Crypto based systems are here to stay. This is only the beginning, we must get ready for what’s coming next. From now on, we will be experiencing important changes in the way we communicate, organize, and do business.
Cryptography is the science of keeping the information secret (as opposed to cryptanalysis, focusing on breaking encryption). Both are part of the mathematical branch known as cryptology.
Modern cryptography uses very sophisticated systems mainly to protect data and secure communications. If you wish to learn more about the basics, just click here.
CRYPTOCURRENCY: MEANING AND ORIGINS
What is a cryptocurrency?
A cryptocurrency is a decentralized form of digital money run by a network of computers and stored in digital wallets. The blockchain is the technology that makes these transactions possible.
In the beginning, cryptocurrencies existed for experimental use only. Things have changed a lot as they are becoming infiltrated into our daily lives in a similar fashion as other disrupting technologies (like the internet).
Back in 2007, little could we know this technology would be challenging our pre-conceived concept of currency (among other things).
Why is it so difficult to understand?
In fact, the underlying concept is simple:
• First, a communal ledger is necessary to keep track of all the transactions.
• Second, every transaction must be secured by using digital signatures that legitimise every contract via mining.
CRYPTOCURRENCY MINING AND BITCOIN
Bitcoin is the most popular cryptocurrency so far, although there are many other rising stars. It was back in 2009 when Satoshi Nakamoto implemented it and it’s still going strong in 2018.
While in the beginning, Bitcoin was easy and profitable to mine, it’s not worth any more as it involves too many costs and the margin of profit has been narrowing every year.
Nowadays, the profits come mostly from the exchanges’ trading with bitcoin and other cryptocurrencies. As a result, it doesn’t come as a surprise that some people consider cryptocurrencies (also called altcoins) as an investment.
Education is the key here. Getting familiar with the system is fundamental as we are heading to a crypto-world.
In conclusion, this is something new and exciting, and the sooner we learn how to get around in this new paradigm, the better for our peace of mind.
CRYPTO WITH MOST POTENTIAL IN BUSINESS (2018)
Crypto based trading is going mainstream in 2018, as more people are becoming aware of its great potential.
These are some of the remarkable changes that can influence the cryptocurrency market this year.
• The number of ICOs (initial coin offerings) will increase.
• Regulations will bring more stability and companies will start to accept cryptocurrencies more often.
• There are plenty of resources available to learn more about the matter.
• Governments and institutions are becoming increasingly interested in cryptocurrencies.
• The Lightning Network will provide faster, affordable, and more secure Bitcoin operations.