How cryptocurrency works?

Cryptocurrencies run on a distributed public ledger called blockchain, a record of all transactions updated and held by currency holders . Units of cryptocurrency are created through a process called mining, which involves using computer power to solve complicated mathematical problems that generate coins.

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How does cryptocurrency make money?

Some cryptocurrencies offer their owners the opportunity to earn passive income through a process called staking . Crypto staking involves using your cryptocurrencies to help verify transactions on a blockchain protocol. Though staking has its risks, it can allow you to grow your crypto holdings without buying more.

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Is crypto different from Bitcoin?

Bitcoin is the digital currency that utilizes cryptocurrency and it is controlled by the decentralized authority which is not like the government-issued currencies whereas the Cryptocurrency refers to the technology that acts as a medium for facilitating the conduct of the different financial transactions which are …

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Is cryptocurrency a good investment?

Investing in crypto assets is risky but also potentially extremely profitable. Cryptocurrency is a good investment if you want to gain direct exposure to the demand for digital currency . A safer but potentially less lucrative alternative is buying the stocks of companies with exposure to cryptocurrency.

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