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CRYPTOCURRENCY

A crypto currency is a medium of exchange like normal currencies such as USD, euros, CNY Chinese Yuan, but designed for the purpose of exchanging digital information through a process made possible by certain principles of cryptography. Cryptography is used to secure the transactions and to control the creation of new coins. Crypto currencies use decentralized control as opposed to centralized electronic money/centralized banking systems. The decentralized control is related to the use of bitcoin's block chain transaction database in the role of a distributed ledger.

BITCOIN

WHAT IS BITCOIN

Bitcoin is a digital currency and a payment system that was created and lunched by Satoshi Nakamoto in the year 2009. Bitcoin is a consensus network that enables a new payment system and completely digital money. It is the first decentralized peer-to-peer payment network that is powered by its users with no central authority or middlemen.The system works without a central repository or single administrator, which has categorize it as a decentralized digital currency. Bitcoin is often called the first crypto currency, although prior systems existed. Bitcoin is more correctly described as the first decentralized digital currency. It is the largest of its kind in terms of total market value.The system is peer-to-peer; users can do transactions directly without needing an intermediary. Transactions are verified by network nodes and recorded in a public distributed ledger called the blockchain.

BLOCKCHAIN

The block chain is a public ledger that records bitcoin transactions. A novel solution accomplishes this without any trusted central authority: a network of communicating nodes running bitcoin software performs maintenance of the block chain. The blockchain is seen as the main technological innovation of Bitcoin, since it stands as proof of all the transactions on the network. A block is the ‘current’ part of a blockchain, which records some or all of the recent transactions, and once completed goes into the blockchain as permanent database. Each time a block gets completed, a new block is generated. There is a countless number of such blocks in the blockchain. So are the blocks randomly placed in a blockchain? No, they are linked to each other (like a chain) in proper linear, chronological order with every block containing a hash of the previous block. Based on the Bitcoin protocol, the blockchain database is shared by all nodes participating in a system. The full copy of the blockchain has records of every Bitcoin transaction ever executed. It can thus provide insight about facts like how much value belonged a particular address at any point in the past.

TRADING

Trading means: Exchanging one crypto currency for another one or sell them to a different exchange. Is to buy a crypto currencies when price is down and sell them a higher price. Is to manage different crypto coins, buy new coins when the market of these coins is going up and sell the others when their market is going down. Is to recoginize the market trends. When to keep them secure, not in fluctuation. When to use them to generate Profits.

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