What do you think of cryptocurrencies?

Cryptocurrency is one of the directions of currency reform. With the development of blockchain technology, cryptocurrency (digital currency) is a currency that central banks of various countries are working hard to promote. Although cryptocurrencies, such as Bitcoin, have appeared in the world, most countries around the world do not accept them because they cannot be regulated; the United States has not officially approved their listing and trading, and a Bitcoin trading platform has not yet been established. Although many people in the industry are calling on the U.S. government to establish a regulated Bitcoin trading platform, and the real economy company Tesla has made a high-profile claim to have purchased Bitcoin...

There is no doubt that central banks of various countries have Interest in digital (encrypted) currency is growing, with active research and trial implementation and testing; at the 4th China International Import Expo in Shanghai, China, the People's Bank of China and the Industrial and Commercial Bank of China carried out the promotion of digital renminbi and scenario applications , foreign currencies are freely convertible into digital renminbi, etc. It can be expected that the digital renminbi will be rapidly popularized and applied in Shanghai, China, and other places in the near future.

In short, we should view encrypted (digital) currencies with a positive attitude, be happy to participate in them, and actively apply them.

If we talk about cryptocurrency alone, the topic is a bit narrow. Let me talk about blockchain technology directly.

As a technology and information (blockchain technology) self-media person, of course I climbed on the table and stayed up late to watch it. In order to accumulate knowledge and learn the latest Internet technology, what if you don’t read it? Whether it is for life or work, blockchain technology is currently the hottest project, and I must understand it.

As a senior wage earner who is at the bottom of society, cryptocurrency is far away from me. Through study, I know that it is a trading virtual currency derived from blockchain technology. And it’s limited edition, and it’s very popular on foreign third-party platforms, rising from the initial price of 0.3 US dollars to nearly 20,000 US dollars in 10 years. Sometimes I wonder, why didn’t I buy dozens of them and put them there? In the final analysis, isn’t it because of poverty? Even if you had that kind of money back then, would you be so determined to buy that thing and keep it for nearly ten years? Some people say that cryptocurrencies, digital currencies, etc. are created by big guys to make money and are used to cut leeks. I cannot refute this, but as far as I am concerned, I am not even qualified to be a leek.

As a self-media person, I am an ordinary person who works in self-media. Regardless of my attitude toward cryptography, I had to understand it. From its origin to its implementation projects, from its basic technology to subsequent technical applications. From various ICO projects to related information, you even need to understand the stories behind these big guys who made their fortunes because of cryptocurrencies and virtual currencies. Even the dream I had last night was related to blockchain technology and various currency information.

As a bystander, I actually don’t like these things. Because I am just an ordinary person, and the word cryptocurrency is as illusory as you talking about Li Ka-shing’s money. As an ordinary person, I know that Li Ka-shing is rich, but what does that have to do with me? As an ordinary person, I know that various currencies derived from blockchain technology are very valuable, and some people have become tens of billions because of them, but does that have any direct connection with me?

It doesn’t affect my life, but it affects Leek’s life.

It doesn’t affect my life, but it affects the lives of big guys.

It does not affect my life, but it affects the order of the world.

Just like the big guys said, it may really be the cause of the fifth revolution.

Cryptocurrency was born from the innovation of the electronic payment industry, aiming to build a decentralized, person-to-person electronic currency system.

In November 2008, a paper signed by Satoshi Nakamoto was published on the Internet, titled "Bitcoin: A Peer-to-Peer Network Electronic Cash System". The paper described in detail how to use a peer-to-peer network to create an "independent currency." "An electronic transaction system that relies on trust"; in January 2009, the Bitcoin network went online and launched the first open source Bitcoin client software. Satoshi Nakamoto used this software to "compile" the first Bitcoin "block" Mining" and obtained the first batch of 50 Bitcoins; thereafter, the cryptocurrency system achieved rapid development. On the one hand, the market value of cryptocurrency continued to grow. In December 2017, the transaction price of Bitcoin exceeded US$15,000 for the first time, and the market value Reaching US$256.1 billion; on the other hand, the application scenarios of cryptocurrency continue to expand, and digital currencies such as Ethereum, Ripple, stablecoin USDT, and Libra have also been released one after another.

