Cryptocurrency is a digital currency that uses cryptography to secure transactions made on a decentralized network. It allows for peer-to-peer transactions without an intermediary like a bank. The first cryptocurrency, Bitcoin, was created in 2008 by the pseudonymous Satoshi Nakamoto and used a blockchain system to record transactions. There are now over 1,000 cryptocurrencies in existence, with Bitcoin, Ethereum, and other "altcoins" being the most popular and valuable.

1. What Is Cryptocurrency?
Cryptocurrencyis a system of digital currency that is
decentralized and does not depend upon any central authority like a
government or any organization.
It concerns the totality of intangible and virtual transactions.
Cryptocurrency is a system in which algorithm encrypyions are applied
to secure a network.
This network is secured by a method called cryptography, that
assures it, to not be imitated.

2. These organizational components of the security of transactional data
and its integrity are called blockchains. And some special sort of
virtual tokens are also dedicated to online payments.
In short, we can say that cryptocurrency is the new system of payment,
that is completely digital and very suitable for today’s modern world.
How Does The Cryptocurrency
Emerged?
About a decade ago, a kind of digital coins were created for the first
time in history named as “bitcoins”.

3. One more decade before that, many attempts were taken to create the
online currencies with encryption secuiritues–that resulted in some
undeveloped digital currencies, that are B-money and Bit Gold.
In the year of 2008, a peer-to-peer Electronic Cash System in the name
of Bitcoins was introduced by a non-real identity –Satoshi
Nakamoto.
In 2009, Bitcoin software was created to record and verify transactions.
Through this software, new bitcoins were created and they became
accessible to the public.
After a year, bitcoins were sold for the first time.
And then in 2011, two more kinds of encrypted currencies were created
that are “Namecoin”and “Litcoin”. These currencies proved to be
more beneficial as compared to bitcoins.
And now, more than a thousand cryptocurrencies are present.
After 2012; the years 2013 and 2014 sustained to be the most drooping
years for cryptocurrencies.
In 2013, the prices of bitcoins suddenly begin to decrease from $1,000
to $300.
Then in 2014, one of the biggest bitcoin exchange platform– mt. Gox
got scammed of about 850,000 bitcoins, that the owners could never
get back.
The hands behind this theft are unable to expose till today!!!

4. Despite this downfall of cryptocurrencies/bitcoins, it still has an
enormous amount of significance due to the way it makes money.
How Does The Cryptocurrency
Make Money?
There are two ways to make money through cryptocurrency–one is
very simple, by selling your bitcoins at profit; whereas, other is very
complex, that is mining the bitcoins!!!
But, first of all, you have to invest in it.
For that, you need to purchase cryptocurrency.
There are different crypto-exchange applications present that
allow you to purchase cryptocurrency– Cash App, Coinbase, etc.

5. Once you did invest in it, either you can sell it, or earn new coins by
being a bitcoin miner.
Now, another question arises there that, what is Bitcoin Mining?
Bitcon Miningmeans earning new bitcoins as a reward after
completing verification of a block.
Blocks are the verified transactions that are added to the blockchains.
1 block is equal to 1 MB verified transactions.
Miners help the cryptocurrency system to avoid the double
spending problem.Because when transactions are verified, the
coins that are used can not be re-used.
But not every miner can win the reward. Only the one who provides the
right/closest answer first wins the reward. This in terms of
cryptocurrency is known as Proof of Work (PoW).
And for providing PoW, you require to have a very sophisticated
computer, and a great numerical solving ability.

6. How Does Bitcoin Works?
For bitcoins, it isn’t the same way as cash.
Your transactions are saved and everyone can see your encrypted
coins. But, the only owner can decrypt them, no one else can.
The Owner possesses a private keyto decrypt their coins.
But these coins/currencies are not valid for banks. Only some particular
entities accept them.
This is why they retain their kind of called Digital Wallet.

7. These digital wallets are also called crypto wallets.
It is an electronic device that furnishes assistance to online
transactions.
You can purchase anything and make payments by using these wallets.
Isn’t that amazing?
One of the popular types of crypto-wallets is bitcoin wallets.
However, there are many more types.
Not only the types of wallets but, cryptocurrency also has types of its
own.
Nowadays, more than 1,000s of types of cryptocurrency/digital coins
are present. But 3 most popular types are :
1. Bitcoins (certainly)

8. 2. Altcoins &
3. Etherum
Each of them has its pros & cons and facilities & limitations. Because
each digital coin has a value of its own. You just have to decide that
which one suits you the most.
But after all these assuring facilities, people still have some suspicions
about the safety and security of cryptocurrency.
So here I’m gonna wipe out all those doubts and questions that are
roaming in your mind, by explaining the next section of my article.
Is Investing In Cryptocurrency Safe?

9. Cryptocurrencies contain the procession of cryptography. Due to this
factor, cryptocurrency is recognized to be incredibly great in terms of
safety and security.
Cryptography ensures not to have any Go-Betweenswhile the
transactions are taking place.
And then the private keys that are provided to every owner for their
encrypted coins are the very special part of its safety and security.
No any other person can decrypt the coins other than the one who
knows the private key code.
That means, your money is certainly safe in your digital wallets and no
one can steal it in any way.

10. Why cryptocurrency is always
criticized?
Now you might be thinking that if cryptocurrency was that useful and
beneficial, then why it is criticized always? Is it like that?
Well, if this is the question, then your question is 100% accurate.
Yes, it does happen!! Cryptocurrency is frequently criticized in the
economic world and the market hub.
It is due to the ups & downs that occur in the digital currencies due to
the market prices that alternates its ranking on stimulation of its supply
and demand.
The prices of digital coins may plunge to decrease abruptly anytime
depending on the reduction of the market’s demand for them.

11. Secondly, the great security of cryptography, cryptocurrency still bears
the risk of being hacked.
That means you have to keep in mind that you may have to confront
loss if you are investing in cryptocurrency.
Yes, it is possible !!!
Conclusion–
There will be no misgiving to say that cryptocurrency is a great idea of
digital money in this digital world of nowadays. It is profitable, diverse,
comfortable, and so on.
Yes, some drawbacks of cryptocurrency are also there.
But few drawbacks can not take away the privilege and usefulness of
cryptocurrency.
Every technology in this world has some flaws, there is no technology
present in the world that only & only gives benefit.
In the end, I would advise you to always take advice from your instinct.
Instinct is the fairest advisor.
Ask from your instinct that, either it will be beneficial/suitable for you
or not!!!
All the pros & cons are in front of you in this article above. Now it's up
to you!!
Whether are you want to invest in cryptocurrency or not???
So what’s your opinion?