Why will bitcoin destroy money? Crypto-currency, as the basis of the economy

What are crypto-currencies? Can they be trusted? Why do we need crypto currency? What is the revolutionary character of crypto currency? How will crypto currencies change the future? Why do crypto currencies support the ideas of libertarianism and anarchocapitalism? When to expect a sharp increase in the cost of crypto currency? All that you wanted to know about crypto-currencies, you will find in today's article.

Today's article is a continuation of our yesterday about the economic problems of our time. What are their solutions? For many years, the ideas of libertarianism and anarcho-capitalism hampered the absence of a decentralized currency, allowing for free trade. So far, no special electronic money has appeared-crypto-currencies, or the crypt.

Initially, the only was bitcoin. Its creator, Satoshi Nakamotoi, adhered to the principles of freedom and equality in the economic sphere. He created a transparent, unregulated network in which everyone could control their own funds and not depend on anyone. Subsequent derivatives of bitcoin are called altcoyins.

The uniqueness of these unusual money is a complete decentralization, which in the end gives equality between customers. Neither bitcoins nor altcoyins do not exist in reality, but in the form of information in a unique registry called a blockchain. There they are stored on a special address, the password to which is known only to its owner.

In crypto-currencies, each person is both a user and a manager. This contributes to the preservation of efficiency with a huge number of people online. Tokens (coins) appear as a result of self-service. In order to conduct a transaction, it must be confirmed by a group of random participants. This is done by choosing a digital combination that solves the equation in the blockchain. The process itself is called mining. In fact, the crypt is a by-product of the functioning of the system. It is logical that over time, the rate of appearance of new tokens is reduced, due to the increasing complexity of mathematical problems. What serves as the emission limit.

The main advantages of the crypt are decentralization and deregulation. These advantages make it possible to carry out transfers safely, eliminating intermediaries and taxes. Users are completely independent and put the software, becomes part of the structure and the right to dispose of their money at will.

Significant role in the popularity of crypto-currencies was played by anonymity and security. To use crypts, you do not need to enter personal data. Moreover, tokens are used all over the world and you can make deals with people living all over the world. All operations are cryptographically protected, so that they can not be hacked. Payments can not be canceled after they are completed. Outsiders do not have the ability to influence your wallet.

Of course, crypto-currencies contain a number of problems. The main two: a small transaction speed and lack of infrastructure, with which you could pay off in everyday life. Technical progress will solve the first problem, and time and business the second. In the future, both bitcoin and altcoins will grow in price and become a virtual analogue of gold. Some states are actively struggling with this, others are languishing in imitation of interest. However, the convenience of circulation, anonymity and security will contribute to the growth of currency prevalence. That one more step will bring us closer to a libertarian and anarcho-capitalistic future.