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What is Crypto currency?

What is Crypto currency?

As per Investopedia definition : A cryptocurrency, broadly defined, is currency that takes the form of tokens or “coins” and exists on a distributed and decentralized ledger.

Example: Say I am going to form a infrastructure company to support passenger car company in sales and services . My activities will be to monitor any car company showroom inventory, visitor records, online enquiry records, arranging finance for buyers , efficiency and user review of different models , to support buyers in road side assistance, servicing centre etc.This is just a an idea and I have no money to give shape to this idea. I formed a team started working on project and finally I float my crypto currency to fund the project. I have said to the investor community about my project , its future and set my maximum token as 10000 . Out of 10000 token I issued 1000 token and taken Rs1 for each token from my investors this is my capital .

Finally my project completed and Hyundai, Maruti ,M&M company implemented my project , I also enrolled banks to support my buyers , I also enrolled service centre to support my clients those are car byers. At this point the CRYPTO currency play the role.

Like car company, service centre, financial institution all will accept My Token not the Rupee on exchange of goods and service. All token will have underlying value in Rupee and this will be obligated in my network or any one using my network. Since I have maximum token 10000 and it will not increase then only alternative is value of token will increase. When more car manufacturing company, service centre will use my project the value of my token will increase .

How crypto TOKEN add to value ?

Example:In year 2000 one vegetable, fruit and grocery store come up in Chennai and functioning till day based on crypto currency concept.

On open he sold Rs 5000 token to 3000 peoples and in principle agreed not to sale any more token. The token holders' benefit will be 15% discount on their bill as and when they purchase from store + 2 % interest per month if you do not make any purchase from the store on any month . He laid down the condition that incase his business fail to succeed then this Rs 5000 will be the loss for token holder. Hence it is community driven and community managed blockchain.

His business flourish and his token holders benefitted if any token holder change his location, he or she can sell that token to new member at a price set by Auction in his store. When such token will be available for auction the store owner will display and new member buy it. The current price of Token is Rs 25000.

Any one trust on his business model and stand with him in initial days benefited through profit sharing . Anyone has a token but not shopped once in that store also benefited . it is a classic example of crypto token

How is Block chain technology going to change the future business environment?

Example :You have gold loan scheme in bank where in bank give the 70% value of your gold in cash and charge 3% interest on it. So Entire risk , litigation , profit from interest , processing fee is with bank . The money given by the bank also belong to depositors.

Think differently if bank ask his depositors any one willing to offer 80% value on this gold deposit with higher interest and bank will act as a custodian and seize and hand over the gold incase of non obligation of loan commitment then the banks risk and earning will be distributed and bank can charge a % of money as facilitation fee.

Stock broking :Exchange, Depository , Broker, Clearing house involved in this operation. Using block chain technology if the transaction happens then non of these parties are required. If all shares of company held in a blockchain then all the orders will be settled through P-to-P net work in nodes.

Health care , insurance , agriculture all kind of sales & service will be benefited in this tokenize currency transaction .

Major crypto currency

Flowers in Chania

How to trade in Crypto currency?

More then 5000+ crypto currency trade in market with different block chain concepts and on different sectors.

Crypto tokens are issued by different Information technology Block chain development companies to meet their initial funding requirement . Once the industry implement or adopting their project the token gain its value because the token holder get cost effective and privilege service by the implementing industry.

Risk involved in crypto currency trading and investment.

Why business adopting block chain technology rapidly

Crypto currency types :

1. Crypto currency : Example bitcoin, Lite coin

2. Side chain Currency. Polkadot, liquid 

3. Crypto Token which work on crypto currency . Polygon (MATIC)

4. Crypto currency exchange: Example Bianca coin Crypto minor are the people who add the transaction to the block chain.


Bitcoin Transactions

Share Investment V Crypto currency

What will happen if the crypto currency investment banned in India?

Why Crypto currency eco system is needed for India ? The big business, financial institution, political class will never allow a startup ecosystem having global ambition to grow . However Crypto currency eco system will allow it to happen.

Conclusion :you are investing on a startup just knowing his business vision and not looking at its past performance and growth.

Wrong interpretation by Experts on crypto currency ?