The difference between e-cash and virtual currency

1. The world's first digital currency was invented and issued by David Chaum, known as the father of digital currency. As a mathematician, cryptographer and computer expert, he began to study how to make digital currency in the late 1970s. Digital currency is a kind of currency existing in the form of electronic number, which is an electronic flow of information transmitted on the network through the circuit composed of 0 and 1. Compared with the traditional real currency, i.e. paper money and coins, digital currency has obvious advantages: traditional currency has greater storage risk, expensive transportation costs, and requires a lot of investment in security and anti-counterfeiting. Digital currency is different from e-currency such as credit card and e-check. It has higher level and higher technology content. It can be used without connecting to the bank network and is very convenient for customers. By the end of 1995, as more and more users of the digital currency invented by JOM, it was accepted by a bank called Mark Twain, enabling it to convert to the real deposits in the user's account
network virtual currency can be roughly divided into
the first category is familiar game currency. In the era of stand-alone games, the protagonist accumulates money by knocking down the enemy, entering the gambling house to win money, and using these to buy Herbs and equipment, but it can only be used in his own game console. At that time, there was no "market" between players. Since the establishment of Internet portal and community, the realization of game networking, virtual currency has a "financial market", players can trade game currency
the second type is the special currency issued by the portal website or instant messaging service provider, which is used to purchase the services in the website. The most widely used is Tencent's q-coin, which can be used to purchase membership, QQ show and other value-added services
the third kind of virtual currency on the Internet, such as bitcoin (BTC), Wright currency (LTC), etc. bitcoin is an electronic currency proced by open-source P2P software. Some people also translate bitcoin as "bitcoin", which is a kind of network virtual currency. It is mainly used for Internet financial investment, and can also be directly used in daily life as a new currency.

2. Currency: in essence, it is a contract between the owner and the market about the right of exchange, and it is essentially an agreement between the owners. The essence of money contract determines that money can have different forms, such as general equivalent, precious metal money, paper money, electronic money and so on. Its basic function is the measure of value and the means of circulation—— Extracted from the Internet

fiat money: it means that it does not represent real goods or goods, and the issuer has not cashed the currency into physical obligation; A currency that becomes legal currency only by government decrees. The value of fiat money comes from the owner's belief that money will maintain its purchasing power in the future. Money itself has no intrinsic value, that is to say, when the paper money comes into being, legal tender is essentially the negotiable paper money stipulated by law

the legal currency of the people's Republic of China is RMB, and the people's Bank of China is the national authority in charge of the management of RMB, which is responsible for the design, printing and issuance of RMB—— From the Internet

e-money: in fact, it is the electronization of legal money, including our common bank card, online banking, e-cash, etc; There are also third party payments developed in recent years, such as Alipay and WeChat payment. No matter what the form of these electronic money is and through which institutions it circulates, its original source is the legal money issued by the central bank

virtual currency: virtual currency refers to non real currency, and its existing state is intangible. The most important difference between virtual currency and electronic currency in narrow sense is the difference of issuers. Virtual currency is the electronization of illegal currency, and its original issuer is not the central bank. For example, game currency, q-coin, and ticket counting are mainly limited to circulation in a specific virtual environment

digital currency: digital currency which applies the latest digital network technologies such as blockchain, has the characteristics of Distributed Accounting, unique encryption technology, decentralized settlement, etc. Of course, digital tools with these characteristics must be supported by national credit if they want to become sovereign currency or legal tender

therefore, digital currency must be currency; In today's social system, money must also be sovereign money or legal tender. Secondly, digital currency must have the basic attributes and main functions of currency.

3. In other words, the money used in the transaction comes from the bank account. In other words, the money in the bank account actually corresponds to banknotes, and digital currency is money. In the actual use experience, digital money and electronic payment may feel similar, but they are still quite different in essence
digital currency is also different from virtual currency. For example, we are familiar with the virtual currency and the recharge currency in various games. These virtual currencies can only be purchased with real currency, but cannot be converted into real currency
in the world, bitcoin is probably the most famous digital currency. In addition, there are "Wright coin", "Dog Coin" and "Yuan Bao coin" in China.

