The value of cryptocurrency is determined by a number of factors, such as the limited supply, market demand, and the technological features of the blockchain. Unlike traditional currencies, cryptocurrencies often have a limited issuance, which makes them a hedge against inflation. For example, Bitcoin, with its fixed number of coins, limits the possibility of their creation, preventing devaluation. Another important element is decentralization: the absence of control by government authorities increases the level of trust among users. The innovative blockchain technology also plays an important role, ensuring transparency and security of transactions.
11/15/2024 4:22:55 PM (GMT+1)
How does cryptocurrency maintain its value?


This material was prepared by Khachatur Davtyan, developed and translated by artificial intelligence.