Types of Crypto Currency and Crypto Wallet

Admin October 15, 2021 Uncategorized

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There are four types of crypto currency:

Bitcoin : (e.g. Store of Value)
Litecoin: (e.g. Used for daily transactions)
Ethereum: (e.g. Programmable)
Dash: (e.g. Transferable)

A crypto currency that can be used for daily transactions needs to gain wide acceptance and the only way to gain such acceptance is by being a store of value.

One cannot simply create a currency and expect people to use it as a medium of exchange. It has always been this way: you will not accept food stamps for your $100 burger and I will not accept a dollar bill for my $5 book. A currency has two main purposes: store of value and medium of exchange.

It is clear that the Dash community understands this concept very well, given that more than half of all masternodes (totalling 14,155 DASH) are hosted on hosting services such as masternode.me , which specializes in hosting masternodes. These users have a vested interest in the long-term viability of their coins and therefore they are not going to jeopardize them by selling them for something else, since they cannot be easily replaced. In other words, these users have a lot of skin in the game .

This is what Bitcoin has been missing all these years. Bitcoiners have always been the ones who sold first and bought later, because they don’t have a long-term investment in Bitcoin. Everyone’s main interest is to make a quick buck .

Secondly, Dash users are known for their love of privacy , which makes them one of the best target audiences for an increase in value. Ever since Edward Snowden’s revelations that the NSA has been spying on everyone, including foreign heads of state, people have become much more concerned about their online privacy.

Dash is now focusing its attention on becoming a payment system . Compared to other cryptos, Dash is far ahead with its instant transaction confirmation system (Instant Send). They now want to make it even better by integrating the Bitcoin core developer Gavin And resend’s code called “DIP 1: Payment Protocol Support” .

This would allow Dash transactions to be as simple as PayPal, with the sender and receiver knowing almost instantly whether the transaction has been sent or received.

What is Crypto Wallet?

A wallet stores offline and online addresses for crypto and tokens, as well as the private key to access those coins. In general, there are two types of wallets: offline and online. Offline wallets are used by individuals who wish to transfer coins from time to time without going through a third party or use a wallet that is not connected to the internet. On the other hand, online wallets are used by individuals who wish to have constant access to their coins in an exchange. All exchanges have their own wallet service for users who want easy access to their funds in an online environment. There are also other types of wallets like paper printout, hardware wallets (e.g. Ledger Nano S), application wallets (e.g. Coinomi), and multicoin wallets (e.g Bitgo).