Monday-Crypto Theme by Steemit Pakistan - What is Cryptocurrency?

Assalam o Alaikum! I hope all of you are doing great. Since @steemit-pak has introducted themes for each day, today's theme is of Crypto. And I wanted to take this opportunity to tell you guys about Cryptocurrency, not much in depth but just an insight or an overview of what it is. I myself don't know about it much and I can get to know it from different posts on this platform, which is great!

First of all, what does the word "crypto" mean? Well, it means concealed, hidden, secure or secret. And cryptography is a term which is used in the world of Crypto which means secret writing. The word "cryptocurrency" itself is based on different techniques of encryption that ensures secure networks. Cryptocurrency is a currency which is virtual, digital and secure and it is based on cryptography, which gives the advantage of safe and secure transactions. It can also be referred to as a digital asset which is spread over a large network of computers and the important and probably the most efficient feature of cryptocurrency is that it is decentralized.

What does it mean though? It means that it operates on its on without the need of a centralized environment. It means, it doesn't require any person, party, organization and even any form of government to manage its system. They are just maintained, handled and valued by the people who use it. It is a fully digital currency which can be used to buy, sell or make different transactions.

All of the cryptocurrencies are based on the technology which is called Blockchain. Think of it as a book, or it is mostly called as a ledger and it is supposed to store and keep a record of all transactions that are being made using cryptocurrency. Different transactions are divided into different blocks and whenever someone makes a transaction, buys or sells something, the transaction is then added in that ledger. Also the database of all these transactions is public and can be accessed by those using crypto. And the satisfying thing about this is that whenever a transaction is added, there is a validation process or you can say a confirmation process of that transaction which verifies the transaction and thus prevents any sort of fraud.

As I mentioned earlier that the word "crypto" means secure, likewise cryptography is derived from this word and it is based on different encryption algorithms or techniques which help maintain the security of networks and transactions. Cryptocurrency is based on this concept of cryptography and it gives the ability to its users with a system which is independent of any central party and also safeguards their transactions. Cryptography has various uses, some of them being, making different transactions, provide security to its users, and also verify each and every transaction being made to prevent fraudulent problems.

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The system gives a public key, which can be shared with other users, this key can be used to send or receive crypto. Other than the public key is a private key, and as it is private it is of great importance as it manages and secures your cryptocurrency and also confirms the transactions you have with others, and therefore it must be kept safe and the private key should not be shared with other users.

I hope that after reading this post, you have an idea of what cryptocurrency is, and also the different terms used for it. It was just a small overview of what it is, and what is the base of it. If there was anything which I wrote is wrong, please do correct me, as I myself is new to cryptocurrency and your advices will help me understand it more clearly.

I would like to thank @steemit-pak for taking the initiative of making themes for each day, it will surely and definitely help members of this community. As each day is specified with a theme, it would be easy for them to know what to post on each day, and this idea will maintain balance overall in the community.