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Cryptography: The Encryption Phenomenon In Digital Economy

Cryptography dates back to the time of the Roman ruler ‘JULIUS CAESAR’ who used this method to converse in olden times. Since the inception of cryptocurrency, we have seen the frequent use of this word. After the beginning of the digital era, we did not have the proper mechanism to provide the utmost security to people and they faced many cybercrimes and frauds taking place. This was when the upgraded cryptography techniques took place and people were assured full cybersecurity.

The Encryption Phenomenon In Digital Economy

In cryptocurrency, there is a phenomenon called ‘Blockchain’ which is used to secure the data provided inside the blocks. These blocks contain all the information which is secured through the network called “Cryptography”. These blocks are formed through the application of mathematical algorithms which are of complex nature. These algorithms are called codes which can only be opened by the person to whom the desired information is given. Cryptography uses encoding and decoding techniques by ensuring full confidentiality in the online transaction. The language used in cryptography is called CIPHER.

Types of texts used in cryptography:

  • Plain/ simple texts
  • Cipher texts

 

The simple type of text is that text which anyone can decipher while the cypher text is a text formed by the machine used for sending it further. The cypher text is fully secured and cannot be hacked when it is on its way to the receiver. There is a particular key that is used to open the text. The key is used to read the cypher texts and convert them into plain ones.

KEYS USED IN CRYPTOGRAPHY

  • Symmetric key
  • Asymmetric key

sender and receiver are the same parties in the case of the asymmetric key. Whereas, the asymmetric key is that key that is not the same and is different for both sender and receiver.

BENEFITS

The benefits may be enormous when you step into the digital economy. First of all, it keeps your data safe as it is cryptographically secured that will not let your data circulate to the public. It prohibits access to information from any third party. Secondly, it offers authentication. For example, any digital signature that has been provided to you is encrypted through the usage of codes that involves mathematical equations. Such encryption would enable you to know that both parties are the same and the information is being transferred to those parties only to whom it is ought to. There are certain laws related to cryptography that help in different spheres while you make any online transaction, they are:

  • Seizures
  • Patent control
  • Import control
  • Export control

It is impossible to ban it because it is spreading in almost every sphere of the world. You need to be up to date with technology if you want to get maximum benefits out of it. The different platform uses these advance techniques to secure their data. Before investing in bitcoin do some research and read about future of digital currency

CONCLUSION

The use of cryptography is there in the digital world so that it gains the trust of people and they don’t give a second thought for investing in the crypto economy. Cryptography uses complex phenomenon to ensure full transparency in terms of transaction without disclosing the identity of people using it. It is a fully secured platform that immunes you from cyber frauds.

I hope this article gave you a slight idea about the working of cryptography in the digital world, and how it secures your data from hackers. I wish the article would help me to build your trust in investing in cryptocurrency so that you make good returns and profits out of your investment that you have done from your hard-earned money.

 

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