digital money

Bitcoin – The Valuable Cryptocurrency And Its Trading Statistics

You have probably heard of bitcoin, open-source software, or digital cryptocurrency, the value of which can only be exchanged in virtual space. The cost and value of the invention of an anonymous developer or group of developers under the pseudonym Satoshi Nakamoto are particularly interesting, even revolutionary. Especially considering that bitcoin is not subject to the powers of central banking systems.

Bitcoin = Anonymity, Autonomy, Decentralization and Independence

Bitcoin development is aimed at anonymity, autonomy, decentralization and independence from world governments, banks, corruption, malpractice and even ideological systems. What particularly catches our attention is the fact that the apparent value of cryptocurrency is not in financial terms. Bitcoin is revolutionary and innovative. Therefore the greatest value of digital money lies primarily in its transaction system.

The Revolutionary Bitcoin System

Source:news.bitcoin.com

This currency is not printable and the total amount of money that can be created is limited to just 21 million bitcoins. As interest in bitcoin skyrocketed, so did the value of cryptocurrency soaring through the end of 2017. Let’s just mention that on December 17, 2017, bitcoin had the highest value ever achieved, but in just one year in December 2018, with turbulent exchange rate fluctuations, its value declined dramatically.

Although the price index varies, its actuality does not decline. This is supported by the fact that more and more people are interested in buying bitcoin, and that some countries have introduced this cryptocurrency as legal means of payment. Perhaps the discussion about bitcoin pricing today is not so important, but that is why the system that manages bitcoin is revolutionary.

It also hides the highest value of this cryptocurrency. Before presenting the true value of bitcoin, let’s explain in a simplified way how it works.

Why Is This Cryptocurrency Valued And Valuable?

Digital money itself does not have any particular innovative value, but it does have a system by which it is distributed. A successful and reliable bitcoin transfer is possible due to P2P or blockchain technology. To put it simply, it is a financial ledger that records the amount of money in virtual accounts as well as the entire history of bitcoin transfers online.

We can also interpret this transaction history as a chain of all transactions ever made, with a total sum of 21 million bitcoins in the future. We say in the future because the final or the total number of bitcoins made – has not yet been reached. A transaction or a block cannot be modified or deleted, which means that no criminal financial action can be taken. Very revolutionary, isn’t it? However, this is not the only level of revolution.

The next level of innovation is the decentralization of transaction records. There is no single central registry, but the entire blockchain file is stored on the node drives (or users, ie miners). Each new transaction is instantaneously recorded and updated with each of the users (nodes), and there is no “central authority”.

Application Of Digital Money In Different Countries Of The World

Bitcoin is a deflationary currency in the market. Besides digital payment, it is also used for other purposes. One such has been recognized in the facilitated international distribution of funds. Its good side is particularly emphasized in the case of migrants who can transact in this cryptocurrency in foreign countries. All can be done without the additional, high costs of international transaction services.

Another common purpose of bitcoin is to invest. Funding and buying bitcoin has become a major investment. Let’s just take, for example, that in 2017 the value of bitcoin doubled four times. Buying bitcoin at a low price and selling at a high has made a profit for many people on the stock market, which is another example of using this cryptocurrency.

What is the Open Interest Chart?

Anyone who has already entered the bitcoin trade seriously enough – knows that keeping track of statistics means managing information. In this sense, the term “open interest” is often referred to.

And what exactly is it? Bitcoin open interest represents actual open positions on BTC / USD trading pairs. This data is recorded from 2018. If open interest reaches more than 100,000 bitcoins – higher volatility in the price of this cryptocurrency may be observed.

Longs vs Shorts Interests

Longs and shorts data are provided to help users understand better the amounts of long and short positions that are open in valuing USD. Statistics are of the utmost importance here because they show users real-time data. According to bitmexresources.com – this kind of data is sometimes crucial to determine the values and predict the next steps in the bitcoin market.

Bitcoin As A Legitimate Cryptocurrency

Source:marketwatch.com

The value of bitcoin currency varies and is interpreted differently from country to country. While some countries are more than determined to accept bitcoin as a legitimate digital payment currency in the country, there are also countries that, due to their inability to tax, avoid accepting bitcoin as a legitimate means of online payment.