Since the birth of the first Bitcoin in 2009, as blockchain technology continues to mature, the cryptocurrency industry has also experienced rapid development. According to CoinMarketCap statistics, there are currently more than 2,650 cryptocurrencies. As of September 8, 2019, the total market value of cryptocurrencies was US$267.87 billion, and the total market transaction volume was US$52.63 billion. Among them, the market value of Bitcoin accounts for 70.4, with a market value of 188.5 billion US dollars, while the market values ??of ETH (Ethereum) and XRP (Ripple) are 19.2 and 11.2 billion yuan respectively.

For a long time, decentralization, throughput, and security have always been incompatible, forming the "impossible triangle" paradox in the field of digital cryptocurrency. For example, the biggest problem of the Bitcoin network is its low scalability caused by its low throughput. The Bitcoin network can currently only handle up to 7 transactions per second, which greatly limits the application scenarios of Bitcoin as a transaction method. Other Bitcoin forks have improved on this basis, but the limitations are still obvious; Ethereum pursues scalability and centralization, but sacrifices security. The previous "TheDAO" incident (hackers used smart contract vulnerabilities to transfer funds) This is an example; EOS adopts the super node model and achieves a throughput of one million transactions per second at the expense of partial sacrifice of decentralization features.

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1. Cryptocurrency:

1. Based on the decentralized sharing mechanism, distributed ledger blockchain technology, presented in the form of electronic wallets and private keys, blockchain Automatic crediting, decentralized settlement, cannot be seized or frozen, as opposed to the banking financial system that relies on centralized supervision;

2. As of May 2018, there are more than 1,800 cryptocurrency standards, mutual Untrusted participants maintain the security, integrity, and balance of the ledger;

3. In 2009, Bitcoin became the first decentralized cryptocurrency, and the same type of currency other than Bitcoin is called For: altcoins, alternative coins;

2. Market value and quantity:

1. In July 2019, there were 2,600 cryptocurrencies circulating in the market;

2 .As of May 2021, there are 9,996 cryptocurrencies and 381 cryptocurrency exchanges;

3. Early May 2021: Total market value: approximately US$2.3 trillion, total market value as of May 21: About $1.58 trillion.

Bitcoin accounts for the absolute majority of market capitalization and transactions, followed by Ripple, Ethereum, etc.;

3.1. Bitcoin: Code: BTC, creator: Satoshi Nakamoto in 2009, maximum circulation: 2100 Ten thousand

2. Ripple Coin: Code: XRP, Creator: Ripple Labs in 2013, Maximum circulation: 100 billion

3. Litecoin: Code: PPC, creator: Coblee in 2011, maximum circulation: 84 million

4. Ethereum: Code: ETH, creator: Vitalik Buterin in 2015, maximum circulation: unlimited

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4. The top ten famous cryptocurrency exchanges in the market:

1. Binance, Malta; 2. Huobi, Singapore; 3. OKEX, Malta; 4. Bitcoin , Hong Kong; 5. Coinbase, United States; 6. Bitfinex, Hong Kong; 7. ZB.com, Hong Kong; 8. Bithumb, South Korea; 9. Bit-Z, United States; 10. Bitflyer, Japan;

5. Difficulty and risks of government legal supervision:

Difficulty: invasion of privacy, hindering innovation

Risks: drug trafficking, money laundering, barbaric growth, individuals and institutions involved in bankruptcy and relative gains;

Personally, I am quite optimistic about cryptocurrency.

The earliest cryptocurrency is Bitcoin. Bitcoin was born in 2008. At that time, the world was in the midst of a major financial crisis. This crisis was triggered by the United States and swept the world. Sovereign countries were issuing currencies indiscriminately, leading to People are particularly dissatisfied with the severe depreciation of currency and high inflation. People are particularly eager for the emergence of a digital currency that can preserve and appreciate value. Against this backdrop, Bitcoin emerged and has gradually been recognized and sought after by the market.

Bitcoin actually solves a credit crisis. Bitcoin has the characteristics of decentralization, transparency, and global payment, which solves a common credit problem. However, Bitcoin is not perfect. The network congestion market occurred, which led to the emergence of Bitcoin Cash. Bitcoin Cash, as the twin brother of Bitcoin, gradually gained market recognition.

