A fiat currency is money that is not backed by a physical commodity like gold but instead backed by the government that issued it. Most modern currencies, such as the U.S. dollar, euro, pound, and yen, are fiat money.

The Invention : In 1994, Nick Szabo ( a cryptographer ), came up with the idea of being able to record contracts in the form of computer code. This contract would be activated automatically when certain conditions are met. This idea could potentially remove the need for trusted third-party companies [such as banks] (M, 2021).

Blockchain Validation

Through frustration and unchecked abuses from centralized financial institutions, the public mandate for fair and equal ground toward financial independence caused cryptocurrencies to emerge from the middle class. Cryptocurrencies are a needed alternative to fiat currencies ( Money that has indirect market value or is given legal tender ). The fundamental technology behind the crypto monetary innovation is the blockchain.

Cryptocurrencies like Bitcoin and Ethereum are powered by a technology called the blockchain. At its most basic, a blockchain is a list of transactions that anyone can view and verify. The Bitcoin blockchain, for example, contains a record of every time someone sent or received bitcoin . Cryptocurrencies and the blockchain technology that powers them make it possible to transfer value online without the need for a middleman like a bank or credit card company.

Coins and tokens aren’t just words that belong in the game's arcade. They are important terms in the crypto world as well. While the...

NFT - NFT stands for Non Fungible Tokens. The most common question new users ask is: are NFTs cryptocurrencies? The answer is...well...

At its core, cryptocurrency is typically decentralized digital money designed to be used over the internet . Bitcoin, which launched in 2008, was the first cryptocurrency, and it remains by far the biggest, most influential, and best-known.