THE CRYPTOCURRENCY CHARACTERISTICS
The most important characteristics of the cryptocurrencies are the following:
THE CRYPTOCURRENCY CHARACTERISTICS
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- They are a “peer-to-peer” decentralized electronic money form that is based on the principles of “cryptography” to secure the network and verify transactions.
- Most cryptocurrencies use a “Distributed Database” as the backbone of their system, the so-called “Blockchain”.
- They can be used with full anonymity, ie without the submission of personal data. There is complete anonymity in transactions and often without the ability to detect personal information.
- They can be used for small or large transactions at very little or no cost.
- They can be used in any space and time.
- There is a limitation and disclosure of the cash reserve.
- Anyone could contribute to the creation of cryptocurrencies.
THE CRYPTOCURRENCY CHARACTERISTICS
THE CRYPTOCURRENCY CHARACTERISTICS
THE CRYPTOCURRENCY CHARACTERISTICS
DIFFERENCES BETWEEN TRADITIONAL CURRENCY COINS AND CRYPTCURRENCIES
THE CRYPTOCURRENCY CHARACTERISTICS
Coins and Cryptocoins
Traditional Coins
Cryptocoins
New coins can
created only by specialized agencies – Central banks Anyone can create new currency units – there is no central authority
Decentralized system
Trust is secured legally through third parties
Confidence is guaranteed only
Technologically – no third parties or organizations are required
organizations
Private transfers
Public transfers
Unlimited supply
Limited supply
Participants do not have the same roles
All participants have the same
role – peers
Source: Τζαγκαράκης και Δασκάλου (2015)