketCap, a Cryptocurrency data and analytics provider.
|Binance Coin||$58 billion|
|USD Coin||$31 billion|
Now that you know what Cryptocurrency is, you must decide which one works best for you!