Where Cryptocurrency is Stored?

Question

I have started having a keen interest in cryptocurrency and it’s investments. For that matter, I wish to know where cryptocurrency is stored? Where does cryptocurrency gets stored?

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James Wayne 1 month 1 Answer 55 views 0

Answer ( 1 )

  1. Summary: The cryptocurrencies are virtual assets and are not physically present anywhere and nor can be stored in any folder. No physical entity represents cryptocurrencies. It needs to be stored in wallets specifically designed for cryptocurrencies and related trading and investments.

    Grasping the concept of private keys and public keys only go partway in understanding where your cryptocurrency assets are actually located. Unlike other assets, cryptocurrencies don’t have a physical location. Nor are they stored as data in folders. No physical asset exists as a representation of your cryptographic currency. However, this is where the concept of keys comes into play.

    A direct correlation between public keys and any associated currency exists. Thanks to the innovation of blockchain technology, your public key is used to ascertain the respective balance of any cryptocurrency asset. To be specific, any associated information is both distributed, as well as replicated, over a vast network of machines. In the case of many cryptocurrencies, such networks can number thousands of individual computers.

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