The chain of blocks or Blockchain (English) is a single record that is distributed by nodes
in a network. This blockchain technology is used for cryptocurrencies and it can be
understood that it is like an accounting book where all the transactions carried out on
that cryptocurrency or network are stored and recorded.
• What are the uses of blockchain technology?
Blockchain technology was created to preserve any document or information intact and
that it can remain available and securely stored within the blockchain and that the
authenticity of the information is intangible and legal so that this can work is made a
way to encrypt documents and can only be modified by the key that has the owner
which consists of 12 words randomly chosen and that the owner has in its possession,
in addition to the exclusive use also has use for:
o Blockchain for medicine
o Blockchain for confidential documents
o Blockchain for the exchange of information about technology.
o Blockchain for the internet of things market.
• How are ICOs issued?
First, we must understand that the ICO (initial coin offering) is the birth of a
cryptocurrency, which is housed in a project carried out by natural persons or legal
entities to raise money and deliver money, but this process must have a lot Be careful
when encrypting the cryptocurrency and that is why many security options are made
before being able to access them or carry out any banking movement.
To mention some of the ICOs when they first came out, they were, for example:
o Bitcoin
o Etherium
o Coinbase
And so many other cryptocurrencies at the beginning nobody knew about them, but
with the project that occurs in the creation of each cryptocurrency, this can emerge
strongly or be in the market for a short time, this will be decided by the work team that
has this cryptocurrency recently nascent and the type of security that can be given to
prevent information leaks and thus money leaks.
• What is mining and how is the blockchain confirmed?
As its name says, it is about carrying out a mining action through hardware (physical
equipment) which will carry out transactions on the blockchain, and therefore a reward
will be obtained in cryptocurrencies.
To make it a little more understandable, a computer is used, or a computer processor
with which we can use it exclusively to work with the blockchain system, helping to
enhance the system, with it while our computer or processor is active and performs the
task, success processes chain blocks into the blockchain, for each block our computer or
processor can be placed inside the blockchain general and thus form a chain larger, this
will cause can receive rewards in the same currency as we mining, for example :
If we mine BITCOIN, we must connect our computer or processor within the chain of
Bitcoin blocks, then when our equipment can make a coupling of the block to the general
block of Bitcoin, we will receive a reward in the form of BTC for mining this
cryptocurrency.
It should be noted that currently not only does Bitcoin exist and not only is this
cryptocurrency mined, but we can also mine many others, such as the ones I mention
below:
o Ethereum
o Cardano
o Dogecoin
o Tron
o Dash.Coin
o Etc.
Cryptocurrency mining has become so popular that there are mining “farms” all over
the world, which do the same process but link many processors together, which
intensify mining and work, but for this, to work it is important to have a good electrical
connection as the process cannot be stopped.
• Current legislation and what countries are licensed.
During the growth of cryptocurrency in the world, many countries have legislated
transactions it is important that large countries with much more technology were the
first to settle and legally administer these cryptocurrencies while countries smaller still
do not They have carried out, but that does not mean that they will not do it, they are
simply in the process of regulation, for example in Latin American countries there is no
regulation towards cryptocurrencies but there is in larger countries such as the United
States and the European Union.
It should be noted that when regulations are made towards some cryptocurrencies, they
often make price falls, but these regulations are carried out so that countries can use
cryptocurrencies more safely and legally, so with the passing the time we consider that
cryptocurrencies will be the new exchange currency worldwide and we will no longer
need physical money to make our purchases or pay for our needs.
• Look at the history of cash and coins
Coins or cash as human beings have evolved in the time and years, considering this point
we can limit the following:
o At the beginning of the exchange of objects for objects
o When the smelting of minerals is carried out, it is the gold that receives value
for the exchanges.
o After moving from gold, we move on to the currencies that were established in
each country, combining metals to form a currency, in addition to using paper
to create banknotes, these two represent the value of the objects that can be
bought in a country.
o By already having the coins and bills today, now we also pass on the Laminated
money, and this means the money in the form of cards, Credit cards, or Debit
cards, which effectively save our money and we do not necessarily owe it has
physically.
o At the end of all this, with the creation of cryptocurrencies, we now have
Bitcoin, Ethereum, Dash, Coinbase, just to name some of the best-known
cryptocurrencies in the world and that are currently growing to be the new
transactions and exchanges in the world, a purely virtual currency whose
general value for the world is the same and which does not distinguish between
genders.
• What are FinTech and related projects?
Fintech can be considered to be the technology related to financial companies, but what
does this mean? In a world where technology is at the forefront and that currently with
the help of artificial intelligence it is possible to know what things people like. people,
and how to help them achieve them, in addition to the fact that technology has
advanced so much that it knows when to present something new to you so that you can
acquire it, that is why Fintech can be considered technology related to financial
companies and has some projects like the ones I can mention:
o Mobile Banking
o Big data for predictive models
o Cryptocurrencies
o Automated process management
o Payments and bank transfers
o Insurance
o Digital security and privacy
o Trading
o etc.
