Equity mechanism of digital currency

1. 1. digital currency contract, also known as futures contract. In short, it's business in the future. A standardized contract uniformly formulated by the exchange to deliver a certain quantity and quality at a specific time and place in the future. The vast majority of users use the margin system of futures contracts, add 10 or even 20 times leverage to leverage big funds, and then use the index fluctuation to buy low and sell high trading contracts, so as to earn double profits< 2. Perpetual contracts are derivatives. From the perspective of trading, it is similar to the traditional futures contract, but there are some differences. First of all, it has no maturity or settlement date. The perpetual swap contract is similar to a margin spot market, so its trading price is close to the underlying reference index price, which is different from the futures contract. Due to the basis, the trading price difference of the futures contract may be significantly different. Secondly, the main mechanism of anchoring spot price is capital cost< At present, rolling spot futures is the main form of perpetual contracts. Rolling contract is a kind of futures contract settled on the same day and automatically extended. Profit and loss are settled on each trading day, and the contract position held by traders will be automatically extended at the end of the trading day. In addition, the cash flow of assets will be exchanged, and the long investors will pay the capital cost to the short investors to compensate the capital cost of the short investors
3. Option contract is a kind of agreement, which can give traders the right to buy or sell assets at a predetermined price before a specific date or on a specific date. Option contracts are trading derivatives that can be based on a wide range of underlying assets, including stocks and cryptocurrencies. These contracts may also come from information such as financial indicators. Generally, option contracts are used to hedge the risk of existing positions and speculative transactions.

2. Digital currency is the proct of currency development to a certain stage. The issuance of digital currency is mainly to make transportation more convenient and also concive to the supervision of the economy.

3.

Digital currency is abbreviated as digiccy, which is the abbreviation of "digital currency" in English. It is an alternative currency in the form of electronic currency. Both digital gold coin and cryptocurrency belong to digiccy

digital currency is different from the virtual currency in the virtual world, because it can be used for real goods and services transactions, not limited to online games. The early digital currency (digital gold currency) is a form of electronic currency named after the weight of gold. Today's digital currency, such as bitcoin, lightcoin and ppcoin, is an electronic currency created, issued and circulated by check sum cryptography. It is characterized by the use of P2P peer-to-peer network technology to issue, manage and circulate currency. In theory, it avoids bureaucratic examination and approval, so that everyone has the right to issue currency

Compared with paper money, digital money has obvious advantages, which can not only save the cost of issuance and circulation, but also improve the efficiency of transaction or investment, and enhance the convenience and transparency of economic transaction activities. The issue of digital currency by the central bank also ensures the continuity of financial policy and the integrity of monetary policy, and also ensures the security of monetary transactions

although the issuing method of digital currency is still under study, paper currency has been regarded as "the currency of the previous generation" by some professionals, and it is the general trend to be replaced by new technology and new procts. Due to China's large population and volume, the timetable for issuing digital currency is still uncertain. It is predicted that digital currency and cash will be in parallel and graally replaced for quite a long time. When the era of digital currency really comes, people will carry less and less cash, travel more and more safe, poverty alleviation more and more accurate, corruption more and more difficult to escape, and thieves more and more difficult

extended information:

in November 2016, the central bank prepared digital currency, and the cash is likely not to exist in ten years

in November 2016, China digital currency Research Institute was established to cultivate high-level talents of digital currency, carry out digital currency research, consultation, development planning and related activities. It is a non-profit unit with legal license approved by relevant ministries and commissions, and is committed to promoting the integrated development of scientific research and Practice of digital currency instry

so far, Hangzhou, Shenzhen and Guizhou have become the three hot areas for the central bank's digital currency pilot. It is reported that Hangzhou is actively promoting the planning and construction of Qiantang River financial harbor, including the blockchain instry. Hangzhou will build the first blockchain Instrial Park in China, which is located in the Internet Finance town of Xihu District, surrounded by ant financial services, e-commerce bank, Zhejiang University and its science and Technology Park and other well-known enterprises and parks

4. It is the occupation of trading margin. In futures trading, because the trading mode is margin trading, it has a certain leverage nature. For example, if you take 1 million yuan as futures, open a few hands, and use 300000 yuan for a certain variety, the risk / position is 30%, and more than 80% of the exchanges will issue a warning that too high a position will lead to too high a risk. When the risk exceeds 100, it will be forced to close out. We call it a burst
the strong leveling of the exchange will be carried out in the best position, generally the price of the limit up or down, so the strong leveling will lead to the loss of customers. If the loss is large, the customer needs to make up the loss before he is out
Digital futures have risks, so investment should be cautious! After all, there is no internal supervision and no record
warm tips: please stay away from illegal fund-raising, illegal fund allocation, financial management on behalf of customers, false or misleading publicity / inced trading, illegal consultation / order calling, providing trading software and other illegal behaviors
headquarters of futures companies! Account opening, crude oil / iron ore / PTA / stock index / service charge return! Just ask!

5. So far, China does not recognize the legitimacy of any digital currency, nor does it issue any legal digital currency. Therefore, there is no "central bank's digital currency" at all.

6. Proof of stake (POS), also known as proof of equity mechanism, is similar to storing assets in a bank. The bank will allocate corresponding income to you through the number and time of digital assets you hold. Similarly, with POS digital assets, the system allocates corresponding rights and interests to you according to your currency age, which is the proct of the amount of currency you hold and the time. For example, if you hold 100 coins for 30 days, then your currency age is 3000. Compared with pow, POS has two advantages. First, POS will not cause too much power waste, because POS does not need to rely on competitive power to mine. Second, POS is more difficult to carry out 51% attack. Only 51% of the coins can be used to attack, and the network will be attacked.