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A brief explanation of some keywords
Difference between a coin and a token
A common definition is that a coin such as Bitcoin (BTC) works with its own blockchain. A token, on the other hand, uses an existing blockchain, which precludes its additional use on another blockchain.
An illustrative description: Swiss francs (coins) can be used to buy vouchers (tokens) for a clothes store (blockchain), for example. The voucher serves no other purpose than to be exchanged for real clothes in this clothes store.
Difference between a public key and a private key
A public key is a not yet compressed version of the wallet address on which cryptocurren- cies are stored. A private key is required in order to gain access to the public key. The pri- vate key is therefore the actual key to the cryptocurrency on the wallet.
Or, figuratively explained: the wallet is like a postbox – anyone can put something in, but not everyone can remove its contents. The address of the postbox is the public key. To gain access to the postbox and its contents, the private key is required.
Crypto exchange
A crypto exchange works like a conventional stock exchange: it is based on supply and demand. However, crypto exchanges do not have their own wallet. Instead, they work with omnibus wallets.
The risk of crypto exchanges lies in the fact that they are an extremely attractive target for hackers. This is because cryptocurrencies worth several billion US dollars are located here.
Knowledge transfer
Does the young and dynamic crypto world still pose a challenge for you?
With their many years of expertise, our certified specialists are also personally available to answer any questions you may have about blockchain and digital assets. We see it as our task to take away your uncertainty with short individual training courses, meaning that you are in a posi- tion to optimally exploit the potential offered by the emerging asset class of digital assets.
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