What is a cryptocurrency from bikola's blog

Cryptocurrency is a type of digital currency that is calculated in an automated payment system. Cryptocurrency does not express any material form. This is a certain number, which implies the volume of units of account recorded in the information protocol, they most often do not have a cipher.

The cryptocurrency system is characterized by the lack of storage of data about the owners of email addresses, so it is impossible to check the availability of an access key. All transactions on the cryptocurrency exchange are anonymous because they do not contain information about the owners of the assets. You can pay with cryptocurrency in the online system, cash out through exchange systems, or exchange one type of digital currency for another. But the economic features of cryptocurrency payments are more similar to cash payments than non-cash ones.

Payments using cryptocurrency occur independently, without resorting to intermediaries. Also, a participant cannot cancel an already completed monetary transaction. That is, in case of a system error or sending to the wrong address, the funds cannot be returned. Only the owner of the cryptocurrency access key can manage electronic means, it cannot be blocked from outside resources. Double spending of digital currency occurs with the help of blockchain technology, consensus ledger and others. Transaction data is not encrypted, it can be found in the public domain, for this it is not necessary to have registration in the electronic system.

The issue of digital currency is formed using a special protocol. The system is a lottery: winnings in it depend on various elements:
the speed of solving the task (mining),resource management volumes (forging).In some situations, one part or the full amount of digital currency is compiled through the organizers using a subscription (ICO). Most often, one of the technologies is used, but some digital currencies can create some combination of currencies.
The economic significance and legal status of cryptocurrency is ambiguous. Individual states form their own laws regarding the understanding and work with digital currency. In many countries, it is completely prohibited by law. Also, in some regions, cryptocurrency has the value of a means of payment, an electronic asset, a specific product. There are also certain restrictions from the leadership of some countries. For example, the inability to make payments and operations to banking organizations.

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