What is an altcoin? What do you make money from?

Altcoins are a collective term for virtual currencies other than Bitcoin

What are altcoins and altcoins? What are the differences and connections?

Altcoins refer to blockchain assets that use Bitcoin ** as a template and have made some modifications to its underlying technology blockchain, among which there are technical innovations or improvements, also known as altcoins.

Because Bitcoin is open source, the cost of copying Bitcoin is very low, and even a new blockchain can be generated by simply copying Bitcoin and modifying some parameters.

There are hundreds of altcoins that exist today. Most altcoins are not recognized by the market due to the weak technical strength of the founders, lack of technical maintenance, lack of market promotion, etc., and have no investment value. A small number of excellent altcoins developed by teams with strong technical strength and innovation ability can be recognized by the market and have investment value, and we are more familiar with altcoins such as Litecoin and Ethereum.

According to reports, with the explosion of Bitcoin, China's domestic virtual currencies have become popular, and they are uniformly called "altcoins" in the industry, with more than 30 kinds.

According to the report, with the popularity of the altcoin market, some unscrupulous developers, after developing a virtual currency, before introducing it to the market, first organize a part of the total amount of virtual currency issuance for themselves, which is generally less than 2 percent, and even 90 percent in very cases. When the virtual currency has a certain value or is on the trading platform, a large number of sales are realized, which makes miners and investors suffer huge losses, so the first element of choosing virtual currency is zero pre-mining.

Industry insiders said that the original purpose of virtual currency is financial innovation and getting rid of traditional currency exchange and payment models, which in itself is worthy of recognition. But now, with the rampant "altcoin" in China, it has been replaced by investment, speculation, and even illegal phenomena such as money circle.

However, all kinds of digital currencies emerge in an endless stream, holding high the banner of virtual currency "altcoin" pyramid schemes more and more, only in 2017, a number of major cases investigated and dealt with by public security organs around the country in accordance with the law, involving 107 currencies, the amount involved is usually more than 100 million yuan.

The main feature of altcoins is to modify or even directly apply the source of Bitcoin (because the Bitcoin program is open source) to achieve a new name, a new currency is born, just like Litecoin, although it is different from Bitcoin in terms of total issuance and block packaging time, but its source ** is basically a copy of Bitcoin, only slightly modified.

Strictly speaking, except for Bitcoin, all the digital currencies generated after that are "altcoins", because they are all imitations of Bitcoin, using the idea of blockchain decentralization, distributed ledger, cryptography and other underlying technologies to issue and circulate. It's just that the modification of ** is large and small.

An altcoin like Litecoin is basically a complete copy of Bitcoin**, and it is not an exaggeration to say that he is an altcoin.

Coins such as Ethereum, Ripple, and EOS, although they use blockchain technology, only a few of them borrow from Bitcoin ideas and do not completely copy the Bitcoin source code, so it is not appropriate for us to call them "altcoins".

Moreover, it should be noted that altcoins are not counterfeits, this is a matter of translation, which we generally translate into altcoins in China, while abroad they are called rival coins.

Some good altcoins (or altcoins) can indeed solve some pain points in real life, and there are also practical application scenarios, such as the Ripple we introduced earlier, which can solve the problems of low efficiency and high fees in cross-border payments.

To sum up, "altcoins" are based on Bitcoin source code or ideas, and they have innovations and certain application scenarios.

Hello subject:

At present, in the virtual currency, except for Bitcoin, the others are classified as altcoins. The virtual currency was driven by Bitcoin, and then other currencies were developed on the basis of Bitcoin's technology. There are a lot of altcoins on the Chinese currency.

I haven't heard of altcoins before, but depending on which trading platform is more reliable, we can do further understanding from an authority such as WikiBit for example, for example, if we encounter a situation where we can't withdraw coins or are frozen for no reason, we can go to WikiBit to complain, and we can further understand this situation on this kind of trading platform.

I can give you some opinions on this issue, and the block is still quite good.