Are cryptocurrencies safe?

New rebound in the economy due to cryptocurrencies

They are digital assets made up of a cryptographic encryption that guarantees and ensures the integrity of transactions.

It also prevents them from copying the system in any way using a decentralized database called Blockchain, which is a shared accounting record to control adjustments.

Cryptocurrencies are virtual and intangible currencies and without a doubt they have changed the way of investing and transferring money.

It has encryption security, that is, chain of blocks, this prevents hackers from getting into the system.

Unlike traditional money, this currency is digital and is backed by the same users who contribute to the exchange of said asset.

Users through various strategies lead its value to rise or perhaps fall. This means that cryptocurrencies can achieve significant value overnight.

All exchanges are transparent and are available to everyone, which means that it should not affect any of the parties that are making the exchange, even if they appear as anonymous.

Could they scam me through cryptocurrencies?

The chances of being scammed are almost zero, as long as you follow the standard regulations of the platform you use.

As it is also almost impossible for them to circumvent the security shield of the system. That is why users must be sure of each of the operations they carry out, since an error could be expensive.

Cryptocurrencies have large servers around the world and with more than five thousand nodes.

The nodes are computers connected to other computers sharing information following the rules of a computer on the network, this saves and synchronizes a copy of the entire blockchain.

This means that trying to hack the servers could be considered completely difficult.

Nobody can steal, copy, dismantle and much less cheat, since the other nodes would detect it almost immediately. Unless the hacker had control of 50% of the nodes and this would be completely impossible.

On the other hand, the decision to invest is personal, and many resort to looking for cryptos backed by fomo. Simply put, ghost projects then get caught up in scams when the token price drops overnight.

What are blockchains?

The blockchain is the secret weapon of cryptocurrencies and thanks to that the safest currency denominations in the world can exist, although it is not physically palpable, it is the encryption method that guarantees the transaction making each one unique.

The blockchain makes each cryptocurrency unique, private and its information anonymous, since it encrypts all operations.

It is called a chain of blocks because each transaction is encoded and enters a block of transactions, when it is already incorporated into this block it is not possible to modify or distort.

Intermediaries are also avoided thanks to the blockchain, although it is understood that cryptocurrencies cover personal information but do not specifically encrypt the user's wallet.

It means that it reflects your address information, making the security of your personal data vulnerable.

How many cryptocurrencies are there?

Today there are more than ten thousand cryptocurrencies and those that have not yet hit the market, clearly have certain differences such as encryption and the philosophy that they can handle.

Although Blockchain technology has been managed in the vast majority of cryptocurrencies, but it is certainly not the only one.

The creation and the novelties that accompany them have appeared and developed more platforms to send, receive and buy different types of cryptocurrencies such as: Bitcoin, Bitcoin Cash, Ethereum and Litecoin.

We cannot mix these networks with wallets, much less with cryptocurrency buying and selling platforms. Platforms such as coinbase and binance are obtained that are both for buying and selling as digital wallets. They can trade cryptocurrencies and cryptocurrencies safely and easily.

The huge boom that blockchain has created has increasingly predicted the huge consolidation of virtual currencies.

Also, the arrival of investors from all over the world, including governments that have begun to buy these assets.

What are the best cryptocurrencies out there?

Bitcoin:

It is the most talked about and debated cryptocurrency or cryptocurrency in recent times, since this cryptocurrency was the first to hit the market, being the pioneer in 2008 and was created by different people under the name of Satoshi Nakamoto.

At its launch it had no value like the one it now possesses and the vast majority of people did not imagine that it would reach this value either.

The operation of the Bitcoin network is astonishingly simple and secure, thus positioning itself as the leader in the digital market, many managers consider Bitcoin to be the new digital gold, although they clearly have volatilities both on the upside and on the downside, but it is still the best option for investors.

Ethereum

It is nothing compared to a currency, it is a decentralized computing platform, you could say that it is a huge computer that is spread over several computers and works simultaneously.

It allows running applications in a distributed network and operations are fed with a network currency, which is ether.

It has come to be considered a second generation blockchain, which means that it has been built based on the operation of bitcoin, however, with huge differences.

Both networks are used for digital money, but on the Ethereum network it is completely programmable.

Which means that it has more functions such as, for example, it is protected by the science of cryptography and by the user's private keys.

It is a person-to-person system which means that you can send money anywhere in the world without any need for intermediaries such as banks, and it is not managed by custodial entities, so it is strictly owned by you.

Binance:

This coin was born to support transactions within Binance's own platform.

The developers try to increase the importance of their token through the creation of projects related to the Blockchain in order to be financed by the binance users themselves.

With this, they seek that the fees of the transactions carried out in binance are paid with the same token, since it would be cheaper than paying it with dollars or euros.

Binance also gives its users the opportunity to have rights over the platform, thus becoming part of the decisions of the future of the company, very similar to having shares in a company.