Рафаэль Никогосян - Crypto Kids: A Beginner's Guide to Cryptocurrency for Children
© Rafael Nikogosian, 2023
Quotes from Great People about Bitcoin and blockchain
Bitcoin will do to banks what email has done to the postal industry.
Rikard Falkwinge
Bitcoin is the ultimate aerobatics in the world of technology.
Bill Gates
Every informed person should know about bitcoin, as it may turn out to be one of the world’s most important technological achievements.
Leon Lev
Bitcoin is the most important invention in world history after the Internet.
Roger Ver
Bitcoin is a very promising development, a potential global currency. I think that in the next ten years it will become one of the most important ways to pay for goods and move assets.
Kim Dotcom
Bitcoin is a remarkable achievement of cryptography, and the opportunity to create something that is not reproducible in the digital world has great value.
Eric Schmidt
Preface
Dear readers!
I am pleased to present to you my book «Crypto-children: A Guide to Cryptocurrencies for Children and for Beginners». I believe that cryptocurrencies have become an integral part of the financial system in our modern life, and knowledge of their work and principles can be useful and even necessary for people of all ages.
My book is intended for children and for anyone who wants to understand what cryptocurrencies are and how they work. In it, I talk step by step about the principles of the blockchain, about various types of cryptocurrencies and how they can be used for purchases and investments. I also discuss security issues so that readers can avoid fraudulent schemes.
My book is written in a clear and accessible language so that everyone can understand the principles of how cryptocurrencies work. I am sure that after reading my book, you will be able to better understand the world of finance and use cryptocurrencies for your own purposes.
I hope that my book will help you master this new and exciting field and will be a useful guide for you and your family.
Sincerely, Rafael Nikogosian
Chapter 1. What is Cryptocurrency?
Cryptocurrency is a type of digital currency that uses complex mathematical algorithms and cryptography to ensure security and anonymity. It differs from traditional currencies such as rubles, dollars or euros in that it has no material form and is not associated with any government or financial institution.
Some of the most popular cryptocurrencies are Bitcoin and Ethereum. These cryptocurrencies are used to make purchases and sales on the Internet, as well as to transfer money anywhere in the world. Cryptocurrencies can also be used to invest and earn money.
One of the main advantages of using cryptocurrency is its security. All transactions in cryptocurrency are registered in a public registry called blockchain.
Blockchain can be compared to a general ledger, which is stored on thousands of computers around the world. Each block contains information about new transactions that have occurred in the system. When a block is full, it is added to the block chain, which cannot be changed or deleted. This makes the cryptocurrency safe and protected from fraud.
In addition, the cryptocurrency ensures complete confidentiality of transactions, which means that no one can find out who sent or received money, and how much was transferred. This makes it especially attractive for people who value their privacy. Also, the cryptocurrency is decentralized, which means that it is not controlled by any government or financial institution. This allows us to create a more democratic system where everyone can use and invest in cryptocurrency, regardless of their nationality or social status.
However, there are some disadvantages of the cryptocurrency, for example, its instability. Cryptocurrency prices can change very quickly, which can lead to a loss of money for those who invested in it. There is also a risk of hacking, so it is very important to keep your cryptocurrency safe.