Everything You Need To Know Before Investing In Cryptocurrency 2023

The cryptocurrency industry, such as Bitcoin, Dogecoin, and Ethereum, is a growing hot buzzword that is fueling the crypto craze these days. Although the crypto industry is only a decade old, inexperienced investors are looking for a quick way to make a profit.

Unlike the stock market, the crypto market has no control and, as a result, its value moves up and down every day. Due to the extreme volatility of these digital currencies, here is everything you need to know before investing in the cryptocurrency market.

What is Cryptocurrency?

Cryptocurrencies are digital assets- you can also use them as investments and for online purchases. It is cryptographically safe, counterfeit, or almost impossible to double the cost.

Note that cryptocurrency does not physically exist, which means you cannot pick up and hold bitcoin in your hand. And unlike the Indian rupee, there is no central authority to manage the value of cryptocurrency. Instead, these functions are widely distributed among cryptocurrency users via the Internet.

Furthermore, each coin of cryptocurrency has a unique program or code. This means that it will not be copied, tracking them easily and identifying them as being traded.

How does it work?

Cryptocurrencies do not have the support of central authorities such as the government. Instead, they run on a range of computers. It is a peer-to-peer exchange on the web without any intermediaries.

Cryptocurrencies are decentralized – that is, no government or bank manages how they are made, what their value is, or how they are exchanged.
All crypto transactions are cryptographically secure, meaning that only the sender and the intended recipient can view their contents.

Is cryptocurrency the same as blockchain?

No, blockchain is a technology that enables the presence of cryptocurrencies. Blockchain is a digital ledger of transactions distributed over a network of computer systems. Think of it as a ledger that shows the entire history of the currency.

Simply put, it is a recording information system that makes it impossible to hack the system. Each block in the blockchain contains multiple transactions, and whenever a new transaction is made on it, a record of that transaction is attached to each participant’s ledger.

The blockchain database can store large amounts of information that multiple users can access and use at the same time.

But what makes Blockchain unique is that it is not owned by a single person or company, making it more secure and reliable. Since no one controls the blockchain, they cannot take or rewrite records.

How can you store your cryptocurrency?

Cryptocurrency can be stored in so-called ‘wallets’, which can be accessed using your ‘private key’ —the crypto equivalent of a super-secure password — without which the crypto owner cannot access the currency.

A crypto wallet stores a private key that gives the user access to their cryptocurrencies, allowing someone to send and receive cryptocurrencies such as Bitcoin and Ethereum.

Note that your coins are stored in a blockchain and a private key is required to transfer those coins to another person’s wallet.
There are different types of crypto wallets available that cater to different needs related to security, reliability, accessibility, etc.

What types of cryptocurrencies exist?

Bitcoin is the most traded cryptocurrency that everyone knows and talks about, but it is not the only type of cryptocurrency.
There are Litecoin, Polkadot, Chainlink, Mooncoin, Shiba Inu, Dogecoin, etc. According to Coinmarketcap, there are currently over 6,000 coins in existence.

Bitcoin is the most stable coin. As the first cryptocurrency, bitcoin was trading below the dollar. Over the years, bitcoin has gained price momentum and surpassed the $1 trillion market cap. Related:-How to know when to Buy and Sell Cryptocurrency 2020

Meanwhile, investors should explore their options and choose an asset that can meet their needs.

How to buy cryptocurrency?

Just like the stock market, the crypto market has exchanges or brokers who are facilitators. These exchanges often charge a fee or commission for each transaction. Some even offer rewards for hitting milestones, some as a joining bonus. This policy may vary with each exchange.

Some of the top crypto exchanges in India are – WazirX, CoinDCX, CoinSwitch Kuber, and Unocoin. users need to sign up with their KYC credentials, download the app, and buy cryptocurrency. These exchanges also help you monitor the value of cryptocurrency and buy or sell it.
Crypto exchanges rely on investors for possession of the cryptocurrency. This happens when users deposit crypto to sell and some new users come to the exchange to buy it, facilitating trading.

Cryptocurrency can be partially bought. For example, if you are willing to buy one bitcoin, you do not need to buy a full bitcoin (BTC) to own something.
You can buy a fraction of a bitcoin. You can own at least 0.0000000001 BTC. The same is the case with all cryptocurrencies.

