What is Crypto-currency

A cryptocurrency is digital money or an asset designed to work as a medium of exchange. You can transfer cryptocurrency to someone online without a go-between, like a bank, where ever individual coin ownership records are stored in a ledger existing in a form of a computerized database using strong cryptography to secure transaction records, to control the creation of additional coins, and to verify the transfer of coin ownership.

It typically does not exist in physical form (like paper money) and is typically not issued by a central authority. Cryptocurrencies typically use decentralized control as opposed to centralized digital currency and central banking systems.

When a cryptocurrency is minted or created prior to issuance or issued by a single issuer, it is generally considered centralized. When implemented with decentralized control, each cryptocurrency works through distributed ledger technology, typically a blockchain, that serves as a public financial transaction database.

Bitcoin and Ether are well-known cryptocurrencies, but new cryptocurrencies continue to be created. But before you buy cryptocurrency, know that it does not have the same protections as when you are using Indian Rupees or U.S. dollars, etc. Also, know that scammers are asking people to pay with cryptocurrency because they know that such payments are typically not reversible.

Many experts believe that blockchain and related technology will disrupt many industries, including finance and law.

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Criticism faced by Cryptocurrencies

Cryptocurrencies face criticism for a number of reasons, including their use for illegal activities, exchange rate volatility, and vulnerabilities of the infrastructure underlying them. However, they also have been praised for their portability, divisibility, inflation resistance, and transparency.

Variation in the value of cryptocurrency.

A cryptocurrency’s value can change by the hour. An investment that may be worth thousands of U.S. dollars today might be worth only hundreds tomorrow. If the value goes down, there’s no guarantee that it will go up again.