There are about two hundred independent countries in the world, each of which has its own monetary unit. The most famous currencies in the world are the euro €, dollar $, pound £ and yuan ¥. Recently, in the world of digital technologies, there is a new accounting unit called Bitcoin or simply (BTC). Bitcoin is characterized as a universal currency, regardless of where you are, because to calculate the goods and services it is enough to have regular access to the Internet.
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Despite all the disputes and prejudices that surround cryptographic currency today, it is worth noting that it allows you to feel complete freedom of your financial operations. Due to the growth of the capitalization of most electronic money, a new financial environment is created, which has decentralized management in the Blockchain system.
At its core, the cryptocurrency uses algorithms like Internet banking, but unlike the latter, it provides complete anonymity about the end user of the electronic wallet. Another incentive for the transition to a digital currency is the absence of inflationary processes. As an example, you can consider the Bitcoin release algorithm, which is known in advance. In total it is planned to extract 21 million coins, therefore, in due course, the complexity of mining is expected to increase, and the deficit of this cryptocurrency will increase. As a result, according to the most optimistic forecasts, by the end of 2018 the cost of Bitcoin may amount to 100 thousand dollars.
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The use of cryptocurrency, as a monetary unit, opens unlimited opportunities for business. Now, the blockchain system is not controlled by tax institutions, banking institutions and even state regulators. The prosperity of e-commerce on the Internet gave impetus to the emergence of cryptocurrency exchanges and exchange platforms. The interest of investors in the cryptocurrency is directly related to the lack of commissions, the inability to track transactions and their irreversibility.
With the advent of cryptocurrency, the classical monetary unit is gradually losing its relevance, because cash calculation has a number of shortcomings and is finally obsolete in modern economic realities.
Editor: Yuliya Soroka