What is crypto currency?
Crypto- currencies, is also known as virtual currencies or cash, Which encrypt data from one source to another.
Cryptocurrencies are faster, less expensive, and more dependable than government-issued money.
Customers can transact directly with one another and store their money with themselves.
Transactions are usually relatively affordable and quick since consumers may send money directly without going through an intermediary.
Every user of a crypto currency can frequently record and verify their own transactions. As well as the transactions of everyone else to prevent fraud and manipulation.
The digital transaction records are referred to as a “ledger” And this ledger is open to the public. With public records, crypto currencies don’t require you trust a bank to carry your money.
They don’t require you to have faith in the person with whom you’re doing business. Instead ,you will be able to see the money being sent, received, verified, and recorded .
This method requires no trust.
The first crypto currency was bit coin.
Benefits of Crypto currency
Self-governed and managed
Managing and maintaining of any currency may be a major factor for its development.
Developers keep crypto currency transactions on their hardware and receive the transaction fee as a reward.
Since the people have purchased it, They keep transaction records perfect and up-to-date, keeping the integrity of the crypto currency and also the records decentralized.
Secure and personal
Privacy and security have always been a serious concern for crypto currencies.
The block chain ledger depends on different mathematical puzzles, which are hard to find it.
This makes a crypto currency safer than ordinary electronic transactions.
Currency exchanges are simple to carry out.
One currency will be converted into the opposite by trading in crypto currency, across different wallets, and with minimal transaction fees
Other currencies, such as the US Dollar, Euro, and Indian Rupee, will be accepted as payment with the help of Crypto Currency exchange.
In blockchain, Decentralization refers to the transfer of control and decision-making from a true entity like individual, organization, or group there to a distributed network.
Cost-effective mode of transaction
One of the most important uses of crypto currencies is to send money across borders.
The transaction fees paid by a user with the help of crypto currency are less.
It does so by removing the need of third parties to validate a transaction, such as VISA or PayPal.
There will be no need for any additional transaction fees as a result of this.
For Immediate and Quick Payments Crypto currencies have always been the best option for payment.
Crypto currency transactions, whether international or domestic, are lightning fast.
This can be because the verification requires little or no time to process as there are only a couple of barriers to cross.
Disadvantages of Crypto currency
Adverse Effects of mining on the environment
Mining crypto currencies require tons of computational power and electricity input, making it highly energy-intensive.
The biggest culprit in this is Bit coin.
Bit coin mining necessitates the use of powerful computers and a lot of energy.
It is impossible to do on a regular computer.
Major Bit coin miners are in countries like China that use coal to supply electricity.
This has increased China’s carbon footprint tremendously.
No refund or cancellation policy
Once the money has been send by the sender to a wrong person he cannot get his money back at any cost.