India is striving to become developed from developing. There are several things started in the country to make it better and rich in economy and technology. If we observe in this decade, India is not lagging in anything. All the UPSC aspirants must acknowledge the remarkable factors that are responsible for making the nation magnificent and should also grab the knowledge of the weaker ones to upgrade it in the future. A cryptocurrency is a virtual currency secured by the cryptography of one’s nation. It is important for the upgrade of the system. Cryptocurrency is used as a medium of exchange and ownership records. To know the complete details about cryptocurrency in India, you have to read this article. The cryptocurrency UPSC is an unavoidable topic. You must know about it. Check out the elaborate ideas on it.
Cryptocurrency in India
The state of cryptocurrency is to have a recorded computerized database of individual ownerships. It is a system of exchange along with being a virtual currency secured by cryptography. Cryptocurrency is prevented from the manipulation or interference of the government. It is not issued by the government of any nation. You must take the opportunity to read this article and observe the noticeable factors of the topic. It can also be called a digitized format of a computer network to spread the assets. The government regulatory bodies do not have any right to secure it due to its decentralized structure. You might be wondering where the word cryptocurrency comes from? Well, it is taken from encryption which means to secure a network. There are few requirements for the networks to fall under this word.
Requirements for Cryptocurrency
#1. There should be an absence of any centralized authority. Also, it must be maintained through distributed networks. This is a mandatory requirement.
#2. The system has to hold and maintain the record of cryptocurrency units omg with its owner.
#3. The organizing committee or the system has to decide whether new units can be created or not. If it can be created then the decision of the origin and the ownership terms must take place with sincerity.
#4. The cryptocurrency ownership units must be proved exclusively cryptographically for making it fair.
#5. The system has to allow the transactions. It needs to be performed in which ownership of the cryptographic units is changed.
Cryptocurrencies are making a great impact in India after the invention of bitcoin in the year 2008. It has a significant approach in the country as well as in the world. The astounding gains made by this sector since the outbreak of the Covid-19 pandemic in January 2020. According to the facts, “cryptomarket” grew by over 500% by this time. Cryptocurrencies are considered and recognized as legal tendencies. This was said by the finance minister in the speech of 2018- 19. Although it is making its mark in the minds of the people, there is still a long way to go to make this revolutionary change. India always starts the new technologies a little later than other countries due to certain reasons. There are so many advantages of this dynamic change to happen in India.
Have a Glimpse of its Types!
There are many types of cryptocurrency out of which bitcoin is the most popular, authentic, and used form. The other ones are created with the help of bitcoin and other grounds as well. It differs in functioning and specifications. Bitcoin was launched by an individual or group called the pseudonym, “Satoshi Nakamoto” in 2009. According to the research, March 2021has seen over 18.6 million bitcoins in circulation along with a total market cap of around $927 billion. This is great earning and development. Due to its success, several alternative currencies were made. These were called altcoins. The altcoins include Litecoin, Peercoin, Namecoin, Ethereum, and Cardana. All of these are making their impact in the market. This is noticeable that the aggregate value of the available currencies is around $1.5 trillion. You must know that Bitcoin alone currently represents more than 60% of the total value.
Importance of Cryptocurrency
This is true that every coin has two sides. Similar is the case with this increasing power of the economy. Many important factors are happening due to this currency.
#1. The biggest advantage of it is that there can be a control and check on corruption.
#2. Time effectiveness is another important factor. This helps save money and time for both the people i. e, remitter, and receiver. It is a cheaper form of transaction, unlike other online platforms.
#3. The transfer of funds becomes easy because there is no need for banks or credit and debit cards.
#4. Your payments are safe and secure. You can use modern cryptocurrency systems. It comes with a user “wallet” or account address. It is accessible only by a public key and pirate key. The remarkable feature is that the private key is only known to the owner.
Blockchain Technology – Facts to Know for UPSC
Blockchain technology is growing tremendously in the world. The blockchain is called a digital ledger. If you are wondering what a ledger is? We are here to explain. A ledger can be defined as a book that contains your credits and debits. So, blockchain is an organized digital ledger that is incorruptible for all your online transactions. It records the data and stores it for future benefits. This technology came in 2009 with bitcoin. It is generally a tool to use Bitcoins. These technologies must be at your fingertips to impress the interviewer. The examiners taking the UPSC interview will see your knowledge and confidence. So, prepare yourself excellently to make a home in their minds.
If you want to succeed in this prestigious examination, you must have the great initiatives of the country in your UPSC notes. Cryptocurrency is a peer-to-peer electronic cash system to avoid corruption and provide timely and cheap transaction methods. Although it is developing in the country, there is a need to regulate its approach for not being misused. You must acknowledge that Bitcoin traded at just $ 0.0008 in 2010. It has commanded a market price of just under $65,000 this April. China is facing the consequences of the crackdown and the USA is astounding others with its growing market of these currencies. Therefore, keep all the things concretely and concisely in your head to ace the exam with your skills.
The usage and identification of this topic are growing tremendously in this scenario. People are following it for their safety and support. The UPSC candidates must prepare for such informative things and pen down the important things as UPSC notes. It will help you to gain good marks in the CSE. It’s a tough call to apply and sit in the CSE but you can succeed in it with good quality knowledge and determination. You can comment below to ask any query popping up in your head. You must visit UPSC Pathshala to acquire unhinged and unhindered knowledge over several things from the experts. All the people preparing for any exam want to come in contact with experts or experienced people. This is an opportunity for you. Grab it and excel in the exam making your parents and your inner self proud.