4. They are different
e-money: in fact, it is the electronization of legal currency, including our common bank card, online banking, e-cash, etc; There are also third party payments developed in recent years, such as Alipay and WeChat payment. No matter what the form of these electronic money is and through which institutions it circulates, its original source is the legal money issued by the central bank
virtual currency: virtual currency refers to non real currency, and its existence state is intangible. The most important difference between virtual currency and electronic currency in narrow sense is the difference of issuers. Virtual currency is the electronization of illegal currency, and its original issuer is not the central bank. For example, game currency, q-coin, and ticket counting are mainly limited to circulation in a specific virtual environment
digital currency: a digital currency that applies the latest digital network technologies such as blockchain and has the characteristics of Distributed Accounting, unique encryption technology and decentralized settlement. Of course, digital tools with these characteristics must be supported by national credit if they want to become sovereign currency or legal tender
commonly referred to as Q / currency and bitcoin, all belong to virtual currency. Compared with digital currency, the most fundamental difference lies in the difference of issuers. Virtual currency is the electronization of illegal currency. The issuer is not the central bank, and it can only circulate in a specific virtual environment, such as Tencent Q / currency and other game currencies; Digital currency can be used for real goods and services transactions, but only the digital currency issued by the state is legal digital currency, bitcoin is illegal digital currency.

5. With the development of the Internet, while providing a large number of free services to the majority of Internet users, according to the company's profit needs and the diversified needs of users, various websites have launched charging services. This also promoted the emergence of virtual currency
in order to provide better services, many portal websites and online game operators have been providing virtual currency for use for a long time. According to incomplete statistics, there are no less than 10 kinds of network virtual currency (referred to as network currency) currently in circulation, such as Q currency, network currency, cool currency, Warcraft currency, Paradise currency, Shanda (game area) coupon, etc. Take Q coin as an example, there are more than 200 million users. Instry insiders estimate that the domestic Internet has a virtual money market scale of several billion yuan per year, and is growing at a rate of 15% - 20%
in a market economy, demand stimulates innovation, which in turn stimulates demand. The increasing popularity of virtual currency is completed in the needs of users and the innovation of enterprises. At present, there are many kinds of virtual currency in China's network market, among which Tencent, relying on its huge QQ users, has timely launched QQ currency with the maturity of instant messaging market
it is undeniable that virtual currency makes us feel the convenience of purchasing network services, which is the inevitable proct of the development of network economy. But at present, the network virtual currency has quietly changed into a huge trading market
Lyndon larush, a famous American economist, once predicted that from 2050, the virtual currency of the Internet will be officially recognized to some extent and become a mobile currency. With such a large market and bright prospects, many companies are eager to try and intend to occupy this market. Now it seems that the network, PayPal (PayPal) and Tencent are in the leading position
at the present stage, most e-money is based on the existing real money (cash or deposit), which has the function of "value measurement" and "value preservation", and the precondition that e-money and real money can exchange at a ratio of 1
: 1 is established
as a means of payment, most e-money can not be separated from cash or deposit. It is transmitted and transferred by electronic means to pay off creditor's rights and debts and realize settlement. Therefore, the function and influence of e-money at present is essentially the relationship between e-money, cash and deposit
at present, there are four types of popular electronic currency in China
1. Stored value card electronic currency. Generally, it appears in the form of magnetic card or IC card. Besides commercial banks, it is also issued by telecommunication departments (ordinary telephone card, IC telephone card), IC enterprises (network card), commercial retail enterprises (various consumption cards), government organs (internal consumption IC card) and schools (Campus IC card). After the issuer receives the customer's funds in advance, it issues the equivalent stored value card, which makes the stored value card a new "deposit account" independent of the bank deposit. At the same time, the stored value card in the customer consumption to dect the way to pay fees, which is equivalent to the deposit account payment currency. At present, the deposits in the stored value cards are not included in the central bank's reserve requirements. Therefore, the stored value cards can rece the demand for cash and current savings
2. Credit card applied electronic currency. It refers to the credit card or quasi credit card issued by commercial banks, credit card companies and other issuers. The loan can be consumed within the credit limit specified by the issuer, and then the repayment can be made at the specified time. The widespread use of credit cards can expand consumer credit and affect money supply
3. They are mainly debit cards, electronic checks, etc., which are used to withdraw cash, transfer settlement and transfer funds from bank deposits in an electronic way. The widespread use of this kind of electronic payment method can rece the cost of consumers to and from the bank, rece the balance of cash demand, and speed up the circulation of money
4. Cash analog electronic currency. There are mainly two kinds: one is e-cash which is based on the Internet environment and keeps the binary data representing the value of money in the hard disk of the computer terminal; One is the electronic wallet that keeps the monetary value in the IC card and can be circulated without the bank payment system. This kind of e-money has the characteristics of anonymity of cash, can be used for payment between indivials, and can change hands many times. It is developed for the purpose of replacing entity cash. The expanding use of this kind of electronic currency can affect the currency issuing mechanism, rece the seigniorage income of the central bank, and rece the scale of assets and liabilities of the central bank