Can you get cryptocurrency for free?

Yes, you do not need to buy cryptocurrencies. You can also obtain cryptocurrency by solving cryptographic equations through the use of a computer. This process involves validating a data block and adding transaction records to the blockchain.

It is also worth noting that some cryptocurrencies like Bitcoin are limited in supply, which means there is a maximum number of coins that will ever be in circulation.

Others like Ethereum do not have a maximum limit but do limit the number of new coins that can be generated each year.

What can you buy with cryptocurrency?

India is slowly opening up to the idea of accepting it as a valid payment method. There are some practical issues with cryptocurrency, as it absolutely cannot be used for daily transactions.

However, there are ways to use your crypto to facilitate payments. Bitcoin trading site Unocoin is now allowing its users to purchase vouchers from over 90 different brands using Bitcoin.

Using these vouchers, you can buy Domino’s Pizza, ice cream from Baskin Robbins, beauty and health products from Himalaya, and even home appliances from Prestige.

In the US, retailers such as Whole Foods, Nordstrom, Etsy, Expedia, and PayPal are now letting people pay using crypto.

How stable are cryptocurrencies?

Bitcoin rose to $40,000 (around ₹ 29.70 lakhs) in January this year. Continuing its bull run, it reached an all-time high of $65,000 (approximately ₹48.27 lakhs) by the end of April.

Then in May, it fell and remained below $30,000 (approximately ₹ 22.28 lakh) throughout June. Again the prices have skyrocketed, and at the time of writing this article, bitcoin is worth around Rs 51 lakh.

This shows that cryptocurrencies are extremely volatile. The cryptocurrency market thrives on speculation. Investors place speculative bets that cause a sudden inflow or sudden outflow of funds, leading to high volatility.

Additionally, the crypto market is seen as a way to make quick profits. Part-time people come with the hope of making a quick profit, but sometimes when it doesn’t happen, they lose patience and hold back from it. This recurring participation and withdrawal contribute to the volatility of digital coins.

Is it legal tender in India?

At the moment, there is a legislative framework covering cryptocurrencies in India. But that doesn’t mean that owning cryptocurrencies is illegal.
Meanwhile, India is yet to present the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, which will lay down the regulatory framework for the launch of an “official digital currency”, which was to be introduced in the budget session of Parliament, but It was not organized.

As the government continues the discussion with the stakeholders. So far, only a few countries have accepted cryptocurrencies as legal tender, and the list is expected to remain short.

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What Is Blockchain Technology? How will Blockchain Work? 2024

Blockchain Smart World

Blockchain Technology to Revolutionise the Gaming Industry 2025

October 20, 2024 TECH TEAM Blockchain Technology, gaming industry

Techies in the gaming industry have always been the guinea pigs of the technology world, and right now they are teeming with the buzz around blockchain technology.
It is now believed to be the world’s leading software solution for digital assets.
After finding its successful application in almost every field—including finance, agriculture, and geospatial areas—blockchain, the decentralized technology developed by an anonymous Satoshi Nakamoto, is now making an entry into the gaming space.
In fact, some believe that the gaming industry is the first to see the next generation using blockchain technology.

Blockchain Technology to Revolutionise the Gaming Industry

The journey of the gaming industry

Since ancient days games have been an eternal part of human culture for social interaction. Back then, we did not have access to technology, and games were limited to the real world.
Later, with advancements in technology, the era of video games was introduced, following which we had games that could be played on PCs and mobile phones.
Earlier, these games were mostly limited to one player, or another player sitting next to us. All of this changed as game developers brought massively multiplayer online (MMO) games—games that allow several players on the same server. Related:-What Is Blockchain Technology? How will Blockchain Work?
Now, they are trying to shift their focus toward blockchain technology.

