There’s So Much Happening on the Crypto Side of Town!

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It might have taken some time for cryptocurrencies to claim their rightfully earned place as the number one payment option of the internet age; but once their popularity spiked and they finally became such an eminently hot topic, it was clear the internet currency world would never look the same again.

But what are cryptocurrencies? And how on earth did they manage to transform the financial world in the blink of an eye? To understand all the crypto hype, we need to go back in time to the 80s.

In 1982, or as we like to call it, the beginning of the computer age (just a little before all this big internet craze started!) a cryptographer named David Chaum invented what is considered today to have been the first ever cryptocurrency: Ecash. Following the same cryptocurrency principles that we have today, Ecash was conceived as an electronic currency system optimizing user privacy, by allowing them to use the system and own the currency without giving out any personal information.

While Ecash did jumpstart the cryptocurrency industry, it was not considered popular at the time, nor was it even available to the public; it failed to attract more than 5000 customers, and only one US-based bank made any truly effective use of it. Over the years, several different variations of the currency have been introduced; and although Bitcoin has continually taken center stage, many other crypto stars have found their place in the sun as well.

From Ripple to Ethereum and the (oh so popular!) Bitcoin, the crypto inventory has continued to expand over time; because the system’s simplicity, charm, and privacy factors have helped the crypto market to grow rapidly.

While some people are still rather confused about the notion of crypto, financial advisors predict even greater things lie in store for the cryptocurrency industry in the future. This is because, while most financial systems bind you to a bank, or hold or transfer your details to a third party, or are simply dependent on fiat money, the comfort and efficiency of a decentralized financial system such as cryptocurrency offers are unquestionable. And in an internet-powered era, your personal security means more than anything else.

The Story About the Most Hyped Coin Around

But the ever-desirable Bitcoin currency has not always been such a widely hyped topic. In fact, the coin originated in a rather obscure place when it was first introduced; although by now, most people would agree that it is already a widespread phenomenon. So to understand Bitcoin`s magnitude and its impact on the financial industry, we have to go back in time all the way to its inception.

Contrary to popular belief, the idea for a cryptocurrency was used by banks way before it was ever introduced to the public. but the people behind Bitcoin wanted to come up with something entirely different.

While staying true to certain cryptocurrency principles, Bitcoin managed to surprise the financial world by introducing something completely different upon the coin’s release in January of 2009. Bitcoin’s rise wasn’t meteoric at first (the BTC currency began trading for a mere $0.30); but once the Bitcoin System had caught on, investors flocked in and helped to popularise it more widely.

In hindsight, Bitcoin’s rise to power was inevitable. In an internet age where your data roam around the web unprotected, cryptocurrency offered something that the market lacked and which was suitable for the digital world. The internet currency was considered popular not only for the convenience that it offered but for the safety and privacy it provided people with – a decentralized system which doesn`t depend on any bank. This approach facilitates a digital form of funds and transfers it seamlessly from one side to the other.

Unsurprisingly, more than a few new cryptocurrency systems have joined the scene this past couple of years, trying to mimic the mega success of Bitcoin; but none have succeeded like Bitcoin has; this currency is still on the throne, continuing to reign the digital world with an iron fist.

Other Cryptocurrencies You Should Know About

While everyone keeps going on and on about Bitcoin this and Bitcoin that, cryptocurrencies in their essence are not defined solely by the bit. Immerse yourself into that crypto pool and keep yourself updated, as we list the hottest and most commonly talked about cryptocurrencies around.

Ripple

Ripple is a global centralized settlement network, aimed at delivering services that can make international transactions much more convenient and efficient. Now, we know what some of you might think – What does this have to do with cryptocurrencies?! Quite a bit, as it happens!

You see, the people behind Ripple wanted to offer a separate and independent system that was capable of conducting international transactions without being dependent on other services, such as currency converters. And in order to do so, they created a cybercurrency aimed at expediting the conversion process.

What does that mean? Well, let’s say you’re in the US and you want to transfer $100 to someone in Europe. Ripple takes your $100, converts it to the Ripple system currency – the XRP, and then converts it to your desired currency, making all that international transaction hassle nearly inexistent.

Ethereum

Just like its competitor, Bitcoin, Ethereum works as a decentralized system which uses similar blockchain technologies, in order to facilitate its currency operations. However, the similarities seem to end there. This is because, while Bitcoin was designed solely as a cybercurrency or better still, as a different form of currency, the Ethereum currency was designed mainly to operate under the Ethereum system, which offers a peer-to-peer transfer system, using its own blockchain technology to handle both transactions and applications. To sum up, they basically took the same technology that created Bitcoin and constructed what some consider a more powerful and well-rounded system around it.

Ethereum is still not as popular as its competitor; but its powerful platform and faster block time are helping the system make headways through the digital currency crowds.

EOS

EOS is what you might call the freshest crypto option. In fact, it was released on January 31st, 2018. While still working out a few kinks here and there, EOS aims to take the same idea and to make it a whole lot better; with more efficient transaction processing per second and more versatile coding languages, which make it much easier to integrate with different systems.