Question

The vast majority of the population associates Blockchain with cryptocurrency Bitcoin; however, there are many other uses of blockchain; such as Litecoin, Ether, and other currencies. In this discussion, please describe at least two cryptocurrencies with applicable examples. Discuss some similarities and differences. Lastly, discuss if you have any experience using any cryptocurrencies.

Answer 1

Cryptocurrency:It is a digital currency which can be used as a medium of exchange over the internet.IT has strong cryptography for security of the financial transaction as well as verification for the transfer of coins.

Explanation:

There are many types of cryptocurrencies available today.

The most popular ones are:

Bitcoin,Litecoin, Dogecoin, Neo, Etherium, Ripple, Stellar, Cordano,etc

Ripple (XRP):

1. It was launched in 2012.
2. It has a release rate of 1 Billion per month with close to 1500 transactions occurring every second.
3. It was designed to be used by banks for financial transactions as a centralized transaction network.
4. XRP currency is used in Ripple,The money is first converted to XRP tokens and then sent over the RippleNet.It is again converted back to money from the XRP token when withdrawing is done.
5. The block time of Ripple is near instant as it was designed to be faster than other cryptocurrencies.

Stellar (XLM):

1. It was launched in 2014 by the co-founder of Ripple.
2. Stellar is the payment network which works similar to RippleNet and the cryptocurrency is Lumens(XLM).
3. The main similarity with Ripple is that,Stellar XLM was also designed for fast and efficient financial transactions.
4. It uses Stellar Network.
5. The maximum supply of Ripple is 100billion which is pre-mined,but Stellar does not have a upper limit to the maximum supply yet.
6. It has almost 1000 transactions occurring every second and the release rate is upto 1% inflation per year.
7. It is a bit slower than Ripple as the Block time is 5 seconds but still faster than many other cryptocurrencies.

For the Experience, you can write about crypt-trading(cryptocurrency trading).

I have used Binance as well as Coinbase for crypto trading a few times to buy cryptocurrency (XRP, BTC, or any new launched crypto currency) and sold them when their rates had increased to make some profit.There are many crypto-trading websites where you can register and purchase cryptocurrency using credit card/debit card/paypal,etc.The amount you pay is sent to your account wallet ,you can use that amount to buy the cryptocurrency from those platforms.When you buy the cryptocurrency,it will show up in your account wallet.When the price of the cryptocurrency increases and you want to sell,you can do it directly by clicking on the sell button next to the cryptocurrency you want to sell ,after selling you will receive the equivalent USD in your account wallet which can be redeemed to your paypal or bank.As the price fluctuates all the time ,there is always a chance that the value will drop and you may loose money,so you must always check on the price fluctuation and decide the right time to sell the cryptocurrency.