What is Cryptocurrency?

Cryptocurrency

Cryptocurrency is a general term for currencies in which cryptography is used as a security measure. In Japan, it is referred to as “virtual currency.

It is characterized by the use of technologies such as public key cryptography, hashing, or digital signatures that incorporate both, as techniques to increase the confidentiality of communications. These cryptographic theories ensure the security of transactions.

It was created to lower fees for sending money around the world, to speed up transactions, to be decentralized, and to allow transactions to be conducted on the same basis around the world.

Bitcoin operates on a de-centralized concept, where those who use it manage their Bitcoin transactions. Satoshi Nakamoto proposed a method that uses a P2P mechanism to exchange information between terminals. This allows users to manage each other through the Internet, and the value of the currency is created by the community.

Cryptocurrencies can be obtained by exchanging them for legal tender such as US dollars, Euros, Japanese yen, pounds sterling, and Chinese yuan through exchanges and sales outlets.

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