The New Digital Currency Movement

Cryptocurrency is a digital asset that serves as a medium of exchange with no central authority and was created to prevent the issue of double spending. This problem is solved with the use of blockchains where miners confirm transactions on a public ledger. As of today, there are over 1,000 different types of cryptocurrencies, and at least 600 of these have listed market caps of over $100,000. Bitcoin, Ethereum and Litecoin are top cryptocurrencies trading today with their combined market cap topping $331B. Bitcoin, created in 2009, is the biggest cryptocurrency and has recently reached a net value of over $270 billion, with much of its growth being in the last few months. This has led to much

1. What is the key point of the article? Make sure you discuss what block chain and Bitcoin are.

The dramatic development of blockchain technologies seems to be a double-edged sword. Although cryptocurrency leads to innovative payments and transfers, it may be a tool for criminal usages. In terms of benefits, bitcoins have ability to solve double-spending problems and Ethereum’s smart contract is used for sharing economy. On the other hand, because there is no legal which is responsible for Bitcoin trading activities, Bitcoin is considered as one of the greatest risk to national security through illegal operations involving to financing of terrorism and extremism (Vovchenko et al, 2017). In 2013, for example, the U.S government closed down the largest website, named Silk Road, involved to illegal goods trading, in which there is 1.5% of Bitcoin was used for trading illicit drugs and counterfeit

The block chain database has recently become more widespread in everyday life and some of its benefits has been implemented for the public usage. The governments in several countries has acknowledged the potential of the block chain system. This could simplify the bureaucracy process and provide credibility. Some suggestions have been made of where this database could be enforced. First of all, the block chain system could affect how an ordinary person could deal with property titles. Governments will make it possible for citizens to electronically conduct transactions and queries without lawyers or queuing at government offices. Once registered on the block chain, for example an ownership of a car, a home or other assets to be transferred from one person to another without the need for a government record while still being legal and publicly acknowledged (Forde & Casey, 2016).

There’s a new currency gaining prominence in American culture; it’s the currency of offense. This currency is based on the perceived value of victimization and people buy, sell and trade with it every day. The pictures on the bills change with the daily news. This particular currency uses the leverage of impugned guilt, and promises gratifying profits in the form of entitlements, forced cultural acceptance and indignation.

Currency acts as a store of value, a medium of exchange and a unit of account. Physical currencies are promissory notes payable to the bearer on demand. Digital currencies are internet-based form of currency. They represent both developments in payment systems and a new type of currency. Digital currencies, in hypothesis, serve as money, at present day they act as money to a small amount of individuals and institutions. It has been often questioned as whether the decentralised digital currency, such as Bitcoin and Litecoin, will emerge as the preferred method of payment for Internet Services or will remain a superficial payment method compared to well established existing payment systems.

Ethereum is “a decentralized platform that runs smart contracts […] on a custom built blockchain” (Ethereum.com). This platform allows for interested parties to use the blockchain in a way which helps move value, represent ownership of property and store registries of debt all without having a third party intercede and even allows for automation of the transfer of funds as defined in contracts (Ethereum.com). Ethereum’s cryptocurrency are the DigixDAO and Augur. Ethereum was first introduced by, the nineteen year old Canadian,Vitalik Buterin on August 2014 however after getting hacked the developers decided to create Ethereum Classic (Blockgeek, “What is Cryptocurrency”).

     In the present day, the world's economy is ever-changing and adjusting. Many different reasons control the reasons for this. The future of currency is something that can only be predicted and is not guaranteed. However, there are many determing factors behind the changes that can take place. Asia and North America are two continents that have economies that have recently changed or are in the midst of change.

The hidden power behind cryptocurrency is blockchain technology, which is as tough to recognize as it is to discuss. There are definitely in-depth descriptions of exactly how blockchains work offered, yet generally, each is built on an openly

Bitcoin (BTC), a cryptocurrency, is a type of digital currency which was introduced in 2009 by pseudonymous developer "Satoshi Nakamoto". Since then 12 million bitcoins have come into existence with a current market cap of around 8 billion USD [1]. The algorithm is designed as to allow only 21 million BTC to come into existence ever. Bitcoin uses peer-to-peer technology to operate with no central authority or banks; managing transactions and the issuing of bitcoins is carried out collectively by the network [2]. Bitcoin is not the first attempt. But none have managed before to take off so dramatically and with such wide adoption to achieve escape velocity. The questions which are important now are how the bitcoin managed this success in

Nowadays, the Internet has implemented great impacts on people’s life, and it also has changed the business world significantly. In order for companies to cope up with the changing customer demands, they must adopt new technologies not only to support their business functions but also to reduce paper works, reduce costs, and provide better services. Bitcoin is a currency of the Internet, distributed, worldwide, decentralized digital money that be developed as a new payment method. In Australia, the regulator has defined Bitcoin as property instead of currency for accounting purposes (King, 2015 February). Although Bitcoins are not materially existed, it can be exchanged for goods and services at places that accept it, the same way you would give someone a dollar for a cookie.

Litecoin – is the second largest cryptocurrency in terms of capitalization in the market today. It reached a market cap of $1 billion by the end of the year, 2013. The litecoin was primarily created as an improvement to the Bitcoin, the market leader. Among the added features are - mining capabilities with the use of an ordinary desktop computer, faster processing time (2.5 minutes versus 10 minutes for Bitcoin), and a maximum limit (84 million versus 21 million) which is four times more than Bitcoin, its leading rival.

Traditionally, currencies have been tied to physical tangible items, such as paper or gold, and provided three functions: a medium of exchange, a unit of account, and a store of value. The earliest published research using cryptography as a basis for electronically transferring cash is from 1982 by David Chaum, a Ph.D. graduate in Computer Science from the University of California at Berkeley. He founded a company in 1990 called DigiCash, which originally sold smart cards for closed systems, such as for highway tolls. In 1994, the company sent the first electronic cash (“ecash”) payment over public computer networks. The history of DigiCash is controversial, but the “ecash” system appears to have been centralized and proprietary and no corporate partnerships were formally established. Other companies, such as Dexit, InternetCash, Qpass, Flooz, Mondex and NetCheque, performed similar online payments, but none of these companies gained meaningful traction due to the complexities and expenses of navigating the technological, economic, legal, political, social, and cultural challenges in virtualizing currencies.[ ][ ]

To start off primarily, Bitcoin is a digital currency as opposed to physical currency that we’re accustomed to and use in our daily life. Straight off their site, Bitcoin is described as a pseudo-anonymous, P2P technology operating with no central authority or banks, it’s open-source, public, owned by no one and open for everybody to take part; but what does that all mean? “Bitcoin is the leader in a new generation of emerging currencies known as “cryptocurrencies” which aim to, among other things, facilitate the movement of money electronically while still maintaining a sense of privacy,” (Hobson)

With this all nodes will be linked to each other and will form as a chain and this can be called as blockchain.