Cryptocurrencies have revolutionized the financial market in style. The ultimate objective of every invention is to reduce the work done by humans and to improve efficiency. The cryptocurrencies which are also known as fiat digital currencies aim at improving the pace of the transaction and reducing the human dependency while carrying out the same. Bitcoin is the first and the foremost crypto introduced into the market. The exponential growth that the currency has acquired paved way for the introduction of other new cryptos. Continue reading the write-to knows the birth and journey of the digital currency.
A group of financial experts was working on with the idea of introducing virtual money in the late 1990s. Though the initial attempts were unsuccessful, the observations and the findings led to the development of world’s first ever digital currency in the year 2008. Satoshi Nakamoto is the genius behind this massive idea. In the year 2010, bitcoins were mined for the first time. Gradually, small retail shops and pizza shops started to accept bitcoins for their products. The computer giants, Dell began to accept bitcoins and from there the digital currencies took the leap. The immense popularity attracted many investors and hence mining flourished.
- The cryptocurrencies impart cryptography code to verify and validate transactions. It is a digital asset.
- It favors very fast transactions without the aid of the third party.
- It offers high liquidity and the transaction is peer to peer.
- The value of the digital currencies fluctuates depending on the market. So one can earn by buying, holding and exchanging the crypto sat the right time.
- It can be called both the currency and the commodity.
The rise and the fall:
In the year 2011, a lot of rival cryptocurrencies emerged after the success of the digital currencies. However, they couldn’t sustain the market. In 2013, the value of the bitcoin surged to 1000$ per coin and it was the golden period for the virtual trading. The tools like Bitcoin Trader was developed at that period to ease the whole trading process. Then, all of sudden the value dropped making the traders suffer heavy losses. Then later in 2017, the digital currencies started to regain its strength and again people started using the lucrative platform. This clearly shows the uncertainty of the cryptocurrencies. Further researches, developments, and regulatory measures will let the cryptocurrencies overshadow the conventional currencies in the finance market.