Is cryptocurrency about to explode?
It has become clear now that the world is sliding towards the virtual world represented by modern technology, including the communications revolution and the virtual presence of humans in a world of smartphones and social media, electronic shopping, and other technology that prompted the existence of the term "virtual reality" as it is called by modern humans, Which is no longer virtual as much as it has become the lifestyle of the contemporary human.
Modern financial dealing will not be excluded from its presence within virtual reality, such as establishing electronic payment companies, cryptography, and hacking bank accounts. Therefore, digital financial transactions have emerged in recent years in parallel with the emergence of virtual reality, at the expense of tangible physical reality. And if you are a good follower of digital currencies, you have certainly noticed the recent decline in the market for these currencies, led by Bitcoin. Have cryptocurrencies become an imminent bubble or are they on their way to becoming the treasure of the future?
How can the money be virtual?
As a result of the development of the programming capabilities of computers in a way that the human mind cannot simulate to carry out hugely complex arithmetic and programming operations within very small fractions of a second, the encrypted digital currency is produced as a value that can be traded in the virtual world, as the stock of most of these currencies is limited to a certain number of units that will end at the end of the day. Its pre-determined number of virtual mining operations since its inception in the digital market. The most famous of all is the “Bitcoin” currency in the cryptocurrency world, which has been identified with 21 million units, approximately 16.5 million Bitcoin units have been mined and are currently in circulation.
Cryptocurrencies are unfamiliar, what might prompt you to acquire them?
Similar to the message encryption technology common through some messaging applications such as “WhatsApp” and “Messenger”, digital currencies rely on encryption in all their transactions, according to Dr. Alexander Shepilov, CEO of “MODx”, a market based on “Blockchain”. ".
The encryption feature makes digital currencies very secret, as they are not subject to regulation, government insurance, or even legal cover, which exposes them to the risks of market volatility, as it is an unsafe investment for some. The reason why some investors are attracted to digital currencies despite their price fluctuation is the confidentiality of transactions and the level of maximum protection They are based on the encryption system in their trading operations, which reduces the risk of fraud almost wholly. In addition, the inability to track trading operations through it makes it a mysterious wealth that enables its owners not to disclose it.
Mysterious riches
Now, after the path of encrypted digital currencies has passed through the basic stages of creating and introducing this modern technology, which provides what the modern era requires of speed, protection, and ease of trading, there is no doubt that it has achieved a point of no return, whether for investment or trading, despite the fluctuations in its prices, and from A wave of warnings directed to novice investors about the risk of investing in it or relying on it completely. Despite the lack of security as accounts in banks in traditional currencies, such as banks’ compensation for depositors’ money in the event of fraud on their accounts, legal cover, and other safe havens for depositing money, it carries with it features that serve digital commercial transactions and maximum digital protection for investor funds.
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