The main distinctive feature of cryptocurrencies is the presence of each coin a unique transaction code that prevents copying and ensures the absolute anonymity of the owner. The limited resource and the complexity of its production by calculating in the conditions of rush market demand provoked a boom expressed in the growth of speculative operations that led to an increase in the rate of all types of electronic money. To determine where it is wiser to invest money, you can examine the varieties of cryptocurrency and identify the distinctive features.
Types of cryptocurrency
The main purpose of cryptocurrency is easy to make payments. All cryptocurrencies have a common feature: they are built on the basis of the blockchain technology, which stores all information on transactions encrypted using cryptography. But each cryptocurrency has its own characteristics. Considering what cryptocurrencies are, you can see that they all differ in cost, network consensus, cryptography algorithm and basic functions.
There are decentralized cryptocurrencies, which are controlled by equal communication nodes – miners. Others have a central governing body and are controlled by the creator. Cryptocurrencies have long gone beyond the functionality originally embedded in them and, apart from fast transactions within the network, can be a valuable financial asset, and give the owner certain privileges on the platform where they are running, or provide access to unique platform options. Now in the world there are a huge number of cryptocurrencies and, conventionally, they can all be divided into three main types: Bitcoin, Altcoins and Tokens.
Technically, existing cryptocurrencies can be divided into coins, created on the basis of blockchain technology and Ethereum platform, used in writing and in the process of application integration. The first cryptocurrency was Bitcoin, developed as a decentralized monetary unit and used when conducting financial transactions on condition of anonymity. Ethereum platform is a programming language that has the form of a full-fledged service complex and serves as the foundation for creating a software product. Appeared on the basis of the cryptocurrency project ETH has become a by-product and is of secondary nature. Bitcoin was the ultimate goal of the developers and this is their main difference.
Types of cryptocurrency differences and description
Consider a list of types of cryptocurrencies that are popular and most common among miners, marketers, and stock speculators:
- Bitcoin (BTC);
- Darkcoin (DASH);
- Ethereum (ETH);
- Litecoin (LTC);
There are also minor electronic coins on the market that are gaining popularity in the professional environment:
- Dogecoin (DOGE).
Bitcoin, which appeared on the market in 2009 and became the fruit of Satoshi Nakomoto, is considered gold among the cryptocurrencies. Transactions with the use of coins are anonymous, and their extraction is carried out by mathematical calculations using the power of PC graphics processors or special equipment – ASIC. The main task of miners is to solve the block code and receive a reward of 12 coins. DASH tokens appeared on the market in 2014, and transactions conducted with their use are completely anonymous and completely secure. The system is different using a combination of cryptographic keys, and its mining requires less resource costs in comparison with the extraction of BTC. The exchange rate of coins is $ 298, and this place in the TOP-5 is among the most speculative cryptographic assets.
ETH (Ethereum) coins were launched into circulation in 2015 and are used not only as cryptocurrency, but also in the process of sharing resources and registering transactions. The developers have implemented a system of smart contracts, allowing replacing the traditional legal procedures at the conclusion of transactions. Ethereum is the second most popular and cost cryptocurrency. Vitaly Buterin, a Canadian programmer of Russian origin, was engaged in its development. The official year of release is 2015, but development has been conducted since 2013.
Ethereum can act as a means of settlement, but its main function is to be the fuel for the smart contracts of its platform. It is smart contracts that make Ether special, expensive, and popular. On their basis, any action with automatic and guaranteed execution can be launched. The user can create a contract with the conditions “if – then” and enter any information there, and the system automatically executes the second part of the contract as soon as the first is met. To start the contract, the platform will need to pay and payment must be made at ETH. With the help of smart contracts, you can easily create decentralized applications on the blockchain and new cryptocurrencies. Ethereum has opened up unlimited possibilities to the world, and now many other useful projects have been launched on the basis of smart contracts and they are planned to be introduced into state systems.
Cryptocurrency LTC (Litecoin)
Studying types of cryptocurrency and their features, you need to pay attention to LTC. Coins launched by Charles Lee in 2011 based on blockchain technology. In fact, tokens have become a derivative of BTC, and here an identical cryptographic system is used, providing a comparable level of anonymity and security when making transactions. Having learned what types of cryptocurrency are and how they differ, you can choose an object for mining or create an investment project with the aim of investing in one of the types of coins.
Bitcoin is considered the forefather of all other cryptocurrencies, so other digital coins are called Altcoins, that is, cryptocurrencies, alternative to Bitcoin. Now there are a great many of them. Many of them really have almost the same algorithm and functionality with Bitcoin, others are endowed with completely different functions and the motive for their launch was the desire to improve Bitcoin and provide solutions to those problems with which it cannot cope. If the main function is a decentralized means of calculation, then most of the Altcoins are promising projects built on the blockchain, which should change the usual course of things in the world.