In the US, the Internal Revenue Service treats all prominent digital currencies, including bitcoin, as property, not currency. In other words, every taxpayer who sells or buys bitcoin must report the value of the bitcoins used in the annual tax return. This tax regulation is also subject to miners who make a profit by “digging out” missing pieces of code in the blockchain. Unlike America, the European Court of Justice recognizes and treats bitcoin as a currency.

Although not subject to value-added tax, bitcoin is taxed otherwise. In Britain, the tax administration treats bitcoin as a foreign currency, where each case regarding this cryptocurrency is considered based on individual facts and circumstances.

In addition to these countries, it is also worth noting that the use of bitcoin will lead Sweden to the first cashless nation. However, in less developed countries or countries hit by financial crises, such as Venezuela and India, bitcoin is a means of legitimately paying for goods and services.

The Strongest Value Of Bitcoin

Source:computerworld.com

As we explained earlier, the greatest value and importance of bitcoin lies in its transaction protection system – the blockchain system. With bitcoin, for the first time, we have a system where corruption and other financial malpractices are not possible. That gave many people an idea to think more broadly. If it is possible to implement a system of protection and transparent presentation of the flow of money online, then maybe it is possible to apply this system in other spheres of ownership. In other words, the advent of bitcoin may be the first revolutionary achievement since the advent of the internet.

Its importance is primarily recognized in the blockchain system. This system provides security based on the interest of system participants in managing without fraud. Why? Because that’s the only way they can benefit from the system. Blockchain is even recognized as a system that is far better quality and more efficient than VAT. Once a block in a blockchain is printed, no further manipulation is possible.

Conclusion

The revolution made by bitcoin in the virtual space is very likely to spread more and more to other social forms and structures. That is why it is very important to follow the flows and technological innovations, to acquire knowledge and to improve. It is only a matter of time before the virtual guarantee of the Internet will be the only valid and secure system of social organization.

 

 

 

 

Reasons why cryptocurrencies are here to stay

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Years from now, who would think about us using 4G or 5G that we will need to rely on in order to perform money transfers and transactions in our daily lives? Starting from paying for our commute to work to ordering clothes online. The Blockchain is one such technology, that will soon transform the way industries work. Before we look at the reasons cryptocurrencies are the future, let’s first take a look at what are cryptocurrencies and what is the Blockchain technology.

What is Blockchain?

The blockchain is a technological creation, that forms “chains of blocks”, under the DLT (distributed ledger technology). Each of the blocks contains data from various transactions, which are all secured and verified. They serve as the base of the technology in which cryptocurrencies act as assets. Potential applications include transferring funds, settling trades, voting, and other things.

What are  Cryptocurrencies?

Cryptocurrencies are resources that work in the Blockchain technology, known as the medium of exchange for the digitalized era. One of the most popular currency is Bitcoin. All of the transactions are decentralized, and there is no involvement of banks or governments. It is an advanced technology, which is expected to be accepted by people all around the world.

Here are the reasons why cryptocurrencies are the future:

Img source: steemit.com

1. It prevents scams and hacks – one of the best advantages of these currencies is that it will prevent payment scams. When needed, the data will be acceptable to all users, which leads to transparency. Blockchain has a shared ledger which no one can tamper with. Information will be shared in real time, and the ledger will be updated when all the involving parties agree on it. This can reduce the chances of fraud, as well as reduce the time and costs needed for specific transactions.

2. More employment opportunities – the job market in the crypto world is expected to grow. Today, there are several places where people can get training in this technology. However, as the demand becomes higher, the supply also increases. Some of the jobs that might be available are cryptocurrency traders, full-stack bitcoin developers, blockchain solution architects, and so on.

3. Blockchain in financial institutions – now that some financial institutions are aware of the disruptiveness of Blockchain, it is expected that it will reach a critical mass by the year 2020. This technology allow to speed up the whole process by implementing cross-border payments, it can also help with commercial transactions and agreements by using “smart contracts”.

4. It is easy to use and it is secure – it is already easy to use this technology, and it is expected o be even easier. For example, when property transfers are secured by blockchain technology, we will no longer need to rely on a third party to verify them.

