Cryptocurrencies are rapidly becoming popular today. Every moment we turn our heads, there is news about cryptocurrencies. Cryptocurrencies are digital currencies that are secured by cryptography, making them very difficult to counterfeit. Just like there are many currencies like USD, Euro, Canadian Dollar, and GBP, there are many cryptocurrencies out there. Bitcoin is the most common cryptocurrency. Other cryptocurrencies include Ethereum, Litecoin, Zcash, Ripple, and Dogecoin.
Cryptocurrencies can be used in place of paper money. They allow faster and easier transfer of funds from one individual to another from any corner of the world. The cool thing about cryptocurrencies is that the transaction fees are rock-bottom. So, users of these cryptocurrencies can dodge the hefty transaction fees charged by most traditional financial institutions for wire transfers. They are also not controlled by any country or central bank. Besides supply and demand, their value depends on the number of people and merchants who are using them.
How to create cryptocurrencies such as Bitcoin and Ethereum
For those who have an extensive coding knowledge, creating a cryptocurrency is not a daunting task. But if you don’t have coding skills, you can form a partnership with an expert coder.
You’ll then need to study Satoshi’s original white paper, which describes all the processes needed to create a cryptocurrency.
You’ll then need to decide whether to create a Bitcoin fork or a new form of cryptocurrency. For instance, if you want to create a cryptocurrency similar to Bitcoin, you’ll have to tweak the Bitcoin code to make it more efficient, add more features to make it robust, or address its downsides. First, you’ll have to download the Bitcoin core and study it thoroughly. The fact that Bitcoin is open source means you can copy its code, create your coin and add new features and improvements.
However, if you intend to create a unique digital coin, it’s okay to start from scratch. But it’s advisable to base it on blockchain architecture because it’s the most trusted and solid framework right now. However, unless you have the time and zeal to outsmart Satoshi’s invention, aim to build your new cryptocurrency on a prequalified foundation, because his idea is already a success.
You should then lay down your working conditions and supply cap. Some potential cryptocurrency owners usually think of pocketing 10% of the total wealth. This is usually not advisable. Doing this may lead to lack of trust and adoption by users. Never make yourself essential when starting something new.
The last stage of creating cryptocurrency is to promote it. Satoshi was the first human to invent cryptocurrency (Bitcoin), and maybe he was lucky. Many people now already know about Bitcoin, and so you won’t pop easily. That’s why you should channel resources to marketing your invention. Once people become aware of it, they’ll start using it.
“Computers creating cryptocurrencies using up more electricity”. Seems counterintuitive https://t.co/y4Aw15ob1Z
— annmarie hordern (@annmarie) 15 de diciembre de 2017