Ripple – centralized cryptocurrency with high transaction speed and minimal fees. Unlike most other cryptocurrencies, Ripple has a central government and the creators have the final right to vote.
Ripple was released in 2012 and now thousands of transactions per second are made through its platform. All money that is sent through the Ripple protocol is automatically converted to XPR, and then converted back to the currency you need for the recipient. This feature has attracted the attention of banks to XRP and is now modernizing banking operations with its help.
DASH appeared in 2014 and originally had the name DarkCoin. This is the first fully anonymous cryptocurrency, the main purpose of which is to be the payment means of Darknet. DASH operates on a two-rank system. Bitcoin users are forced to put up with the fact that all information about transactions is stored in the blockchain. In DASH, however, anonymizers are used, which divide transactions into small parts and mix them together, which makes it impossible to track transactions, the sender and the recipient.
IOTA cryptocurrency appeared in 2015 and should be a real breakthrough in the world of the Internet of Things. The main purpose of cryptocurrency is instant transactions for the minimum amount. The applied methodology will allow paying for any minor actions and managing all automatic processes. The project is still at the initial stage of development, but experts predict that in the future, there will be millions of devices from around the world to the network that can be managed through transactions, starting actions and paying for work.
Tokens are simultaneously a unit of value and settlement that exists within a specific project. Most often, they are issued for ICO and attractions of investments, but in the future they receive a certain value and can be traded on cryptocurrency exchanges and exchange them for other cryptocurrencies. In addition, tokens perform various functions, according to which they are divided into three types:
Appcoins (application tokens) are an internal payment facility of the platform that ensures the execution of settlement operations within the system. For such tokens, products or services of the issuer’s company are purchased.
Accumulative (credit) coins – designed to attract loan investments into the project. Users can purchase project credit tokens and after some time get their money back with interest, while the project sets a condition that the tokens cannot be sold before the deadline.
Tokens-assets (shares) – issued platforms for attracting investment. Such tokens are a necessary impetus for the development of the project. In turn, investors who have bought them can count on increasing capital by increasing the value of the coin and dividends from the company’s profits.
OmiseGO Token was released by an Asian company as part of an ICO to attract investments. With the sale of the token, it was possible to attract $ 19 million, which is needed to create a decentralized platform for the exchange of fiat and cryptocurrency funds. The exchange was launched in 2017 and since then the value of its token has strengthened, bringing investors income.
The EOS project released the eponymous token to attract funding and raised more than $ 200 million. The platform positions itself as “Ethereum killer”, because it offers a platform similar to it, where third-party developers will be able to create applications on the blockchain.
USDT is a stable token whose value is provided by the dollar. The platform is unique in that it is built on the blockchain, but allows transactions on it in fiat money. Viant stocks are stored in the accounts of the creator – the company Tether Limited. Such an approach should save the coin from the high volatility of the course and provide the world with a stable digital means of calculation.
The Tron platform is designed for decentralized placement of entertainment content and was developed on the Ethereum blockchain. The project token is intended for internal settlement between participants and for payment for its services. The maximum emission of a token is 100 billion dollars. All coins were issued as part of the ICO, in which 40% of all coins were sold, which made it possible to attract investments for the development of the platform. 35% froze on the company’s accounts, and the rest went on the free market.
Binance Coin (BNB)
Binance Coin is an internal token of the Binance cryptocurrency exchange. It was also released to attract funding, but also acted as an advertising product for attracting attention to the trading platform. In BNB, you can pay the trading commission on the platform at a discount, which increases with each year of active use of the exchange.
How many cryptocurrencies exist?
For the first time the term cryptocurrency was applied in 2009 to the description of the first decentralized means of payment – Bitcoin. After starting Bitcoin, many enthusiasts rushed to create new cryptocurrencies based on its source code. But the real cryptocurrency boom happened after the release of Ethereum. Smart contracts significantly simplified the creation of blockchain projects and cryptocurrencies, as a result of which the market began to actively develop. As of November 23, 2018, according to data from the site investing.com, there are 2504 cryptocurrencies in the world, and the total market capitalization is $ 136,348,554.804.
But it should be noted that not all cryptocurrencies have significance and popularity. The lion’s share of the total market capitalization accounts for cryptocurrency. Many coins are just beginning to enter the market, while others only serve to pay for the services of a particular project, do not bargain on exchanges and do not represent investment value.
