A Quick Guide to the Crypto Jargons
The introductions of bitcoins promised to change the way we transact. Eight years after the introduction, we are still following the same system of exchange. Bitcoins are trending but has not been able to make the drastic change which was quite imminent at the time it hit the world. We can consider that the blockchain technology is still in its nascent stage and requires a lot of trials and re-runs to actually bring into the picture the massive change in the traditional systems. The blockchain technology also brought with it many new jargons which the common man may not understand in reference to the cryptocurrencies. Some of them are Crypto wallet or digital wallet, mining, encryption, blockchain technology.
A quick run through of these jargons will help in de-constructing the complexity and obscurity around the cryptocurrencies.
- Crypto Wallet – These are digital applications capable of holding or storing the cryptocurrencies. There are different variants of these For instance, there are wallets that service three different cryptocurrencies. With these, the users can exchange one cryptocurrency for another.
- Mining –This is the reason why we are discussing the virtual currencies. This activity involves solving complex algorithms or math calculations to create additional units of a particular currency say Bitcoin. The miner will get rewarded with a small amount of these currencies for his work.
- Encryption – This is the base on which this network functions seamlessly without the intervention of a third party. Private keys are used to transfer money to the network. All the data that is on the network is coded to keep the transaction secure and tamper-proof.
- Block Chain Technology – The Cryptocurrencies are the product of this superior technology. It is a digital record of all the transactions that are done through the cryptocurrencies such as Bitcoins. Like regular ledger users of these currencies have to record all the transactions related to the cryptocurrency on this ledger. It is a decentralized ledger where the peers of the network have access to the ledger on a real-time
- Trading Software – Is it a scam?
- The trading robots have also become more popular with the popularity of these digital assets. Trading robots are automated software that does the trading on behalf of the traders by studying the market trends and price movements. There are numerous scams; however, we also have few legitimate ones like Crypto VIP Club.
Crypto VIP Club is one such online trading website that offers attractive returns on the capital invested for both newcomers and skilled traders.