To realize virtual currency blockchain is used by Bitcoin and Ethereum but attempts to utilize blockchain as a distributed ledger technology separate from virtual currency have also started. A representative example is the Hyperledger Project” started by the Linux Foundation in 2015. The Linux Foundation is a non-profit organization that provides a variety of support to the open-source community to promote Linux.
The purpose of the Hyperledger project is to focus on the blockchain “distributed ledger created by P2P system” and utilize it to solve system problems in various industrial fields. In order to promote this activity, you are developing frameworks and tools for making the blockchain open source.
The biggest difference between virtual currency and legal currencies such as yen and dollar can be said to be the issuer. The fiat currency is issued by the central bank or government of the country. It is a virtual currency that does not have the substance of banknotes and coins and exists on the Internet, but any store that supports it can use it as the legal currency.
Bitcoin, which has the largest market size as of 2018 and can be said to be synonymous with virtual currencies, was published by a person named Satoshi Nakamoto in 2008 on the Internet, and the prototype program was released the following year. It was rewritten one after another by interested engineers all over the world and seems to have settled down in its current form.
At first, it looked like a toy of no value, but in 2010, a technician living in Florida in the Bitcoin community asked, “Let’s exchange pizza for 10,000 BTC (bitcoin)” and told that story. It is generally accepted that another technician who got on board exchanged 10,000 BTC to deliver the pizza to the technician, thus creating value as money.
The dark market was the first to see a currency where neither the government nor the government intervened, but as a result, it was caught and reported as news.
After seeing this news, it was people in the United States who noticed the merit of being able to instantly transfer money with almost no handling fee, as well as domestic transfer fees and days. Also, in response to the financial crisis that occurred in the Republic of Cyprus in 2013, people who thought that the currency issued by the Cyprus government would be turned into paper, Argentina people who can not trust their own currency, want to break through the currency regulation of their own country The value of bitcoin gradually increased as Chinese people bought non-government bitcoins, and 1 BTC, which was 8 cents in 2010, rose to $1,200 in 2013.
Advantages and disadvantages of virtual currency
One of the merits of virtual currency is the convenience that it can be used as it is without being exchanged like currency, even overseas. Another advantage is the low remittance fees. Unlike traditional currencies, which charge high fees depending on the day of the week and time of day. It is attractive that you can send money cheaply and quickly at any time.
Even when sending money overseas, you can send it with a fee of several tenths compared to sending from a bank.
In addition to existing virtual currencies such as Bitcoin, there are also efforts to create unique virtual currencies in the region and revitalize the local economy. This is also one of the advantages of virtual currency in a broad sense. To know more you can read more here https://it.bitqt-app.com/.
When considered for speculative purposes, there is also the merit that it is effective as one of the diversified investments” in which risk hedging is performed by diversifying to various investment destinations. This means investing in virtual currency as one of the investment destinations, such as stock investment and foreign currency investment.
The currency is not guaranteed by the government or the government, so it must be used at the owner’s own risk.
Also, if there is a problem with the Internet environment, you will not be able to trade, so it is important to check the ATMs that you can use.