A new currency created by the Internet and encryption technology is creating the future
What is cryptocurrency
Currency that circulates on the Internet. There is no state that issues the currency, no government, no bank. Transactions can be made on a computer or smartphone. A cryptocurrency that seems difficult at first glance, but in fact it is very similar to something in Japan.
Similar to everyday “something” in Japan
It’s a prepaid card like Suica.
Suica is a mechanism that sends the money allocated to the card to the store through a machine for reading. The amount you hold and the amount you paid for is listed on the server, and Suica itself is simply assigned a unique card ID. For cryptocurrencies, when you install an application called Wallet on each computer, each is assigned a long string called an address.
The two are very similar in that they do not use real cash but only exchange electronic data.
Speaking of which, CTO (Chief Technology Officer) of the organization that creates a cryptocurrency that came to Japan the other day said, In Japan, payment automation and computerization are very advanced. No country is so automated. Only in a few big cities in the United States. In other words, the Japanese people use an electronic payment system that is unparalleled in the world.
The crucial difference between cryptocurrency and Suica
On the other hand, there are decisive differences between Suica and cryptocurrencies.
Issuance and management are performed by computer
Available around the world
Cryptocurrency is born on the Internet and is managed on the Internet. In other words, you can use it anywhere you have the Internet.
Despite having value and function as a currency, it has never been thought of before being under the control of the country. This characteristic allows it to be used in various countries around the world without having to exchange money.
And that value will change.
This is close to stocks and exchange rates.
The more people you need, the higher the value.
Bitcoin, a typical crypto trading, was of little value at the time of its creation, but once it was worth 1BTC (bitcoin currency unit) 110,000 yen.