Img source: namecoinnews.com

5. Transactions are fast and private – bitcoin can do up to seven transactions each second, thanks to its Lightning network. This means that the application will be able to perform millions of transaction per second. It will most certainly help with the adoption of Bitcoin and other cryptocurrencies.

6. Investment is easier – by tracing the bitcoin exchange rates. There are various companies that offer bitcoin exchange rates. Companies like Areatak Global offer people the chance to see updated lists in real time, and it is also free of charge. So, if you are interested in what the exchange rates are, make sure to check the lists.

Conclusion

One of the most important features of cryptocurrencies is that YOU own it. There is no other electronic cash system today in which your account will be entirely yours — for example, PayPal. If the company decides that your account is being misused (for any reason), they have the power to freeze your account. With cryptocurrencies, only you will own the key to your account and only you will be able to access your funds. No one will be able to take your money from you, and that is one of the most beautiful things about cryptocurrencies.

The Benefits of Cryptocurrencies

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The world is becoming more economically unsafe and cryptocurrencies might help you fight the feeling of someone harming your economic status. Cryptocurrencies or as we know it today „digital money“, is based on blockchain technology. This kind of technology creates a digital ledger of all assets, whether it is money, tangible property, vehicles, or stocks. Bitcoin is the most famous one, but it is just a drop in the ocean. As these platforms are becoming increasingly popular, and are becoming more accessible, it is important to know what are the actual benefits of this currency.

source: rau.ua

Before taking a look at the benefits of cryptocurrencies, here is a list of the cryptocurrencies that are already widely used:

source: rs.n1info.com
  1. Bitcoin
  2. Dash
  3. Ripple
  4. Dogecoin
  5. Litecoin
  6. Peercoin
  7. Ether

Here is a list of benefits you might get by using cryptocurrencies:

source: talismanian.com

1. The integrity of transactions – this type of currency cannot be transferred to a third party without the user. Hence, with this kind of transactions, there will be no risk of fraud or cheating. The user will be in complete control of the transaction and currency, which is hosted on centralized technology. There will be no chance of any third party to interfere or manipulate the payment or the sender reversing the payment. It requires less trust and worry than in traditional banking.

2. 24/7 tracking of payments – traditional systems require the senders to track their payment by using the bank systems throughout three days or, sometimes, even more. This creates doubt for the sender, as well as the receiver of the money. With crypto transactions, you will be able to track it every second, and you will be able to know the exact time the funds are delivered. This, on the other hand, creates trust between the sender and receiver. These kinds of deliveries are more safe and secure in the digital form, and that is one of the main reasons banks are starting to use this technology.

3. Security of currency and transactions – you are already familiar with credit card fraud and identity theft. Instead of worrying about purchasing something online, cryptocurrencies are at the moment, the safest and easiest means of shopping online, without risk or loss of money.

4. Confidentiality and privacy – banks will require full knowledge of all your details, while cryptocurrencies do not require more information than you are willing to give. Your payment is strictly made between you and the receiver of the funds. Hence it is perfect for people who want privacy and anonymity. Of course, you should keep in mind that different coins come with a different kind of anonymity, and before purchasing anything, you will need to do some research.

5. It is available to everyone – since all cryptocurrencies are easily and without effort accessed on a decentralized network, anyone can earn cryptocurrencies. The wide range of Blockchain applications that are developed or are being developed is designed to make access to banks, bank charges, and high-interest loan rates less severe. They are designed to be available to everyone in the marketplace.

6. Quicker transactions – when buying property or vehicles, the costs, time with bank approvals, and drawing up contracts can be stressful and time-consuming. Cryptocurrencies enable you to make immediate payments on property and asset transactions. These transactions do not require a middle-man, and since the blockchain is decentralized, it is solely based on a peer-to-peer system that also avoids any kind of currency exchange difficulties in cross-border transactions. The smart contract process will make sure that the transactions are recorded and legitimate, without any legal or broker costs.

Conclusion

source: goemerchant.com

In short terms, you can see that cryptocurrencies are not only beneficially for the wealthy and privileged, it is something that will be able to enhance the lives of everyone, even ordinary people, doing ordinary things. It is the way of future payment methods.