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Cryptocurrencies such as Bitcoin, LiteCoin, Ether, YOCoin, and many others have now been designed as a non-fiat currency. Quite simply, its backers contend that there’s “actual” worth, even through there is no physical representation of that worth. The worth grows due to computing power, that is, is the only way to create new coins distributed by allocating CPU power via computer programs called miners. Miners create a block after a time frame that’s worth an ever diminishing amount of money or some type of wages so that you can ensure the shortfall. Each coin includes many smaller units. For Bitcoin, each unit is called a satoshi. Once created, each Bitcoin (or 100 million satoshis) exists as a cipher, that is part of the block that gave rise to it. The blockchain is where the public record of all transactions resides.

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