Digital assets are more than just bitcoin and they are having an incredible impact on how legitimate and illegitimate transactions are conducted. Breaking it down to a simple level there are three basic forms of digital assets:
- Digital currency is the electronic form of traditional currency. It is what is stored in a digital wallet, transmitted electronically and then turned into actual cash when withdrawn from a bank or ATM.
- Cryptocurrency is the encrypted form of digital currency that uses blockchain technology to move it around. Cryptocurrency does not require a financial institution to verify the transaction.
- Non-fungible tokens (NFTs) are a one-of-a-kind digital asset that represents a real-world item such as photos, music, videos and trading cards.
Unfortunately, as with any new technology, bad actors are finding ways to exploit these assets while the rest of the world is still trying to fully understand them. Continue reading