Cryptocurrency is a breakthrough that symbolizes the relationship of social life to digitalization. The basis of this breakthrough is the transformation of the traditional form of the economy. What is meant by economic transformation can be explained as the reliance of established commercial assumptions, beliefs and habits on an alternative plane.
Cryptocurrency in the most general sense means the money of the digital age. The transition to digital and the transformation of almost everything by digital is a reality we live today. In this reality, it is not surprising that economic habits change like everything else. In fact, it is possible to say that trading, in other words, trading has taken on a new form.
It becomes possible to earn and save money without any bank, merchant or financier. It would not be wrong to say that what makes this possible is the money of the digital age. Together, we can begin to examine everything there is to know about cryptocurrencies.
What is Cryptocurrency and How Was It Born?
Cryptocurrency is digital, encrypted and decentralized money. So what is digital, encrypted and decentralized money? The reason why it is digital money is that it has entered our lives depending on virtual technology. The fact that it is an encrypted money technology explains that it is a property only from its owner.
The intent here is to perform encryption with cryptography to ensure the security of cryptocurrencies. The absence of centralized loyalty means that digital currencies are not sanctioned by second parties. This decentralized and digital currency technology was first used in 2008 under the name ‘ Bitcoin ‘.
Bitcoin is still one of the most influential among the money technologies that are increasing in number today. It is possible to say a lot about money and its history. It should be noted that digital money has a sensational identity as of its birth.
The person named Satoshi Nakamoto, whose real identity is unknown even today, is the creator of Bitcoin. Of course, although this person is not known to be a real person; It can also represent any community.
Digital Transformation of Traditional Money Form
Money is a tangible structure that facilitates people’s relations with each other. Its concreteness is defined by its ability to be held and counted. For a long period of history, money also helps people meet their needs.
Thanks to money, people have not only fulfilled their needs but also started to increase the value they have. In the simplest and shortest terms, the birth of trade and the stock market can be explained in this way. This habit, which has been going on throughout history, is experiencing various transformations in today’s digital revolution.
The buying and selling instinct underlying the habits remains constant. What has changed is the transformation of the way they are realized. One of the areas affected by digitalization is the economy. The use of crypto and money concepts side by side also corresponds to this process.
There is a money that cannot be tangibly and cannot be counted. This coin can also fulfill all the features of its traditional form in the same way. In this way, the door of an unlimited and timeless habit is opened.
What are the Distinctive Features of Cryptocurrency?
1) You can shop wherever you are thanks to digital money technology. Whether you live in the local market or in a different continent, you can easily transact with digital money.
2) There is no need for your personal and identity information to be known by second and third parties. Thanks to crypto trading, your information remains safe with you. You do not have to transfer to any person or institution.
3) Thanks to the ‘Blockchain’, you have access to full system security. A complete abandonment of traditional money-keeping policies provides you with a new search for security. The movements of individual users also provide the formation of a huge blockchain. Thanks to this blockchain, there is no need for any concrete documents.
4) Cryptocurrency is not carried in any bag or safe, so you can always have it with you. No border policy can stop you. You will have the opportunity to carry your digital money as you wish on a national or international scale. In this sense, you have access to a placeless money identity.
5) The digital currency system also provides a comprehensive auditing process to its users. Thanks to this control, people can safely implement their monetary policies. They also make sure that account information and activities are not shared with other sources.
6) Cryptocurrency transactions cannot be exchanged as in traditional currency trading. In other words, if a transaction has taken place, it now gains value as a finished transaction. Thus, certain negative features are eliminated for both buyers and sellers.
7) The digital currency exchange has never been seized, unlike banks and stock markets. We would not be wrong if we say that the crypto world that has survived the hacking owes this to the encryption infrastructure, of course. In this sense, it is possible to say that it is not possible to break the open source that lies at its core, at least for now.
Production Mobilization: Cryptocurrency Mining
It should be surprising that the words digital money and mining are used together. However, the correlation between the production speed of digital transformation and mining is not surprising. The reason for this may be the existence of a very fast and laborious process.
In the digital currency system, the term mining has several meanings. The first one defines that data is produced in a virtual environment and that the extracted data gives birth to other data. The second definition of data mining is the utility it produces in updating blockchains. Every data produced, or rather extracted, also ensures its own security and the security of all users.
In this way, data mining both provides the user’s income and creates the virtual firewall. Let’s add that there are some features that data mining deems necessary. To list these features:
- An advanced computer infrastructure
- Affordable electricity charges
- Powerful and uninterrupted internet
Is Cryptocurrency Really A Structure That Provides Unlimited Economic Freedom?
With the digital money you have, you get unlimited economic freedom. This freedom gives you money that you can spend whenever and wherever you want. Thus, you will have the freedom to move independently of time and place.
Digital money is a currency that you earn where you are and at the same time you can consume where you are. You can travel with the crypto value you earn. You can shop and buy the products you want. Today, it should be noted that digital money has gained validity in purchasing processes in many countries.
The fact that it is the official currency of countries such as the Central African Republic and El Salvador, which is increasing day by day, also reveals its effect. You can easily use your digital money for shopping in many European countries. In addition, you can donate to non-governmental organizations and buy surprise gifts for your loved ones.
Considering all these, crypto data stands out as an element that will continue to facilitate human life. Considering its birth and rise, it is possible to say that it will continue to exist for many more years. It may even become a system that is produced, earned and consumed by everyone all over the world.