electronic currency

Electronic currency also known as e-money, electronic cash, digital money, digital cash or digital currency which refers to money or scrip that is exchanged only electronically. Typically, this involves use of computer networks, the internet and digital stored value systems. The examples of electronic money are Electronic Funds Transfer (EFT) and direct deposit. EFT refers to the computer-based systems used to perform financial transactions electronically while direct deposit is a banking term used to refer to certain systems used to transfer money.


Electronic currency allows its holder to buy the goods and services that the greatness of the internet offers. A private currency may use gold to provide extra security, such as digital gold currency. An e-currency system may be full backed by gold (like e-gold and c-gold), non-gold backed, or both gold and non-gold backed (like e-Bullion and Liberty Reserve). Other than that, some private organizations, such as US military use private currencies such as Eagle Cash. Many systems will sell their electronic currency directly to the end user, such as Paypal and WebMoney, but other systems such as e-gold, sell only through third party digital currency exchangers.


The main focuses of digital cash development are:
1. being able to use it through a wider range of hardware such as secured credit cards.
2. linked bank accounts that would generally be used over an internet means for exchange with a secure micropayment system such as in large corporations (PayPal)


The digital cash can provide many benefits such as convenience and privacy, increased efficiency of transactions, lower transaction fees, and new business opportunities with the expansion of economic activities on the internet. Other than that, there are many potential issues with the use of digital cash. The transfer of digital currencies raised local issues such as how to levy taxes or the possible ease of money laundering. There are also potential macroeconomic effects such as exchange rate instabilities and shortage of money supplies (total amount of digital cash versus total amount of real cash available, basically the possibility that digital cash could exceed the real cash available). These issues may only be addressable by some type of cyberspace regulations or laws that regulate the transactions and watch for signs of trouble.


Electronic currency trading can let you to do business and earn only few dollars of investment. In fact, some of the experts will suggest the beginners to start with only a few dollars so that they can first learn the ropes of electronic currency. Besides, electronic currency trading has a low transaction cost. Unlike other businesses that will eat up your profit with a huge amount of fees and give you more profit and money. There are few websites examples that can let people to do e-currency trading such as MG E-currency, IT GOLD.com



Related links:

1. http://www.selfseo.com/story-6264.php

2. http://en.wikipedia.org/wiki/Electronic_currency

3. http://www.romow.com/business-blog/benefits-of-e-currency-trading/