Bitcoin is a globally recognizable entity. Since its creation in 2008, it has come to stand for the entire cryptocurrency industry, for better or worse. Still, there are far too many people that currently invest in cryptocurrency without actually knowing what it is or how it works.
Being able to submit cryptocurrency guest posts means that you speak as an authority on a burgeoning
marketplace. But how can you speak authoritatively about something if you aren’t familiar with it yourself?
Understanding cryptocurrency, not just Bitcoin, is essential if you aim to be that voice of
authority on a growing market. Knowing the essentials of cryptocurrency can help you be as prepared as possible to speak from a knowledgeable perspective.
What is Cryptocurrency?
Despite the success of Bitcoin, there are more people that do not know what cryptocurrency is than actually do. This is because it is still a niche market and, outside of Bitcoin, there isn’t a familiarity with any of the alternatives out there.
There is also a bit of a misunderstanding about cryptocurrencies in general. Essentially, cryptocurrency is a form of payment that can be exchanged online for services and goods. It is just like traditional money but it is entirely digital.
Many of these companies in the cryptocurrency game have their own issued currency. More times than not, these are known as tokens and they can be traded specifically for the service or goods that the company itself provides.
To get these tokens, you need to exchange real currency for the cryptocurrency in order to access the service or goods in question. And how these cryptocurrencies work is through a technology known as blockchain.
Even though cryptocurrencies are decentralized, this blockchain technology is meant to be spread across many different computers that manage and record transactions. So instead of a centralized authority as there is with traditional currency, the blockchain provides the security that would have normally come from that centralized authority.
The appeal of cryptocurrency is that the blockchain technology is so secure. When a transaction has been verified and approved, there is no reversing it for any reason. Best of all, to access the blockchain, the user must have a code that is only available through the approval of that transaction. It means that the blockchain is so secure and trustworthy.
Bitcoin remains the face of cryptocurrency, but at some point there will become more competition as cryptocurrency continues to grow in presence.