I am writing after a long time as I was doing extensive research on the Cryptocurrencies. It has been called one of the greatest technological breakthroughs since the Internet. It also has been called “a black hole” into which a consumer’s money could just disappear. Technology is changing at a very fast pace, startups should keep up with that pace as technology helps in bringing positive disruption. Cryprocurrency is the financial innovation that is brought as a result of developments in the technology. Cryptocurrency is a medium of exchange created and stored electronically, and using encryption techniques to control the creation of monetary units and to verify the transfer of funds. Bitcoin, perhaps the most widely known example, has been a media sensation and an investment fad. But so far this new way of storing and spending value has inspired So, What is cryptocurrency? A cryptocurrency is a medium of exchange such as the US dollar. Bitcoin, the first cryptocurrency, appeared in January 2009 and was the creation of a computer programmer using the pseudonym Satoshi Nakamoto. Like the US dollar, cryptocurrency has no intrinsic value in that it is not redeemable for another commodity, such as gold. Unlike the US dollar, however, cryptocurrency has no physical form, is not legal tender, and is not currently backed by any government or legal entity. In addition, its supply is not determined by a central bank and the network is completely decentralized, with all transactions performed by the users of the system. The term cryptocurrency is used because the technology is based on public-key cryptography, meaning that the communication is secure from third parties. This is a well-known technology used in both payments and communication systems. Is it important for Startups? As Cryptocurrency is a new system of financial transaction, it is crucial for startups. Many startups have adopted this new system for receiving payments and other financial transactions. There are 948 startups listed in Angel List under the cryptocyrrency segment with average valuation of US $4.6 million. Also, Angel List alone lists 566 investors in cryptocurrency startups. In my following posts, I will write about the bitcoin, altcoins & blockchain technology. I will also explain about how to mine cryptocurrencies along with how to earn from trading.

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2 thoughts on “Introducing Cryptocurrency: The greatest technological breakthrough after Internet

  1. Hi,

    My name is Jitendra Kumar Patel and i am currently a masters student of IIIT-Bangalore.

    I am doing my research in Bitcoin BlockChain Technology and below is small description of It.

    I would be very happy if i can be of any help in your research.

    –cheers

    P.S.

    a.       An Innovative Idea :
    Efficient Micro Transactions using Bitcoin’s BlockChain Technology

    Bitcoin is a revolutionary Crypto-currency which is changing the entire backing industry and online transaction to more advanced, user friendly and full fledged privacy and security.With Bitcoin lot of issues arising due to payment gateway and transaction fees is eliminated and new trade parameter is defined. Transfer of fund from one account to another is transparent across users in the same region or across the globe with same security and privacy. As of now many bank in various country is debating whether to legalise it including RBI in India. Few giants from the technology industry like IBM, are also spending huge resource viz. Money, Man-Power and time to utilize the Bitcoin Blockchain technology.

    Micro Transaction is not so new but indeed something to look for today’s generation where lot of micro-services are in place and demand new payment system. With micro payment one is eligible and capable of transferring as low as 1 paisa within accounts and avail the service. There are lot of micro transaction schemes available for conventional physical money when involved and few for Bitcoin world but none of them are as efficient as it should.

    My Idea is to develop a PROTOCOL for Efficient Micro Transactions using Bitcoin’s BlockChain Technology.

    b.      How will you make your Idea work (Feasibility)? :
    I am already developing this protocol from last 5 months as a researcher and i believe i am very close to it and i am on a verge to publish few papers on this. As a Tech enthusiast i strongly believe in Open Source community so my idea is to open source the protocol and see how Bitcoin community reacts. Also meanwhile i am also coding the prototype in python language for demo and to test the scalability and performance. When developed, small scale few user would be needed to test in real environment .
    Use case :
    – Authors can sell their article for as low as 1 paisa / 10 Articles
    – News sites can charge per news
    – video sharing sites can charge user per minute of video streamed
    – In app purchase in online mobile games.
    c.       How will the idea benefit people(Community Impact)? : 
    If this protocol is developed and if it is adopted by some small to medium to large payment service provider then it would help a lot of people involved in Bitcoin Transaction .
    The benefit of this protocol over conventional payment system is :
    – all the benefits as enforced by Bitcoin Block Chain Technology viz. privacy and security, distributed open ledger, low cost barrier to entry and exit of new users , merchants , seller etc.
    – Efficient transaction fees negotiation for micro transaction
    – Fast Service availability
    – Low pollution to Blockchain with only necessary Bitcoin transaction
    – Faster payment confirmation and settlement.
    – New micro-services can be discovered with new employment like self authors, freelance news aggregators, freelance game developers etc.

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