IS CRYPTO CURRENCY SAFE ?

For many of you all, crypto currency might be mysterious. With time, more and more people are interested in it and testing their luck with investing into digital currencies. But there are some things you probably didn’t know about the digital currency world. I am here to show you some must know facts about crypto currency.

Before I start let us first know about what is crypto currency. Crypto currency is a form of payment that can be exchanged online for goods and services.

Then let us understand what is the difference between crypto currency and bitcoin.

As mentioned, crypto currency is a digital currency which uses encryption techniques for regulating the generation of units of currency.

Bitcoin is a crypto currency, which activates the encryption technique, which comes with no specific legal back up from the central bank. 

Now Let us discuss, is crypto currency safe or not. First of all anything in the world is not perfect there are some advantages as well as some disadvantages. Some have many and some less. Crypto currency also has some advantages like –

(i) By crypto currency, the transaction becomes easier, because Bitcoins can be transferred from one digital wallet to another, using only a smartphone or computer.
(ii) Crypto currency payments are becoming more widely used, amongst large organisations, and in sectors including fashion and pharmaceuticals.
(iii) Crypto currency transaction is recorded in a public listcalled the block chain, which is the technology that enables its existence. 

And also some disadvantages like –
(i) It is possible to delete our currency. There have also been thefts from websites that let you store your crypto currency remotely.
(ii) The value of crypto currencies such as Bitcoins can change significantly, so some people don’t feel it is safe to turn ‘real’ money into Bitcoins.
(iii) The cryptocurrency market is not regulated by the Financial Conduct Authority (FCA) so there are no rules in place to protect your business.

Even if we perfect the technology and get rid of all the problems listed above, until the technology is adopted by federal governments and regulated, there will be increased risk in investing in this technology.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

Create your website with WordPress.com
Get started
%d bloggers like this: