Crypto currency

Introduction
A cryptocurrency is a digital or virtual currency that uses encryption to prevent counterfeiting and
double-spending. Many cryptocurrencies are decentralised networks based on blockchain technology,
which is a decentralised ledger governed by consensus. a computer network Cryptocurrencies differ
from traditional currencies in that they are not backed by any government. Because they are not issued
by a central authority, they may be immune to government interference Or subterfuge

Cryptographic applications
1. Transfers of funds
The initial concept behind blockchain technology's creation is still a fantastic use. Utilizing
blockchain to transfer money can be less expensive and faster than using existing money. services of
transportation This is particularly true with cross-border transactions, which are notoriously slow and
inefficient. costly. Even in the current financial system of the United States, money transfers between
accounts might take a long time. A blockchain transaction takes minutes rather than days.

2. Financial transactions
Over the last few years, a slew of companies have sprung up to provide decentralised bitcoin
exchanges. When it comes to exchanges, blockchain enables for speedier and less expensive
transactions. Furthermore, a decentralised exchange does not necessitate investors depositing their
assets with the exchange. They have a concentrated authority, which implies they have more control
and security. While Although most blockchain-based exchanges deal in cryptocurrencies, the concept
may be extended to any other asset. Traditional investments are also available.

3. Financing
Smart contracts can be used by lenders to perform collateralized loans on the blockchain. On the
blockchain, smart contracts allow specific events to automatically trigger things like a payment.
service payment, margin call, loan return in full, and collateral release As a consequence, Lenders can
provide better rates because loan processing is faster and less expensive.

4. Coverage
Customers and insurance providers can benefit from more transparency by using smart contracts on a
blockchain. Customers would be discouraged from filing claims if all claims were recorded on a
blockchain. There are multiple claims for the same incident. Furthermore, smart contracts can help to
expedite the process. Payments must be made to claimants.
5. Investing in real estate
To verify financial information and ownership, as well as transfer deeds and titles to new owners, real
estate transactions necessitate a large amount of paperwork. Using blockchain technology to keep
track of real-world events Using real estate transactions as a means of confirming and sharing
information can be more safe and convenient. ownership. This can help you save time and money by
speeding up transactions and reducing paperwork.

6. Keep your personal information safe.

Keeping information like your Social Security number, date of birth, and other identifying
information on a public ledger may be safer than current solutions. Hacking is a possibility. Access to
identifying information can be secured via blockchain technology. In areas such as travel, healthcare,
and education, information is being made more widely available while enhancing access for those
who need it. Finance and education are two topics that come up frequently.

7. Elections
If personal identifying data is stored on a blockchain, we are only a step away from being able to vote
using blockchain technology. The use of blockchain technology can ensure that this does not happen.
Nobody can vote more than once, only eligible voters can vote, and votes cannot be tampered with.
Furthermore, it has the potential to broaden voting participation by making it as simple as pressing a
few buttons on a computer. your mobile phone At the same time, the cost of conducting an election
would plummet.

8. Government assistance
The management of government benefits such as welfare programmes, Social Security, and Medicare
is another way to employ digital identities recorded on a blockchain. Using blockchain technology
Technology has the potential to cut fraud and operational costs. Beneficiaries can receive money in
the meantime. Funds are disbursed more swiftly thanks to blockchain-based digital disbursement.

9. Securely share medical information

Doctors and medical workers can receive reliable and up-to-date information about their patients by
storing medical records on a blockchain. This can help to guarantee that patients who see many
providers receive the best possible care. It can also help to speed up the process of retrieving medical
records. In some circumstances, this allows for more timely treatment. In addition, if insurance
information is kept on file, Doctors may simply check whether a patient is insured and whether their
therapy is covered in the database covered.
10. Royalties paid to artists
Artists can be rewarded for their work by using blockchain technology to track music and film files
transmitted over the internet. Since blockchain technology was created to secure the security of
transactions, It can be used to help minimise piracy by ensuring that the identical file does not exist in
several locations. Furthermore, Using a smart contract to distribute content and a blockchain to track
playbacks on streaming services Payments can increase transparency and provide certainty that artists
will be paid. They're owed something.

11. Tokens that aren't fungible

NFTs, or non-fungible tokens, are widely conceived of as a mechanism to own digital art rights.
Putting an NFT on the blockchain stops data from existing in two places because the blockchain
prevents data from being in two places. Only one copy of a piece of digital art survives, thanks to
blockchain. That may make it more difficult.
Like buying actual art, but without the hassles of storage and upkeep. NFTs can be used for a variety
of things, but at the end of the day, they're a mechanism to transfer ownership of
something.everything that can be represented as a set of numbers. It could be a house deed or
broadcasting rights.to a video or a ticket to an event An NFT could be anything that is a little out of
the ordinary.

12. Tracking logistics and supply chains

There are various advantages to using blockchain technology to track products as they transit through
a logistics or supply chain network. First and foremost, it facilitates communication. Because data is
stored on a secure public ledger, it may be shared between parties. Second, it gives you more options.
Because the data on the blockchain cannot be changed, it provides security and data integrity. This
entails logistics. and supply chain partners can collaborate more easily, knowing that the information
they're sharing is accurate. The information supplied is correct and up to date.

13. Secure Internet of Things networks

The Internet of Things makes our lives easier, but it also allows unscrupulous actors to gain access to
our data or take control of critical equipment. By storing passwords and other data on a decentralised
network rather than a single server, blockchain technology can provide greater security. in the form of
a centralised server It also protects against data tampering because it is encrypted. The blockchain is
practically unchangeable.

14. Data archiving

When blockchain technology is used in conjunction with a data storage system, it can improve
security and integrity. It will be more difficult to hack into data that is kept in a decentralised fashion.
whereas a centralised data storage provider may simply wipe out the data on the network have a few
redundancy spots It also means more data access because access isn't restricted. Having to rely on the
operations of a single organisation is unavoidable. In some circumstances, blockchain technology can
be used to It's also possible that data storage will be less expensive.
Drawbacks
1. Cryptocurrencies are pseudonymous, despite the fact that they promise to be anonymous. They
leave a digital trail that organisations like the Federal Bureau of Investigation can follow. It is possible
to decipher through investigation. This expands the government's or federal government's options.
Ordinary folks' financial transactions are being monitored by authorities.

2. Criminals have turned to cryptocurrency as a tool for nefarious activities such as money laundering.
Money laundering and illegal purchases are examples of such activities. The case of the seller who
maintained a marketplace The existence of drugs on the dark web is well-known. Cryptocurrencies
have also grown in popularity. Hackers love them because they may be used to spread malware.
3. Cryptocurrencies are supposed to be decentralised, with their wealth spread between multiple
parties on a blockchain. In actuality, there is a lot of power in the hands of a few people. According to
an MIT analysis, only 11,000 investors held around 45 percent of Bitcoin's value. Value is increasing.

4. One of the tenets of cryptocurrencies is that anyone with a computer may mine them. has access to
the internet Mining popular coins, on the other hand, necessitates a significant amount of energy,
often as much as entire countries consume The high cost of energy, along with the unpredictability of
mining, has resulted in a concentration of resources. mining among huge corporations with billions of
dollars in revenue According to an MIT research, 10% of miners are responsible for 90% of the
country's mining capacity.
5. While cryptocurrency blockchains are extremely secure, other crypto vaults, such as Bitcoin, are
not. Hackers can gain access to exchanges and wallets. There are a lot of bitcoin exchanges and
wallets out there. been hacked over the years, resulting in "coins" worth millions of dollars stolen.
6. Price volatility affects cryptocurrencies traded on public exchanges. Bitcoin's value has risen and
fallen rapidly, reaching a high of $17,738 in December 2017 before plummeting below $7,575 in the
following months. Some economists believe that As a result, consider cryptocurrency a passing craze
or speculative bubble.

Thoughts
As institutional money enters the market, several economists foresee a significant shift in crypto.
Furthermore, there is a chance that cryptocurrency will be listed on the Nasdaq.This would lend even
more credence to blockchain and its use as a replacement for traditional financial systems. currencies.
Some believe that all cryptocurrency need is a validated exchange-traded fund. An exchange-traded
fund (ETF) is a would undoubtedly make it easier for people to invest in Bitcoin, but there is still the
need for a regulatory framework. Demand for crypto investments, which may not be generated
automatically by a fund.