Crypto currency explained.since man world currency has been a very important part of our lives in the caveman Era .they used the barter system .barter system involved good and services exchange among each other so now we have a situation were a caveman is exchanging seven apples and getting oranges in return now the barter is fell out of use . Because it has some glaring flaws . now these flaws include having people requirement coincide for example : say you have five apples and your friend have five orange .you want some of his oranges now until and unless you friend has a requirement of apples that own . He'll not be ready to exchange for it . there's no common measure now .since there's no common measure in terms of which value of a commodity can be exppressed. There's a problem when you have to decide how many apples you can ready to trade for one orange or a mango not all codes can be divide a live animals into different smaller units . The goods cannot be transported easily . After the era of caveman . Modern currency came in110 B.C an official currency was invented in 250A.D gold plated florence was introduced and this was used in europe from 1680 to 1980 . Paper currency gained wide across the world .
Crypto currency explained.
Today crypto currency have becomes a global phenomenon known by bitcoin . Crypto currency key part of a solution to illustrate this . we'll look at the transaction on the network is a file that says Bob gives X bitcoin to Alice and assigned digitally by Bob once signed the transaction broadcasted to the network sent from one peer to every each other. This is standard p2p technology nothing special .after a specific amount of time the transaction gets confirmed only miners can confirm transaction .this is their job in crypto currency network they take transaction stamp them as legitimate and spread them in the network. After a transaction is confirmed by by a miner every node has to add to it database . It's has become part of the block chain for this job miners are rewarded with crypto currency.
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