Digital currency security certificate
1、 Different definitions:
1. virtual currency:
virtual currency refers to non real currency
digital currency:digital currency is an alternative currency in the form of electronic currency. Both digital gold coin and cryptocurrency belong to digiccy
3. Cryptocurrency:
cryptocurrency is a kind of transaction medium that uses cryptography principles to ensure transaction security and control the creation of transaction units
4. Token (token):
a kind of article whose shape and size are similar to currency, but the scope of use is limited and has no currency effect, and its token is the homonym of token in English
Second, the characteristics are different:1; It can also be said that virtual currency is personalized currency. In another way, it can also be called information currency
2. Digital currency:
is an unregulated and digital currency, which is usually issued and managed by developers and accepted and used by members of specific virtual communities
Cryptocurrency:cryptocurrency is based on the decentralized consensus mechanism, which is opposite to the banking and financial system relying on the centralized regulatory system
4. Token (token):
usually needs to be exchanged for money, used in shops, playgrounds, mass transportation and other places, as a voucher to use services and exchange goods
extended data
at present, digital currency is more like an investment proct, because it lacks a strong guarantee agency to maintain its price stability, and its role as a value measure has not yet appeared, so it can not be used as a means of payment. As an investment proct, digital currency cannot develop without trading platform, operating company and investment company
digital currency is a double-edged sword. On the one hand, the blockchain technology it relies on has been decentralized and can be used in other fields except digital currency, which is one of the reasons why bitcoin is popular; On the other hand, if digital currency is widely used by the public as a kind of currency, it will have a huge impact on the effectiveness of monetary policy, financial infrastructure, financial market and financial stability
Differences:
non encrypted currency (enterprise currency):
1, personal behavior
2, company's own currency
3, unable to decentralize
4, unable to trade on international trading platform
5, unlimited issuance
6, no mine website, no original code
7, controllable price, mostly one-way relationship (dining ticket of an enterprise, Qmoney and so on)
open source digital cryptocurrency:
1. Decentralization -- not regulated by indivials, companies and national banks
2. Limited issue
3. Free trade on international trading platform
4. Original code
5. Not taxed, not frozen, uncontrollable price
cryptocurrency advantages:
1. Compared with paper money, Save the cost of printing, data audit, anti-counterfeiting, escort circulation, safe keeping and so on
2. It is impossible to control the number of issues without issuing institutions
3. Borderless. If you use cryptocurrency transaction, directly enter the account address, click the mouse, wait for the network to confirm the transaction, a lot of money will pass
4. Using cryptocurrency in any store can save the cost of tax and capital supervision
5. It is not controlled by the central bank and the quantity is limited, so it can completely resist the pressure of inflation. Let the wealth of the common people keep its value and increase its value The cryptocurrency other than bitcoin is also known as counterfeit currency and competitive currency (English: altcoin). Part of it is a virtual currency similar to bitcoin, which is based on the ideas, principles and source code of bitcoin. At present, more than 800 cryptocurrencies are in circulation
because bitcoin itself does not have an authoritative issuing institution and state power to maintain its authority and uniqueness, bitcoin and its imitators can only get along equally. It is not absolutely exclusive
With the advent of digital currency, the encryption algorithm of currency is becoming more and more important. What are the types of passwords
classical cipher types mainly include transposition cipher and rearrangement of alphabetic order messages. For example, "Hello world" becomes "ehlol owrdl"
Diffie Hellman and RSA algorithms have been widely used except for the first public example of high quality public key algorithms. Other asymmetric key algorithms include Cramer schup cryptosystem, ElGamal encryption and various elliptic curve techniquessome well-known cryptosystems include RSA encryption, Schnorr Signature, El Gamal encryption, PGP and so on. More complex password systems include e-cash system, signcryption system, etc. Now more cryptosystems include interactive proof systems, such as zero knowledge proof, which is used for secret sharing
for a long time, information collection and law enforcement agencies have been interested in cryptography. The importance of secret communication is self-evident. Because cryptography promotes privacy protection, it also attracts great interest of cryptography supporters. Therefore, there is a history of controversial legal issues around cryptography, especially since the emergence of cheap computers makes it possible to widely use high-quality cryptography
nowadays, cryptocurrency transactions are semi anonymous, which makes them very suitable for a series of illegal activities, such as money laundering and tax evasion. However, the proponents of cryptocurrency often attach great importance to the anonymity of digital currency and think that it can protect the privacy of users. Some cryptocurrencies are more private than others
Cryptocurrency is a new type of digital asset, which is based on the network distributed on a large number of computers. This decentralized structure enables them to exist outside the control of the government and central authorities. The term "cryptocurrency" also comes from the encryption technology used to protect the networkblockchain is an organization method to ensure the integrity of digital currency transaction data, and it is an important part of many cryptocurrencies. Many experts believe that blockchain and related technologies will subvert many instries, including finance and law. Cryptocurrencies have been criticized for many reasons, including their use for illegal activities, exchange rate fluctuations and the vulnerability of the infrastructure that underpins them. However, digital currency is also praised for its portability, divisibility, anti inflation and transparency