The key difference between Reddcoin and Bitcoin
If you’re interested to invest into cryptocurrencies and want to convert Reddcoin to BTC where I command you to learn the technical difference between these two currencies before you make an exchange.
Being the pioneer of the cryptocurrency area Bitcoin was launched in 2009 and has shown the world a totally different way of exchanging value in comparison with centralized the banks and other financial institutions. Unlike traditional currencies such as USD and EUR, Bitcoin is not backed by gold or any products and the value that it has emanates from the possibility to store the transaction data on the public ledger.
All other cryptocurrencies are based on this principle and every new project tries to resolve the issues that Bitcoin has or to give the users some additional value. Reddcoin is the currency launched by the famous social platform Reddit and it gives its users a chance to make money on the valuable content that they share. You may want to convert BTC to RDD if you are an active Reddit user and want to reward other users for their content.
What is Bitcoin mining algorithm?
Before you exchange RDD to BTC or vice versa you should also know how these currencies are produced. In case of Bitcoin, the algorithm called Proof-of-Work underlies the currency creation and the value that it has. It works in the following way. The special machines called ASICs consume the electric power that helps them resolve computational problems. As a result of these processes, the new blocks are discovered and the information about transactions between users is stored in these blocks. The user who manages to discover a block is rewarded with Bitcoins for the work that the machine has performed.
The problem with this approach is that every new block is more difficult to find and requires more electricity making the mining process less profitable.
What is Reddcoin mining algorithm?
Reddcoin is based on the combined PoS and PoW algorithms eliminating the need to consume electricity.
The circulating supply of Reddcoin equals to , while its maximum supply equals to .
For Bitcoin, the circulating supply equals to 17,657,812, while its maximum supply equals to 21,000,000.
If you want to exchange Reddcoin to Bitcoin, the market capitalization is a very important index that you should pay attention to.
For Reddcoin, the current market capitalization equals to . Bitcoin’s capitalization equals to $93,353,946,559.00.