Advantages and disadvantages of cryptocurrency
As an example,Bitcoin (BTC)'s price grew by a whopping 155% from the start till the end of 2023. Such high returns naturally get the attention of investors looking to add to their wealth. But before you jump on this train, it makes sense to get a lay of the land.
In this article, we'll highlight the advantages and disadvantages of crypto investing in India. This will allow you to make an informed decision about whether to invest in this blossoming asset class or not.
But before we dive in, let's understand what are cryptocurrency actually is.
Did you Know?
The world of cryptocurrencies is very dynamic. Prices can go up or down in a matter of seconds. Thus, having reliable answers to such questions is crucial for investors.
View Details»What is a Cryptocurrency?
Cryptocurrency, a type of digital or virtual money that comes in thousands of varieties, operates on blockchain technology.Think of blockchain as a decentralized ledger that records monetary transactions, i.e., who paid what and to whom. Being decentralized means the transactions take place without the need for a central authority or intermediary like a bank or government. It also means the ledger is accessible to everyone, ensuring transparency and preventing fraud.
The term «blockchain» comes from the fact that the transactional data and other information are stored in «digital blocks» that are chained together. Once a block gets added to a chain, it's almost impossible to change or delete the data inside it.
The responsibility of validating transactions and adding blocks to the chain rests on a network of computers called nodes. These nodes maintain the public ledger and keep it going. An interesting property of this system is that if any one of these
