Electronic Currency Basics

Electronic Currency Advantages

• Electronic currency transactions can be irreversible. This is an advantage because it makes it more difficult for fraudsters to reverse transactions.
• One example of electronic currency is Bitcoin.

Digital Wallets

• A digital wallet is used to store electronic currency.

Electronic Currency Terms

• Blockchain: a distributed, public ledger that records cryptocurrency transactions.
• Cryptocurrency: a digital or virtual currency that uses cryptography for security.
• Digital wallet: a software program that allows users to store, send, and receive cryptocurrency.
• Mining: the process of verifying and adding new transactions to the blockchain, which is rewarded with cryptocurrency.
• Decentralization: the absence of a central authority or bank controlling the currency.
• Volatility: the rapid and unpredictable fluctuations in the value of cryptocurrency.
• Smart contracts: self-executing contracts stored on the blockchain that automate agreement terms.

Electronic Currency: Advantages

• Electronic currency transactions are irreversible.
• This makes electronic currency less susceptible to fraud and theft compared to traditional cash.
• Electronic currency transactions can be easily tracked and monitored.
• This makes it more difficult to engage in illegal activities like money laundering.

Electronic Currency: Examples

• One example of electronic currency is Bitcoin.

Digital Wallets

• A digital wallet is used to store electronic currency.
• It is a software program used to manage and store electronic currency.

Terminology: Electronic Currency

• Blockchain: A distributed database that stores information about electronic currency transactions.
• Cryptocurrency: A type of digital currency that uses cryptography for security purposes.
• Digital Wallet: A software program used to store and manage electronic currency.

Electronic Currency: Technology

• Most electronic currencies rely on blockchain technology.
• Blockchain is a decentralized and transparent ledger of all transactions.

Electronic Currency: Use Cases

• Electronic currencies can be used for online and offline purchases.
• They can also be used for other purposes, such as sending and receiving money.

Electronic Currency Security

• Electronic currencies are often secured using cryptography.
• This is used to ensure the security and integrity of transactions.

Electronic Currency Terminology: Definitions

• Cryptocurrency: A type of digital currency that uses cryptography for security.
• Blockchain: A distributed ledger system for recording transactions.
• Decentralized: Not controlled by a single entity. Transactions are peer-to-peer.
• Digital Wallets: A software program used to store and manage electronic currency.