Digital Currency Based on Cryptography, Cryptocurrency

Digital Currency Based on Cryptography, Cryptocurrency

· Know the term Cryptocurrency

· How do you work cryptocurrency?

· Digital Currency in Indonesia

· Other Benefits of Blockchain Technology

Hello friends, posting I currently want to share knowledge related to digital currencies. Today investment cannot only be done in the real world, with assets that have physical forms such as gold or land. You can invest in the digital world, DomaiNesians. Even if the transaction is not done in the real world, it doesn't mean your investment will be wasted. In the digital world there is the term cryptocurrency, which is a cryptographic-based digital currency. One of the famous cryptocurrency is Bitcoin. Actually not only Bitcoin, some other types of cryptocurrency such as Litecoin, Ripple, Paycoin, Darkcoin, or Dogecoin have the same concept, but have different advantages and disadvantages.
Know the Cryptocurrency Term
Cryptocurrency comes from two words namely, crypto or cryptography, and currency. Cryptography is the study of coding, while currency means the value of a currency. Then cryptocurrency is a digital currency created using the cryptography concept. According to Bruce Scheiner, cryptography or cryptography is the science and art of keeping messages safe. Cryptography secures messages sent by senders using mathematical science, so messages arrive at the recipient without any interference from third parties. Sending messages with cryptography has been done since ancient times by the Egyptians and Romans even though in a simple form.

Then cryptography was developed to be used as an online financial transaction. Because it uses cryptographic methods, this currency cannot be faked. The first digital money launched was Bitcoin. And that's why Bitcoin is now better known than the other Altcoin. Bitcoin was developed by Satoshi Nakamoto in 2009. Unlike conventional currencies regulated by banks, digital currencies are not regulated by anyone. In general, rising or falling currency values ​​are only determined by the market mechanism.
Some of the advantages of Bitcoin are transparency, where all users can see the transactions made. Users can make transactions anywhere with low transaction costs. Guaranteed security because it uses a cryptographic system, so counterfeiting transactions cannot be done. Satoshi Nakamoto also limits the amount of Bitcoin sold, there will only be 21 million pieces for the entire world.
How does Cryptocurrency work?

There are two processes in cryptography, namely encryption and decryption. Both of these processes distinguish transactions using cryptography with conventional transactions that have been carried out by most people. Conventional transactions must go through an intermediary, such as a bank or ATM. because transactions through intermediaries, sometimes we have to pay additional costs for administration, such as when making transactions to different banks. While with cryptographic methods, transactions from sender to recipient are not through intermediaries. There is a system that makes users transact safely. The system is known as the blockchain.
The blockchain is simply a book that contains every transaction in a system. Blockchain cannot be hacked, unlike a system in a conventional bank that can be hacked by a hacker. If the hacker wants to hack the blockchain, he must hack the system of all blockchain users. To be able to engage in the world of cryptocurrency itself, you must buy a Bitcoin coin with a certain amount, or become a miner. But to become a miner, you need a sophisticated computer device to record all transaction activities. A miner will get a virtual money commission from the activity.
After buying a Bitcoin coin with a certain amount, then you have to monitor the selling price of the coin. The concept of magnitude is the same as buying and selling shares. Buy when the stock price is down, then sell again when the selling price is high or up.

Security is the main thing to consider when you want to make a transaction. The blockchain technology used in digital currency transactions can be used for other things, which also requires a security system to keep the data confidential. Internet of Everything, Internet of Battlefield Things and the Internet of Medical Things are examples of systems that require blockchain technology. Even governments and organizations need blockchain technology to be used as a safeguard in maintaining the integrity of data from all activities of recording transactions, events, certificates and ownership in the government or organization. The use of blockchain technology by an organization or government is divided into two, namely providing services and managing transactions, and determining how the blockchain technology should be used.
Blockchain technology can also be used by companies in construction project management. Construction project management always involves several companies, which are also peer-to-peer, just like the communication pattern of blockchain technology. By implementing blockchain technology, it is hoped that it will increase trust in each company. Communication commonly applied by construction project management companies is centralized communication. Blockchain technology can be applied to this communication pattern, where the system will manage information that includes who does what and when the activity is carried out. This information can be the basis and proof of responsibility for what is done. Blockchain technology can also be used to maintain the confidentiality of data generated by sensors in material storage space.

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