6. It's not a concept. Virtual money includes electronic money
1. Network virtual currency can be roughly divided into two categories:
the first category is familiar game currency. In the era of stand-alone games, the protagonist accumulates money by knocking down the enemy, entering the gambling house to win money, and uses these virtual game data to buy Herbs and equipment, or in some special games as a scoring unit to increase the fun of the game, which is an embodiment of the player level. But it can only be used in your own game console. At that time, there was no "market" between players. Since the establishment of Internet portal and community and the realization of game networking, there has been a "financial market" for virtual currency, where players can trade game currency
the second type is the special currency issued by the portal website or instant messaging service provider, which is used to purchase the services in the website. The most widely used is Tencent's q-coin, which can be used to purchase membership, QQ show and other value-added services
the third category refers to bitcoin, Ruitai coin, Laite coin, Weimeng coin and other digital cryptocurrencies
2. Electronic money refers to the exchange of a certain amount of cash or deposit from the issuer and the acquisition of data representing the same amount. By using some electronic methods, the data can be directly transferred to the payment object, so as to pay off the debt.

7. The differences between e-money and virtual money are as follows:

1. Electronic money refers to using a certain amount of cash or deposit to exchange from the issuer and obtain data representing the same amount, or through the quick payment service launched by the bank and the third party to transfer the balance in the bank through some electronic ways, so that transactions can be carried out. Strictly speaking, it is a kind of currency that consumers use the bank's Internet banking service to store value and make quick payment to the issuers of electronic currency, and make consumers trade electronically through media (two-dimensional code or hardware equipment)

2. Virtual currency refers to non real currency. Well known virtual currencies, such as online currency of Internet company, q-coin of Tencent company, q-point and voucher of Shanda company, micro currency launched by Sina (used for micro games, Sina reading, etc.), chivalrous Yuanbao (used for chivalrous road game), silver grain (used for bixue Qingtian game), and popular digital currencies in 2013 include bitcoin, Laite coin, infinite coin, quark coin, zeta coin, etc Barbecue coins, pennies (Internet), invisible gold bars, red coins, prime coins. At present, hundreds of digital currencies are issued all over the world. Popular in the circle & quot; The legend of "bitcoin, Wright silver, infinite copper, pennies aluminum".

8. What are you going to look like? Do you need wallets, blockchains and apps?

9. Specially went to look at the fire coin market chart, at present, the highest to about 8000, the lowest to 500. The difference is really big enough.

10. The basic concept of electronic currency. As the latest form of money, e-money has been widely used since 1970s. Electronic currency is a kind of credit currency developed from online electronic credit, which uses commercial electronic machines and all kinds of transaction cards as media, computer technology and modern communication technology as means, and electronic pulse for capital transmission and storage. Compared with other forms of money such as paper money, e-money has the advantages of low preservation cost, low circulation cost, low standardization cost and low use cost. Especially suitable for small amount of online purchase. E-money technology has solved the technical problems in the storage, circulation and use of intangible money, and has great development potential. Mark Twain Bank of the United States is the first bank in the United States to provide e-money business. As early as April 1996, it obtained 10000 e-money customers
the development of e-money. The emergence of e-money is the result of the development of economy and technology to a certain extent. The use of e-money, on the one hand, can replace the issue of cash to the greatest extent, making the issue of money costs lower; Second, the issuers will change from the central bank to other issuers

the issuance and use of e-money has brought us great benefits, but also new problems. The main advantage of e-money is that it can expand the field of financial services, improve efficiency and facilitate the use of users
however, e-cash is not only flexible but also untraceable, which will bring problems in issuance management and security verification. Technically speaking, all businesses can issue e-money. There are also potential problems in e-cash, such as tax and law, the instability of foreign exchange rate, the interference of money supply and the possibility of financial crisis. It is necessary to formulate a strict economic and financial management system to ensure the normal operation of e-money system.