Bitcoin, Ethereum, Dodgecoin or NFTs people are always talking about cryptocurrencies but what do I know about it?

Now let me take you from a crypto novice to a crypto genius.

Back then it was called trade by barter were people exchange a cow for a horse.

But government introduced currencies like coins and paper money because they were made of precious materials like silver and gold then everybody just accepted them because they were precious and accepted by government.

You've heard of the British Pound (£1) right for instance it was literally equivalent to 1 pound of silver, now you can exchange your £1 for a horse even buy something else money 

Banks became established by government to control transactions as long as there was trust in the system there was need to do away with carrying blocks of gold of silver to trade.

But as technology is improving we even have more convenient ways of storing and trading with different kinds of currencies not just the government approved currency but with crypto too.

Cryptocurrency: is a digital e-currency used conveniently as a mode of exchange during this present day. It is called cryptocurrencies is because they're protected by the security system called CRYPTOGRAPHY.

Characteristics and Importance of Cryptocurrency.

1. Cryptocurrency is 100% VIRTUAL and as a owner, you can just make a transfer of the digital asset to another person.

2. The one distinctive advantage of cryptocurrency is that, it is DECENTRALIZED which means that each and every transaction of that given cryptocurrency is recorded on the same ledger and all users under the network have a copy of the ledger.

3. It does not require a bank to operate, you can send unlimited amount to people across the globe with no worries about exchange rates and interest rates some crypto transaction fees are zero sometimes.

4. They are not really accepted as form of payment in many places but other big companies like Tesla, Microsoft, Burgerking etc promised to accept Cryptocurrency as form of payment before they later refused.

5. Before you invest in cryptocurrency, understand it's risk because it values can go up and down at anytime which is called "VOLATILITY"

1. Bitcoin

 Bitcoin arranges its transactions in chains which has transaction details like (From-To, Amount, HashTags (ID), Previous Hash (Last Transaction).

People use their money to buy cryptocurrency because they believe that it is the next big thing so they exchange their dollars for cryptocurrency and sell it at a higher rates in future when their prices sky rockets.

Now we have cryptocurrencies like Ethereum which is the second most invested in coin, Cardano called the Technological superhero, Litecoin has newer algorithm etc.

Another decision one has to make wisely is Which cryptocurrency to invest in out of over 4,000 different kinds of it with different properties.

Remember Elon Musk tweet on June 4, 2021 after he lost a lot of millions from Bitcoin when the value drastically dropped after he invested over $1.5B in it.

1. Cryptocurrency is critcised because its Environmental Factor which requires a lot of computers to verify transactions and this computing requires electricity.
2.  No policing which allows unlimited spending. It is regarded as the perfect currency for criminals;  but statically not up to 0.34% crypto transactions are criminal but 5% of normal cash transactions are.
   

NFTs (Non fungible token)

Also known as digital collector item, let's say BlockChain has made it easy and you can pay to have ownership of a digital coin and this coin can be shared to others but the owner has the full right over it.

It is a public ledger for transaction records they are stored in the block chain as identification code and meta data.

Example when you do "minting' creating of digital assets like videos or songs is your digital asset called NFT which you can claim ownership because all NFTs are traceble and unique.

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