• How did the idea of cryptocurrency get started?
The main idea of the cryptocurrency was carried out in 1998 by Wei Dai, who proposed
an idea to create a new type of exchange of currencies or currencies that was
decentralized, that is not exclusively of one place but that was global, it was used as a
control means cryptography, for so be sure to use them, and so that was born the first
cryptocurrency for the years 2008 and 2009 called Bitcoin, which was conceived by the
pseudonym developer Satoshi Nakamoto.
• The beginning of the history of bitcoin
Bitcoin was born from the idea of creating an electronic cash system in 2008, this system
was sent by electric mail by the person Satoshi Nakamoto and the title of the mail was,
“Bitcoin P2P e-cash paper”.
Under this idea of P2P or peer-to-peer, the cryptocurrency Bitcoin was designed in the
blockchain network to start a new financial system in which the government and local
currencies can be separated.
Already in 2009, the Bitcoin project is announced, for currencies that do not have to do
with the government, this open-source software was launched in the Blockchain
network to introduce nodes of the currency. It is also known that the first block of
Bitcoins was mined by Satoshi Nakamoto himself.
• What are the current cryptocurrencies in circulation?
Currently there are more than 300 cryptocurrencies, but to make it easier I will make a
small summary of the first 15 currencies and those known by traders and investors:
Rank Name Price
1 BTC
Bitcoin
$ 47 000.80
2 ETH
Ethereum
$ 3 217.40
3 ADA
Cardano
$ 2.41
4 BNB
Binance Coin
$ 430.21
5 USDT
Tether
$ 0.9998
6 XRP
Xrp
$ 1.22
7 DOGE
Dogecoin
$ 0.3201
8 USDC
Usd Coin
$ 0.9996
9 DOT
Polkadot
$ 26.49
10 SOL
Solana
$ 72.42
11 UNI
Uniswap
$ 28.06
12 BCH
Bitcoin Cash
$ 660.55
13 LUNA
Terra
$ 29.98
14 LINK
Chainlink
$ 27.10
15 BUSD
Binance USD
$ 0.9998
Read More: Crypto
• What is the idea of smart contracts?
Smart contracts refer to a contract that can be generated autonomously avoiding the
participation of two people, but rather automatically between a person and artificial
intelligence (in their cell phone, their computer, laptop, or Tablet), all of these Artifacts
being called “smart objects”, being able to connect to the internet can carry information
from one place to another in a matter of milliseconds, making it possible to transfer data
regardless of the place, time or time, since this intelligent system does not get tired and
is always available to assist us.
These intelligent contracts were taken by the company s to generate contracts virtually
without the need to be physical, but are virtually not mean that their value is less than
the physical contracts because ultimately have the same weight.
• How does the trading process work?
To be able to negotiate within the blockchain, the data of the natural or legal person
must first be registered within a broker or intermediary entity between the market and
us, and the filling of documents is carried out through smart contracts, virtually and
without the need to go to a specific place. After obtaining the data that the broker
provided us, we can access the interpretation of the market that, based on previous
studies, we can successfully analyze as if it were any other market, such as currencies,
stocks, ETFs, commodities, etc.
• How to open a personal wallet?
To open a personal wallet is very simple, it can be done in two ways, one manually in
which we fill in our data, and email or we can do it through Facebook or Google (within
the same broker), not all brokers provide us the option to fill in data automatically with
Facebook or Google.
Some information that they ask us when opening a wallet are:
o Personal names
o Email
o Choose an 8 characters password
o Home address
o Date of birth
• What are the security methods in the wallet?
At the time of creating a virtual wallet and to finish the registration process, the user is
asked to save in a safe place 12 words that the same broker page will randomly deliver,
these 12 words are keywords to enter and/or recover your account in case of forgetting
the password, it is very important that people remember where they saved these 12
words because if they save them and do not remember where they were saved, it would
be useless to have done so.
One recommendation that could give them is to use Notepad from the cellphone or
Notepad of Google, with those programs we have save all kinds of information stored
in it and so easy access in different moment that we need it.
• The risks associated with cryptocurrencies.
It is important to remember that cryptocurrencies are a financial system that is just
booming and that is emerging to position itself, as such, they are not yet fully regulated
and therefore are still very volatile. For this reason, people who invest in virtual
currencies must know the risk and know that the currency they acquire can lose its value
or gain value in a certain period of time, and is very important knowledge that in the
moment that we want to invest in something we must use money that we can lose it.
Read More: EURUSD Forecast
