I will give you a global article on three key concepts relating to the cryptographic currency: the period of acquisition, capitalization and confirmation of transactions.
What is the acquisition period?
The period is available for a predetermined period of time during which an investor or a crime holder (who is often called “owners” and not only “owners”) must wait before they can sell their property. This period usually establishes a project or an exchange of cryptocurrency problems and its purpose is to prevent the sudden liquidation of the funds.
When the acquisition period begins, the stakes are blocked for a certain time (e.g. 1 year). During this period, any new coins are forged or created as part of the initial offer of coins (ICO) or token sales cannot be sold. The investor is basically detained for his property without accessing you by the end of the acquisition period.
What is capitalization?
The capitalization refers to the market value of the crypt currency at a certain moment, is usually expressed as a percentage of the total circulating offer (e.g. 24 -hour trading volume). Investors and traders often use it to measure general health and the management of activities. Capitalization can be influenced by several factors such as:
- Mercato feeling : A powerful tendency to Taurus or bear on the Crypt currency market can affect capitalization.
- Economic indicators : graft, Ratus inflation, number of employees and other intragractional data can affect investors on the trust.
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What is a confirmation of the transaction?
The confirmation of the transaction refers to the control process if the cryptocurrency transaction has been correctly developed on the blockchain network. This guarantees that the sender and the recipient have confirmed the property of the transferred property.
In most cases, the transactions are confirmed in a few seconds or minutes, but there may be some delay due to factors such as:
- Network congestion : The great application for confirmation confirmation can lead to a slower processing time.
- Blockchain control : The time required for the network on the network to confirm and process transactions can differ significantly.
The sign of the time of the certificate is usually viewed highlighting in the exchange of cryptocurrencies, wallets or intelligent contracts, providing users with the idea of when their transactions have been successfully processed.
Examples in the real world
To illustrate these concepts, we consider some examples from the real world:
* Bitcoin : Bitcoin has a 2.5 -year period for its private key to unlock the first block (Block Genesis). After the end of this period, the new coins are created by the extraction and can be sold.
* Ethereum : Ethereum has two main types of token: token ether (ETH) and Ether (ERC-20). The total ETH offer is limited to 21 million. When a new Erc-20 token is created, its supply cannot exceed the set of restrictions on the ETH.
* Litecoin : Litecoin has a 1 year period for its private key to unlock the first block.
In conclusion, the understanding of these three basic concepts (the period of acquisition, capitalization and confirmation of transactions) can provide a precious vision on the world of commercial cryptocurrency, total investments and market dynamics.