In addition, some giant companies in the technology and financial circles are also optimistic about cryptocurrency and believe that cryptocurrency is a trend in future development and may replace legal tender in the future. Most governments around the world also affirm it. The underlying technology blockchain is also making efforts in blockchain.

What do you think of cryptocurrency?

Cryptocurrency is a new type of financial instrument that uses blockchain technology to achieve anti-counterfeiting and verification functions that were previously difficult to accomplish with electronic currency.

Previous electronic currencies were controlled by centralized systems, such as QQ coins. If you can hack into Tencent's servers, or exploit Tencent's vulnerabilities, or have them quietly tampered with by Tencent's internal staff, you can have a large amount of QQ coins for no reason. In fact, these modified QQ coins are real because they can be used normally. But from a legal sense, these are "counterfeit coins" because they were not produced through reasonable procedures. For example, I believe everyone has heard of brushing Q coins.

These are all problems with previous electronic currencies. Now, blockchain technology can add a unique encrypted identification code to these electronic currencies, and associate it with the previous and subsequent information, so that it can be recorded link by link like a chain. In this way, the anti-counterfeiting and verification of electronic currency can be achieved. This is the nature of cryptocurrencies.

Cryptocurrency on the blockchain can be traced back to the person who originally held the cryptocurrency, who he traded it to, and how it was transferred to you step by step. These can all be queried. If there is no corresponding record on the blockchain, then the cryptocurrency is "fake." This is the nature of cryptocurrency.

In the final analysis, cryptocurrency is a tool. What role a tool can play depends on what the person who uses it does. A good fruit knife can be used by chefs to cut fruits and sculptors can use it to carve works of art. How you look at it depends on how it is used.

As Bitcoin surges, will cryptocurrency be the future of money? What exactly is the value of cryptocurrencies?

When Bitcoin came out, the first decentralized cryptocurrency was born. Many investors say they like cryptocurrencies because "the cryptocurrency market has huge potential for value-added and market expansion" and "the freedom that new financial technology can bring."

Indeed, Bitcoin has exceeded the value return by at least thousands or even tens of thousands of times since its birth. Of course, the recent sharp rise in Bitcoin has also attracted the attention of the market. The top 100 97 digital currencies are also rising, and Bitcoin is approaching the $7,500 mark. I believe many people are already free!

However, the skyrocketing price of Bitcoin has made the U.S. Congress unable to sit still. It has held two hearings in succession to establish an influential global cryptocurrency system. Could it be that it is another "Bretton Woods System" "To build?"

The frequent hearings cover multiple aspects such as security, supervision and attribute identification in the encryption field. It can be said that there is a left hook and a right hook. This kind of "combination punch" style attack is a bit unreasonable. Zhao Zhixin is known to everyone on the road! I want to be a big brother in the field of crypto-finance and pursue "great future".

At the hearing of the House Financial Services Committee titled "The Future of Currency: Cryptocurrency," former CFTC Chairman Gary Gensler said at the meeting: "There is no support behind gold; It’s a cultural norm that we’ve loved gold for thousands of years. We see it as a store of value, so Bitcoin is the modern form of digital gold, a social construct.”

While many cryptocurrencies view it as It sounds like a Ponzi scheme, and such scams have also occurred in the field of digital currency. However, when more people gain knowledge about this currency, it can play an equivalent role just like gold. Then cryptocurrency will have its value!

Barr asked: "Are cryptocurrencies simply a new way to retain and transfer value that has limited impact and niche appeal, or will they have profoundly transformative effects?"

Cryptocurrency is indeed a new approach, one based on decentralization. Cryptocurrency is based on blockchain technology. The development of blockchain allows society to rethink the nature of money. Cryptocurrency may represent the "future of property."

At the same time, some people say that cryptocurrency is not a real currency and brings significant risks to investors. Regardless of the noise, we can see the United States trying to establish its influence in cryptocurrencies.

We are on the eve of a huge change. 99% of people cannot see it, 0.8% of people look down on it, 0.19% of people understand it, and 0.01% of people are taking action! We believe you are also one of those 0.01 people.