The gaming industry today
The gaming industry is one of a kind and is fascinating for developers as well as users and investors. However, it still has several pain points.
Let us introduce you to some of these, so you know how blockchain can resolve these issues.
Fear of losing digital assets
Some of us spend a lot of time and, sometimes, money to acquire precious assets in a game. But, there is always a fear that we can lose any day.
Several scenarios can result in this outcome. The game creator might go out of business, or some central authority might ban us from playing the game.
This happens all the time, as we do not own these digital valuables. Rather, these are on a centralized server.
Digital assets of one game have no value in another
Suppose, you have spent a lot of time and money to obtain a sword in one game. You complete the game and want to move on to the next one. Related:-Blockchain Technology Explained
You cannot use this sword in the new game, as it does not belong to you (even though you spent time and money acquiring it). You cannot exchange it for something else in another game, either.

Separate servers for different regions

In an MMO role-playing game, there are separate servers for different regions. In fact, many sub-servers are required to form the whole system.
So, if there are players from different regions, multiple servers are used. Also, if one server crashes, a large area loses connectivity.
Micro-transaction is a myth
Free-to-play games are based on the strategy to offer low-cost items, which are upgraded step-by-step by paying an almost negligible amount. Gradually, this small amount may add up to a large amount.
For example, a game may offer a sword for US$ 15 and then upgrade it to the next level for US$ 0.25. Game developers can add, say, 100 upgraded features.
We, as players, do not think too much before buying something worth US$ 0.25. Hence, more of us end up buying an item and upgrading it without knowing how much we end up spending on it.
However, traditional payment methods do not allow these micro-transactions. Payment channels like PayPal charge US$ 0.35 + 2.5 percent of the transaction amount. Thereby, true micro-transaction is a myth in the gaming industry right now.

Developers are cheated
Credit card companies, especially in western countries, are extremely good at protecting their customer’s rights. If you have any issues regarding a purchase on your card, you are free to raise a dispute and ask for your money back.
In that case, there is very little a game developer can do.
Moreover, game developers have to pay a penalty for every disputed transaction. Because of this, the gaming industry loses millions of dollars in customer support each year.

Blockchain to the rescue

Blockchain technology has the potential to end all of the above problems. Games based on blockchain technology offer solutions for game developers as well as players. There are infinite possibilities that blockchain has to offer. Some benefits are given below.

True ownership of virtual assets

In blockchain games, virtual assets belong to you, since you bought these. Creators, too, cannot take these assets away.
These virtual assets may be stored in the form of tokens in your digital wallet. The tokens can be fungible or non-fungible. Related: Exide’s EV Battery Plant with Swiss-based Leclanche Operational by Dec in Gujarat
With blockchain games, you do not lose your digital assets, even if you get banned from, or quit, a game, or the company shuts down.

Inter-game compatibility

Since characters, items, or karma of the games are stored on the blockchain, it allows you to see your existing characters or items on a completely unrelated game.
This could open a new era of gaming where characters from different game genres could play together in one game.
In case you are building your own game, instead of building new characters, you can use assets of an existing game or invite players from large game communities to instantly jump into your game with the characters they already have. This is one of the coolest features of blockchain technology.

Uniformity in virtual assets of different games

The design of blockchain games is fundamentally different from traditional ones.
These games do not allow the in-game currency to get generated infinitely.
Presently, in some games, gold coins can be generated by killing a monster, while in others, these might be a scarce resource. Blockchain can end this infinite generation of coins in a game.

End the need for sub-servers

Blockchain technology in MMO role-playing games ends the need to have different servers or sub-servers for different regions. Related:-Sodium Batteries will Replace Lithium-ion Ones, says Scientist C N R Rao
Hence, there can be no blackout in a particular region due to failure in the server of that or another region.
Cheap and secure trading of virtual assets
Blockchain allows you to convert your virtual assets into tokens, making these free for buying, selling, and trading at will.
A record of all transactions is present on the blockchain itself, eliminating the threat of fraudulent activities.
Game characters, items, and the like can be managed through smart contracts, as has been done in Cryptokitties—a game that created much hype in the blockchain industry.
Blockchain technology even has the potential to offer micro-transactions involving cryptocurrency in transactions.

Building blockchain games

Realizing the potential of blockchain technology for next-generation online games, developers have already started using it across several verticals in the gaming industry.
There are several platforms for the development of blockchain games, in addition to payment gateways for purchasing such games.
While some are already in the market, others are in beta mode or have raised funding through Initial Coin Offering.
Every project has its own aim, but all of these together seem promising for building the future of gaming.

