Original subtitles

1

What is cryptocurrency

2

it is a digital currency in which encryption techniques are used.

3

to Regulate the generation of units of currency and verify the transfer of funds operating independently

4

without a central bank.

5

What this basically means is your current currency is issued by the central bank and it's like Managed

6

by a network of banks.

7

Therefore they're verifying it on each and every level.

8

And therefore you need to pay taxes and all that stuff. Whereas cryptocurrency is not managed or operated by

9

a central bank and it is highly encrypted.

10

So no one can just hack and see the data if you own X Y Z fund or not.

11

So it's really safe. Bitcoin was the first cryptocurrency developed in 2009.

12

Since then many new Currencies are formed and are known as alt-coin. Crypto currencies are all based

13

on de-centralized network which means they are not operated by one known entity or one known company.

14

They are de-centralized.

15

They're available on many network of computers.

16

Therefore it's really hard to get data or to hacking into. In centralized banking and economic

17

system such as the Federal Reserve system.

18

Government control the supply.

19

That's where you see that Governments hold the power through interest rate etc.

20

They can issue more paper money and all that stuff.

21

If a country's good its currency rises otherewise it's currency falls and thats what we are seeing around the world.

22

Example when its currency is going down down down because they're printing more and more money each

23

and every day.

24

So you are in a fix because the government knows how much money you have and can tax you.

25

And on the flip side they can print more money which decreases the value of your money in your bank.

26

This is what a centralized banking or economic system is.

27

Whereas in the case of decentralized group currency companies can not produce new units.

28

Therefore it's not under any government control.

29

This is what is cryptocurrency.

30

Thank you.