Prospects for tackling research issues utilizing bitcoin cash innovations
Any examination requires from researchers an adequately long and exhaustive work. The majority of them can’t give genuine outcomes, and turn out to be just piece of the chain, prompting something huge scale, while a portion of the improvement was initially planned to end up a standout amongst the most imperative revelations of humanity. Tragically, today present day science is in a condition of emergency, particularly in the nations of the post-Soviet space. The explanations behind this circumstance are many: this absence of satisfactory subsidizing and material help for innovative work, and “stale” scholastics inside the dividers of research establishments and foundations of sciences, absence of inspiration for youthful experts, the nearness of numerous bureaucratic conventions in the plan of the outcomes, mind-boggling expense absence of chance to cooperate with partners abroad, and so on.
The majority of the above has turned into a trigger for countless that is irreversible for science: the relocation of promising work force to different nations and flooding into different territories of action, decreasing the quantity of regions of research, lessening enthusiasm for them in the public eye. The disposal of these elements in the system of present day substances will require enormous time and material expenses.
Any exploration requires an outcome, affirmation, which the whole academic network can acclimate itself with – a production in a renowned worldwide distribution. It doesn’t make a difference how much a researcher sets worldwide errands for himself, the primary concern is the quantity of distributions issued by him, the reference record and the creator’s Hirsch file, since how much a major give he can get relies upon it. An extra entanglement is that the article ought to be distributed in a production that is cited globally, and it costs a ton of cash. We ought to likewise take note of those memberships to such diaries (Science, Nature, Cell, and Elsevier) cost more than one hundred dollars, which numerous researchers basically can’t bear. Such monopolist distributions profit on selective productions without putting a solitary penny in the examination itself.
No less intense is the issue of execution. Present day society, pitifully intrigued by logical action, by and by requires unambiguously positive research results. Everything must turn out: solutions for infections ought to be auspicious, rapidly and “not costly”, approaches to save the earth – to be basic and available to all, nourishment must be high caliber and valuable. Today, neither mainstream researchers nor the extremist society consider the way that a negative outcome is additionally an outcome and it is no less essential for logical research in any field, on the grounds that further ventures because of this outcome may end up being progressively noteworthy and critical. Be that as it may, the negative consequence of the examination is proportionate to “proficient suicide”, since established researchers are amazingly negative about the disappointments. In this way, researchers are compelled to cover the negative outcomes, introducing them in a good light, which involves the development of pseudoscience.
Another critical issue of present day science is the transient gifts (2-3 years): government financing is excessively hopeless, so allow reserves are spent on all needs, including compensations, and this involves the powerlessness to begin genuine long haul explore. Therefore, there are numerous anticipated investigations that structure the marvel of “safe science”, which are continually contending with one another in the battle for gifts supporting all the equivalent irrelevant research. With regards to this issue, another develops – the alleged “irreconcilable situation”: because of the absence of tolerable government subsidizing, researchers are compelled to swing to the business segment — the makers. Things being what they are, medicate inquire about is supported by medication makers, item quality is item makers, and the end client gets a “bought” result and an item that is a long way from the proclaimed quality.
Most of logical laborers are not happy with the flow circumstance, so there is a consistent look for an exit from it. The advancement of new innovations and the rise of disseminated libraries provoked that the change to the blockchain will streamline the exploration cycle. The straightforwardness of tasks, their permanence and availability, the capacity to take out a great deal of go-betweens and manage without bureaucratic deferrals – these are the fundamental contentions for incorporating the blockchain into the examination territory. It tends to be a commendable specialized answer for the issue of information gathering, stockpiling and multiplication, just as help in the companion audit technique. In the meantime, researchers don’t yet perceive how the issues of initiation, peer audit and the issue of “robbery” can be settled inside the blockchain. Consequently, because of some questionable focuses, the thought is still under thought.
The issue of pulling in subsidizing to logical research is now attempting to be illuminated, for instance: in Canada in 2017, the Einsteinium Foundation was established – a blockchain arrange that is centered on bringing assets for putting up in science. The Foundation has discharged its very own digital currency EMC2, through the mining of which it is wanted to fund look into in different businesses. Circulation of assets will be hung on a month to month reason for ventures that got the greatest number of votes from individuals from the Fund. The possibility of Einsteinium is very significant, and later on it can turn into an amazing global support, however so awfully couple of authorities can apply for gifts from it.
Present day innovations are not stopping, and today there is as of now an exceptional chance to control the circumstance, extending from drawing in interest in science to protecting and authorizing. An imaginative task created and made by Simcord, the Bitbon System, isn’t only a speculation stage with cutting edge usefulness, yet in addition an incredible chance to take care of an entire scope of issues of current science. The way toward scanning for awards, supports and pulling in them to partake in the venture takes a great deal of time and exertion from researchers, however at this point it’s everything very basic with the assistance of the Bitbon System. The underlying thought of research, handling and assessment of results, the production of accomplishments and the progressive conveyance of financing are focused inside one System, which enormously streamlines the whole research procedure and makes revelations available to the entire world. Subsequently, any logical thought can discover financing inside the System, paying little heed to what extent term it is arranged.