Blockchain games available today

There are many blockchain-based games available in the market. Most are built on Ethereum, like Crytopkitties. The game uses ERC 721 tokens, which are non-fungible, indivisible, and unique.
It uses smart contracts for the ownership and distribution of virtual cats. It is considered the first non-financial application of blockchain.
Other blockchain games are Ethermons, Cryptopets, Cryptopuppies, and Etherarmy.
Ethereum is not the only blockchain to attract game developers. A blockchain game called Spell of Genesis is built on Bitcoin.

Payment systems

There are a number of blockchain-based platforms that are built for selling, buying, and promoting online games. Some of these are GameCredits, Enjincoin and Refereum.
Gaming corporations, like Valve Corp., allow you to buy games through Bitcoin.
The platform for building blockchain-based games
Such platforms promise to offer all the features discussed above for blockchain games. These aim to simplify owning, sharing, and trading of virtual assets.Related:-PS4 Price in India Drops to Rs. 29,990, New 1TB Bundle Available Mid-September

Platforms such as Bitguild and Chimaera are expected to launch this year. There are other platforms like Decentraland and Voxelus that offer a virtual space for blockchain-based 3D graphics and games.

Blockchain technology has already started expanding its roots in almost all verticals of the gaming world.

From the tokenization of virtual goods to improving betting and payments, every field is undergoing several experiments.

Although it has a lot to offer, there are issues of speed with blockchain, especially when it comes to MMO role-playing games.
At present, we have an MMO role-playing game based on blockchain, but it is still in beta mode.

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What Is Blockchain Technology? How will Blockchain Work? 2024

Blockchain Smart World

What Is Blockchain Technology? How will Blockchain Work? 2024

October 4, 2024 TECH TEAM blockchain 6.0, Blockchain Technology, cryptocurrency, What Is Blockchain Technology?

You may have detected the term “blockchain technology” before, in relevancy to Bitcoin and alternative cryptocurrencies. What Is Blockchain Technology? For the inexperienced, the term may appear abstract with very little real that means on the surface.
However, blockchain technology may be an essential component of cryptocurrencies — while not, digital currencies like Bitcoin wouldn’t exist.
If you’re unaccustomed to cryptocurrencies and unaccustomed to blockchain technology, browse this and orient the fundamentals to urge yourself started. If you’re already a seasoned bargainer, perhaps you’ll learn a factor or 2 you didn’t already understand. summary of blockchain technology

What Is Blockchain Technology? How will Blockchain Work?

A Brief History of Blockchain

To start, let’s refer to the history of the blockchain. Before it absolutely was ever utilized in cryptocurrency, it had humble beginnings as an inspiration in computing — notably, within the domains of cryptography and information structures.

The terribly primitive style of the blockchain was the hash tree, additionally referred to as a Merle tree. This organization was proprietary by Ralph Merkle in 1979 and functioned by substantiating and handling information between pc systems. in an exceedingly peer-to-peer network of computers, confirming the information was vital to form positive nothing was altered or modified throughout the transfer.

It additionally helped to make sure that false information wasn’t sent. In essence, it’s accustomed to maintaining and proving the integrity of the information being shared.

In 1991, the Merkle tree was accustomed to producing a “secured chain of blocks” — a series of information records, every connection to the one before it. the latest record during this chain would contain the history of the whole chain. And thus, the blockchain was created. Related:- Exide’s EV Battery Plant with Swiss-based Leclanche Operational by Dec in Gujarat

In 2008, Satoshi Nakamoto conceptualized the distributed blockchain. it’d contain a secure history of information exchanges, utilize a peer-to-peer network to time stamp and verify every exchange, and be managed autonomously while not a central authority. This became the backbone of Bitcoin. And thus, the blockchain we all know these days was born, yet because of the world of cryptocurrencies.

How will Blockchain Work?

1. Blockchain keeps a record of all information exchanges — this record is cited as a “ledger” within the cryptocurrency world, and every information exchange may be a “transaction“. each verified dealing is added to the ledger as a “block”
2. It utilizes a distributed system to verify every dealing — a peer-to-peer network of nodes
3. Once signed and verified, the new dealings are added to the blockchain and may not be altered

To begin, we want to explore the thought of “keys”. With a group of cryptologic keys, you get a singular identity. Your keys square measure the personal Key and Public Key, and they’re combined to relinquish you a digital signature.

