Prescott Regency - The Future of Cryptocurrency and Why Bitcoin is So Popular

There are some of you who might have come across the term cryptocurrency and yet are not entirely aware of its implications and functions.

Defining Cryptocurrency

It is a form of digital currency which is created as well as managed through cryptography, an advanced form of encryption technique. Initially, it was just an academic concept, but cryptocurrency took a giant leap when Bitcoin was created in 2009. The subsequent years saw Bitcoin attracting a huge following. It caught massive media and investor attention in the month of April 2013 when its price reached its peak at 266 USD per Bitcoin. The market value of Bitcoin reached more than 2 billion USD, but there was a plunge by 50 percent after that, this led to a significant debate on the kind of future cryptocurrencies are likely to have in general with particular emphasis on Bitcoin. Will such alternative forms of currency supplant the traditional currencies eventually and will they be as prestigious as Euros and dollars someday? Alternatively, is it possible that cryptocurrency is merely a fad, quickly approaching its expiration date? Only time will tell.

The current standard of digital currency-Bitcoin

To put it simply, Bitcoin is a form of decentralized currency which makes use of peer to peer technology which enables a host of functions like transaction processing, verification, and currency issuance to be carried out by the network in a collective manner. This decentralization liberates Bitcoin from interference or manipulation by any government. On the flip side, however, the absence of a central authority to monitor and regulate trade, and ensure Bitcoin’s value could prove problematic.

The creation of Bitcoin is done digitally through a technique called "mining" which requires the use of powerful computing systems to crunch numbers or resolve complicated algorithms. Features like these distinguish Bitcoin from fiat currencies that are entirely backed by a government. The issuance of any fiat currency is an entirely centralized task that is typically monitored and controlled by the central bank of a nation. Banks regulate the flow of a fiat currency, and its issuance happens according to the financial objectives and policies of that country. Additionally, there is no upper cap theoretically on the amount of these currencies. Moreover, typically deposits of local currencies are provided coverage against the failure of a bank by the relevant government body. These kinds of support mechanisms do not exist for Bitcoin.

Merits of Bitcoin

The principal benefits of Bitcoin are anonymity of transactions and its decentralization. Such features have made it a favored currency with many. Incidentally, the FinCEN stated in March 2013 saying that exchanges and administrators of virtual currency would be considered money service businesses, thus putting them within the scope of governmental authority and regulation. Although Bitcoin has had some issues recently, its increasing visibility and success since its introduction have led to many organizations coming out with their alternative forms of cryptocurrencies.

Comments

Post a Comment

Popular posts from this blog

Prescott Regency - Learn About Cryptocurrency Loans

Those who have taken out a loan, are aware of how hard and exhaustive the process can be. First, there are a plethora of legal documents that need to be verified and processed legally. Next comes the waiting period that can be long and irritating. Though times are changing, and now tasks are being completed with the click of a button. Loans are being approved online in no time. However, that too involves a list of pre-requirements that need to be verified first, to receive the desired loan amount. Requirements include salary, a good credit rating, identification, and other personal information. Bitcoin is currently the toast of the financial town, and with enthusiasm soaring high, it’s no wonder Prescott Regency have found many seeking to use the digital currency to take out loans. Bitcoin is giving power to everyone to act as a bank. That means, those looking for loans can lend and borrow money without the unnecessary process of financial institutions like banks. What used to take
Read more

Prescott Regency - Will ICOs Lead The Way To A Safe Internet With An Anti-Virus Token

While the internet lures trillions of users, it is a money pot waiting to be heisted. There aren’t enough eyes to supervise the daily dealings of the internet. Recently, it was disclosed that threats can linger in the shadow for years before they surface, or are detected. All internet users are at a high risk of encountering small threats like a deceptive email, or malicious links. Internet security agencies bestowed with the duty of protecting users from attacks lack incentives. Recently, security firm, Narf Industries, set up a Blockchain identity management project for the U.S Department of Homeland Security. Swarm Technologies believe that the holes in security software can be fixed by crypto tokens. Prescott Regency witnessed a public announcement made by the company last week, to offer ICOs (Initial Coin Offering) carrying the intent to bolster internet security. Initial token sales commence on February 6th 2018, with the proceeds from the sales being invested into a platform
Read more

Prescott Regency - The Future of Cryptocurrency

Bitcoin has been making waves in recent times. The cryptocurrency reached a record high of almost $12,000 in December 2017, according to the Coinbase Exchange. Late November witnessed the cryptocurrencies’ combined market valuation overtake Visa by $30 billion. While the cryptocurrency’s market value was at $285.9, Visa registered $254 billion. Cybersecurity leader, John McAfee, predicts that Bitcoin will reach $1 million by 2020! Cryptocurrencies are here to stay Cryptocurrencies will only become stronger in the future, according to experts like hedge fund manager and entrepreneur, James Altucher. According to Altucher, the eventual goal of the cryptocurrency industry is to replace paper money, and solve the problems associated with paper currency, such as forgery, printing, and anonymity. Altucher predicts the following outcomes of the future of cryptocurrency’s: Just as the Internet ended the monopoly of telephones, cryptocurrencies will put a stop to the monopoly governm
Read more