A DIVE INTO THE CRYPTO WORLD

Of recent, a lot of Nigerians have been made aware of the existence of the crypto world. this is largely as a result of the massive cash out made from Notcoin. many people want free money and fail to understand exactly what happens or how it happens. so today I hope

                            to give a little recap of what crypto currency is about.

            crypto, has become very popular over the years and was first introduced in January  2009 when bitcoin was launched with a price next to almost nothing. a lot of people argued that bitcoin; world's first crypto would be absolute rubbish. but investors and researchers looking at bitcoin whitelist were able to see a future for the project. 

 unlike the normal fiat currencies countries all over the world employ, crypto is a form of decentralized digital currency created using encryption algorithms. unlike the fiat, crypto is embedded into an encrypted and secure blockchain making it viable for transactions all over the world with out trace. over the years investors and critics both saw a future in crypto and others crypto currencies sprang up trying to compete and also make known their presence. today there are more than a thousand crypto currencies out there all with different objectives but with a general aim. 

          so talking about what gives coins their value, lets say an organization decides to tell people to pick 'stones' and keep because sometime in the future, the 'stones'  they pick will be very valuable. an above average person will decide to investigate and know what exactly will give the 'stones' he will be picking value. what he finds out or discovers will be as a result of the organizations whitelist, their aims and objectives and how they plan to use the stones as currency. if the organization is  able to convince the audience of their plans, investors who see future in the project will pump money into the project by acquiring a large number of stones. on listing, what gives the stones real value is the demand and supply for the 'stone'. a large demand will make the price steadily increase because the people have been convinced that there is a future for it. but in a situation where the supply exceeds demand, the price drops because no one is willing to buy. so what this organization will do is try to reduce the quantity of picked 'stones' in supply by burning coins or halving in order to reduce the quantity of 'stones' in supply. the halving works to reduce supply circulation thereby increasing scarcity making the coin more valuable. now not using 'stones', the major way crypto organization make available their coins is through mining. companies set up a software and a mining pool that links users and the software and effective mining is established. the ease or difficulties of mining a coin is overly dependent on the value allocated to such coin.