In addition to Bitcoin, what is a digital currency

Of course, the hottest is Bitcoin, in addition to Bitcoin, there are: 1. Litecoin (Litecoin) Similar to Bitcoin, Litecoin is also an encrypted digital currency, which has recently climbed sharply. It is an open-source digital currency for P2P, which can be regarded as a fork of Bitcoin.

However, although Litecoin is based on the Bitcoin protocol, it does not require extremely high computing power and can be mined using ordinary computers. Litecoin's algorithm is derived from the algorithm designed by Dr Colin Percival for the Tarsnap Secure** backup service for Linux and other open-source operating systems. 2. Namecoin Namecoin is also based on Bitcoin, which is another open source branch.

Namecoin is a distributed DNS protocol - in layman's terms, it is capable of converting human-intelligible names into machine-understandable addresses. As its own DNS, this currency is able to operate outside of the normal Internet and is therefore able to escape from ICANN's control. The monetary value and domain names of Namecoin are stored in the user's blockchain record, limiting the total to 21 million.

It is an electronic currency, (Bitcoin) is an artificially designed electronic currency, which does not need to be issued by a bank or a third-party institution in the real society, nor does it need to be cleared through a specific network. It is growing steadily, and there are no institutions that can issue this currency indiscriminately, so there are no inflation worries. As the difficulty of obtaining Bitcoin continues to increase, so does the value of Bitcoin.

1. Different legal status: Bitcoin.

characterized as a special commodity in our country; Central Bank Digital Currency.

It is legal tender and has a national credit endorsement.

Second, the nature is different: Bitcoin is decentralized; CBDCs are centralized currencies.

3. The issuance is different: the total number of bitcoins issued is 21 million; The issuance of central bank digital currency is determined by the central bank depending on the amount of money in circulation in the market.

4. Different circulation scopes: Bitcoin circulates all over the world; For the time being, CBDCs are only circulating domestically.

5. Different amounts of value: The value of Bitcoin fluctuates greatly with market transactions; The central bank digital currency is a digital yuan, so its value is basically stable.

Bitcoin is a decentralized digital currency, and the account is anonymous, that is, no one knows whose account it is. The central bank digital currency is a legal digital currency issued by the People's Bank of China, which is essentially RMB, but it is a digital version of RMB.

Central bank digital currency is a centralized digital currency issued by the state, the account is real-name, the transaction can be traced, and it belongs to the semi-private ledger.

Only ** authorities have access to it.

Extended Materials. Digital currency.

Digital currency is another form of existence and circulation of fiat money, which exists in a digital way compared to the banknotes and coins that are now in circulation. The legal existence of digital currency is legal and based on blockchain technology.

Born. Features of digital currencies.

Digital currency is a kind of legal digital currency, which is applicable all over the world and has all the characteristics of money, such as value scale, means of circulation, means of payment, world currency, etc. The issuing unit of digital currency is issued by each country**.

Digital currency already exists in our lives.

Basic characteristics of digital currencies:

1.At its core, cryptography is the core;

2.Flowing accounting currency;

3.distributed ledger of blockchain;

network protocols.

5.Web payment system.

What is the relationship between blockchain and digital currency?

Blockchain is the underlying technology of digital currency issuance, which is also the most direct relationship between the two, they can exist independently of each other and shine. Finally, in terms of value, digital currencies are generally equivalent to fiat currencies.

One RMB.

The digital currency is equivalent to the one-yuan RMB banknote; And virtual currency.

It is generally priced by the platform, saying that it is as much as it is, while Bitcoin is priced by the market, so it fluctuates greatly.

Digital currency. An alternative currency in the form of electronic money, an unregulated, digital currency that is typically issued and managed by developers and accepted and used by members of a specific virtual community. Both digital coins and cryptocurrencies are digital currencies.

People's Bank of China, September 24, 2021.

Issued a notice to further prevent and deal with the risk of speculation in virtual currency transactions. The notice states that virtual currencies do not have the same legal status as fiat currencies.

The official website shall prevail.

The first digital currency is DECP. It is mandatory for the state and cannot refuse to use it, and if it is successful, it marks a new stage for the Chinese currency.

The first true digital currency was not Bitcoin, but ecash, which was an important milestone in the history of digital currencies.

Is Bitcoin a currency? Is it **? Is there a bubble?

Believers in Bitcoin insist that Bitcoin is a currency, of course, it can also be called an electronic currency, and Bitcoin is also defined as a currency in some developed countries in Europe and the United States. However, in China, the monetary attributes of Bitcoin are not recognized, and Bitcoin can only exist as a special Internet commodity.

Bitcoin's younger brothers, Litecoin, Vitality Coin, and Ether, are also subject to this regulation of the central bank.