The Creation of Coins by Miners!!!

Let’s take a look on how the cryptocurrency mechanism is handling the databases.

Let’s take a look on how the cryptocurrency mechanism is handling the databases. A Bitcoin like cryptocurrency always holds a network of peers in which each peer is having an all-round record of the transactions carried out along with the balance of each account. Let’s take an example and take things lighter. Say a transactions file says “Tom give X Bitcoins to Scott and this transaction is being signed by the Tom’s private keys. Once this is done, the transaction will be broadcasted in a network, say from one peer to every other peer in the network. This is not a rocket science, just a basic p2p technology. The transaction will get notified instantly by the entire network. However, the confirmation is done only after a certain period of time, though this is the significant concept in cryptocurrencies. In short we can conclude that cryptocurrencies are all on confirmation. Until the transaction is confirmed, it can be considered as forged. And once it is established, it is insistent. When the transaction is confirmed, it can neither be reversed nor be forgeable. Remember, only the miners are having the rights to confirm the transactions as it is strictly their job. They will accept the transactions, stamp them and will then pass it to the peer network. Once confirmed by the miner, each node within the network will need to add the same to its database. And with this, it has become a part of the so-called blockchain. After this process, the miners will be rewarded with a cryptocurrency token, say the coins. Cryptocurrencies are considered as the digital gold; the one which guarantees to preserve as well as increase its value in the fullness of time. They are private and are secured enough to be served as a payment for the outlawed economic activities and for the black markets.