Irregular airdrops of candy~

Cryptocurrency, also known as digital currency and virtual currency, acts as a medium of exchange to a certain extent. It runs on blockchain technology and uses cryptography to verify transactions and ensure their security. Essentially, a cryptocurrency is a limited entry in a database that no one can change unless certain requirements are met. At present, many people's attitudes towards cryptocurrency are at two extremes. Some people believe that cryptocurrency breeds countless new opportunities and is a good channel that may help them achieve financial freedom. Others believe that cryptocurrency is just a bubble and a waste of money. The method used by farmers to harvest leeks. But everything has two sides. We can neither blindly pursue cryptocurrency nor beat it to death with a stick. Here I would like to briefly introduce the history of cryptocurrency, and then talk about cryptocurrency from both the pros and cons:

The history of cryptocurrency: In fact, as early as the 1990s, when the technology boom broke out, There are many people trying to create digital currencies. At that time, systems such as Flooz and Beenz appeared on the market. Among them, Flooz tried to create a currency unique to Internet merchants, while Beenz was an online currency. Developers allowed users to obtain Beenz by browsing the web, shopping online, etc.

However, in the end, these systems failed due to a variety of factors, including fraud, financial problems, and friction between company owners and employees. It is worth noting that these systems all use trusted third parties to ensure their operation. That is, the companies behind these systems are responsible for verifying transactions and promoting smooth transactions. And because these companies ultimately failed, building a digital cash system was seen as a doomed enterprise for a long time. By 2009, an anonymous programmer (or possibly a group) launched Bitcoin under the name "Satoshi Nakamoto" and defined it as a "peer-to-peer electronic cash system." Bitcoin is decentralized, which means that there are no servers and no central control agency in the transaction process. Since the launch of Bitcoin, the concept of “cryptocurrency” has gradually become more widely known.

Main advantages of cryptocurrency:

1. Easy to obtain. Investors around the world can easily acquire cryptocurrencies as long as they are willing. You can find many projects that hope to raise funds through cryptocurrency, and almost anyone with online transfer conditions can participate in these projects;

2. Payment and settlement are very convenient. To pay with cryptocurrency, you don’t have to link a debit card, credit card, etc., or enter personal information, but only a wallet address of the other party. And since there is no third-party institution in the transaction process, cryptocurrency payment and settlement are much more time-consuming than traditional payment methods;

3. Low transaction fees. If you use online channels, bank gateways, etc. to transfer money, the transaction fees are relatively expensive, while the transaction fees using cryptocurrency are much lower in comparison;

4. Security. Due to decentralization, users do not need to share their identity or whereabouts with third-party institutions such as banks, nor do they need to share transaction details with transaction partners, which greatly improves transaction security. Although the anonymity of some cryptocurrencies is currently questioned, the security of transactions still has advantages over traditional methods.

Main Disadvantages of Cryptocurrency:

1. Difficult to understand. To the general public, “cryptocurrency” is actually a relatively abstract thing. In order not to miss this "get rich car", many people will eventually rush into investing blindly without full understanding and sufficient knowledge reserves, causing financial losses;

2. There is no way to recover from mistakes. account. If you transfer the wrong amount using cryptocurrency, the amount paid cannot be refunded. All you can do is ask the person you transferred to for a refund, but if your request is rejected by the other party, the money will not be returned;

3. Price volatility is huge. Many people lament that "a day in the currency circle lasts a year in the cryptocurrency industry." Part of the reason is that the price of cryptocurrency fluctuates too much;

4. There is a lack of supervision and the environment in the industry is chaotic. Due to the anonymous nature of cryptocurrency, many criminals use this method to conduct illegal activities, such as fraud, money laundering, etc. However, currently no country in the world has adopted sound regulatory measures for cryptocurrency. Without legal recognition by sovereign states and lack of strong supervision, the situation of cryptocurrency is hardly stable.

Having said so much, let me summarize it a little. The emergence of a thing must be due to certain social needs. After all, there will be a market only if there is demand, and only with the market can the thing survive. We might as well exercise some patience. Cryptocurrency has advantages and disadvantages, which need to be analyzed in detail based on the specific situation, and should be viewed dialectically.