Your public secret however others square measure able to determine you. Your key offers you the facility to digitally sign and authorize different actions on behalf of this digital identity once used along with your public key.

In the cryptocurrency world, this represents your pocketbook address (public key) and your personal secret which lets you authorize transfers, withdrawals, and alternative actions along with your digital property like cryptocurrencies.

As associate degree aside, this {can be} why it’s thus vital to keep your personal key safe — anyone World Health Organization has your personal key and can use it to access any of your digital assets related to your public key and do what they need with it! Related:- PS4 Price in India Drops to Rs. 29,990, New 1TB Bundle Available Mid-September

Every time a dealing happens, that dealing is signed by whoever is authorizing it. That dealing may well be one thing like “Alice is causing Bob zero.4 BTC”, can embody Bob’s address (public key), and can be signed by digital signature exploitation each Alice’s public key and a personal key.
This gets added to the ledger of that blockchain that Alice sent Bob zero.4 BTC, and can additionally embody a timestamp and a singular ID variety. once this dealing happens, it’s broadcasted to a peer-to-peer network of nodes — essentially alternative digital entities that acknowledge that these dealings have occurred and add it to the ledger.

Each dealing in this ledger can have constant data: a digital signature, a public key, a timestamp, and a singular ID. every dealing are going to be connected, thus if you progress back one dealing within the ledger, you’ll see that Chuck sent Alice zero.8 BTC at it slow.
If you progress back to another deal, you may see that Dan sent Chuck zero.2 BTC at another time before that.

The namelessness of cryptocurrencies returns from the fact that your public secret’s simply a randomized sequence of numbers and letters — thus you’re not virtually sign language along with your name or some variety of handle. A public key doesn’t tell you the $64000 identity of the author. Related:- Exide’s EV Battery Plant with Swiss-based Leclanche Operational by Dec in Gujarat

you’re adding additional or less unengaged to generate as many key pairs as you wish and have multiple cryptocurrency wallets. Be warned though, there may well be alternative ways that somebody will fathom your identity — for instance, through your defrayment habits.

Why is Decentralization thus Important?

For enthusiasts of blockchain, you’ll hear loads regarding the localized side of it. What makes this thus appealing is that it makes the blockchain proof of censorship, tampering, or corruption.

Because it uses a peer-to-peer network, copies of the ledger square measure kept in many alternative locations, and unless you manage to trace down every single one amongst them (Bitcoin is calculable to own over thirty-five,000 nodes in its P2P network), you can’t destroy it. Related:- Blockchain Technology Explained

As well, as a result of such a large amount of totally different, freelance nodes square measure keeping track of the ledger, modifying it in associate degree tricky method won’t go terribly so much as a result of all the opposite nodes can trouble that dealings and won’t add it to the ledger.

This is a large part of why such a large amount of individuals believe blockchain technology is the way forward for currency, and why it’s being adopted in industries aside from cryptocurrency.

There’s continuously a drawback. However, like several systems created by humans, there square measure continuous downsides.

Blockchain technology incorporates a pretty steep learning curve. particularly for the everyday individual while not have a technical background, all the jargon and computing ideas concerned might intimidate and pall otherwise would-be users.

However, the rising quality of cryptocurrency is leading to the blockchain getting into the thought, with loads of additional resources offered to form the subject additional approachable.

Transferring, trading, and shopping for cryptocurrencies typically involves a dealing fee, and isn’t typically fast. the previous may be pricey, the latter inconvenient. Related:- Blockchain Technology Explained

There is additionally an inspiration referred to as the “51% attack” — if, for a few reasons fifty-one of a peer-to-peer network validates associate degree otherwise invalid dealings, it’ll still get approved and added to the ledger naturally of however the validation method works.

perhaps straight away it’s unlikely to happen, however, it’s a security flaw that may have the potential for exploitation in the future.
However, there square measure loads of developers, users, and enthusiasts World Health Organization believes blockchain technology is the future. several wishes to examine the technology succeed, thus keep tuned for brand spanking new developments! Related:- Sodium Batteries will Replace Lithium-ion Ones, says Scientist C N R Rao