We are joined by Ricardo of Bitcoin Cape Town, as he explains cryptocurrencies. Cryptocurrencies are forms of digital currencies such as Bitcoin, Ethereum, and Litecoin, amongst others. They are a system distributed and managed by company servers that change currencies such as USD into digital currencies that can be used as an online across the world.
Bitcoin users download the app where they are given their own Bitcoin wallet, where they can send and receive Bitcoins. These cryptocurrencies specifically Bitcoin is excepted as millions of websites worldwide as forms of payment. As it’s an easier system of for online payments, cryptocurrencies are often used in underworld black market sails, due to the fact that its easier to manipulate personal details, compared to using bank accounts or credit cards. The Bitcoin network works on a public ledger called the "block chain". It’s a ledger that stores every transaction processed on the user’s device, which allows it the device to be able to verify the validity of each transaction.