What can cryptocurrencies be used for?

Cryptocurrencies: What's Behind the Digital Currency Systems?

Cryptocurrency

Abbreviation

description

Bitcoin

BTC

Bitcoin, released in 2009, is not only the pioneer of the crypto offensive, but also the one to this day most important digital currency With the highest equivalent in dollars, euros and co. at the end of 2018, there are already over 17.4 million of the maximum 21 million Bitcoins in circulation, which are rarely used for payments but primarily for investments.

Bitcoin Cash

BCH

Bitcoin Cash is a 2017 created Fork (Spin-off) of Bitcoin, which was preceded by years of discussion within the Bitcoin community. That was the point of contention Block size limit of 1 MB and thus the low transaction rate of Bitcoin (approx. seven transactions per second). Bitcoin Cash now already allows a limit of 32 MB, which 130 transactions per second makes possible.

Ethereum

ETH

The cryptocurrency Ethereum, whose currency units are called Ether, has officially been around 2015 for use. Digital payments play a subordinate role in the system developed by Vitalik Buterin: the focus is rather on the possibility of Smart contracts - i.e. business contracts - to conclude without a middleman. These can be used in the form of code scripts in the Ethereum blockchain.

Ripple

XRP

Ripple is also not a classic cryptocurrency, but rather a universal one Exchange platform for currencies (“Blockchain of the banks”) of any kind - whether euros, dollars or cryptocurrency. The company Ripple Labs is responsible for Ripple central administrative authority acts and thus breaks the decentralized approach of crypto currencies. In addition, Ripple Labs holds a large part of the available currency units.

Monero

XMR

At Monero it is User anonymity in the foreground, which is guaranteed by features such as hidden addresses or group signatures. The CryptoNight algorithm used is intended to prevent mining using ASICs (specific mining hardware) - instead, the developers want to force the prospecting process using commercially available PCs. It comes to one constant adjustment of the mining difficultyto keep the block generation speed constant.