Why Invest in Crypto?
There are many ways to invest nowadays. Besides real estate and stock investing, Cryptocurrency will become a profitable investment in 2021. Some cryptocurrencies like Bitcoin and Ethereum have upside potential, which means the price will go up in the future. Although Cryptocurrency like Bitcoin (BTC) is estimated to reach up to $ 320,000 per coin, investing Cryptocurrency may also have some risk. Investors should know the best time to buy long term and sell; be ready to stay calm during the market fluctuations, as well.
What is Blockchain?
Bitcoin and Ethereum are 2 major cryptocurrencies that work on blockchain. Blockchain itself is a block of data that is connected. So it looks like a chain. In a nutshell, it will connect users across a peer-to-peer network without going through any intermediaries so that every user will store each data block for other users. The system used in blockchain can only add to the data, and there is no data to be modified for each transaction will only add new blocks to each user’s device. There are many potential uses of blockchain technology if they are used in these sectors, including financial services, automotive, voting, health care, and many more.
How Blockchain Works?
Utilizing blockchain technology gives more advantages than traditional ways. Blockchain technology can increase transparency, accurate tracking, permanent ledger, and reduced cost. But how do they work? Through blockchain technology, if there is a requested transaction, it will be broadcasted to a P2P network that consists of nodes, and the transaction will validate through algorithms. A verified transaction can involve contracts, cryptocurrency, records, or other information.
