Crypto Terms:
Letter R
What are Regional/Local/Community Currencies?
Meaning:
Regional/Local/Community Currencies -
can be defined as money that's used in a specific geographic area.
Let's find out Regional/Local/Community Currencies meaning, definition in crypto, what are Regional/Local/Community Currencies, and all other detailed facts.
Regional/Local/Community Currencies are a certain type of currency that is specific to a geographic area. However, each of them differs in its own ways.
Community currencies are usually spent within that specific community. Local currencies refer to money being exchanged in a specific geographic area. On the other hand, regional currencies are connected to local currencies except this money is used in a much bigger geographic area.
The currency’s value can be determined by a variety of factors. Some regions equate their local currency to the state’s currency. While some smaller communities prefer to provide labor as a means of exchange. Therefore, forgery is something a local currency seldom has to face.
There are as many reasons for creating local currencies as there are local currencies themselves. Here are some examples of why they pop up:
- In order to support local businesses by spending only within the community, area, or region;
- Skepticism in regards to the legal tender. High inflation leaves people scrambling for different mediums of exchange. It’s particularly prominent in South America and has been around for hundreds of years;
- The belief within the community that the focus should not be on maximizing profit. Certain communities believe that by using the state’s currency they’re discouraging the interactions between members of said community. It’s more of a social reason that can have some positive developments like increased employment, local business promotion, and others.
It’s difficult to say what action the government will take as a result of a growing local currency. However, it’s clear that it can become a threat to the state’s currency.
It’s important to note that the originators of local currencies prefer for them to lose value over time. That way people won’t hoard the money.
This is where the crypto sector comes in where the communities can fix a certain amount of the local currency to a token. Blockchain technology offers a method of automating local currencies while also allowing them to slowly lose value based on a set rate.
crypto world, a currency is only regulated if it is sold as a <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-security/">security under state or federal law, or if it is used for money transmission under state law or conduct.<\/p>\n<p>Besides regulated cryptocurrencies, <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-market/">markets can also be regulated. A regulated market means that it's an idealized system in which the government or other groups supervise the market and exert control over supply and demand factors, as well as the <strong>market actions<\/strong>.<\/p>\n<p>The forms of regulation that can be found in regulated markets include oversights, taxation, environmental protection, <strong>controls<\/strong>, and anti-discrimination. Though note that due to a change in attitude towards a specific regulation or a variety of technological advancements, regulation can change over time.<\/p>\n<p>Another approach to thinking about the market is as <strong>a multilateral system maintained by a market operator<\/strong> with the goal of bringing together a large number of third-party buyers. Of course, this is in addition to the sale of financial instrument holdings. Financial instruments, which have been admitted to trading under its rules, could also be <strong>contracted <\/strong>under this system.<\/p>","definition":"controlled by a set of rules to work properly.","status":"published","meta_title":"What does Regulated mean? Definition & Meaning | Crypto Wiki","meta_description":"Regulated meaning: Regulated - controlled by a set of rules to work properly.","meta_keywords":null}"
:prev-section="{"id":935,"wikipedia_url":"https:\/\/en.wikipedia.org\/wiki\/Data_redundancy","level":"hard","author_id":1,"created_at":"2023-06-19T06:59:01.000000Z","updated_at":"2023-12-05T11:42:59.000000Z","slug":"what-is-redundancy","title":"What is Redundancy?","section":"R","keyword":"Redundancy","content":"<p>Redundancy refers to the <strong>unnecessary excess of an element<\/strong>. It’s a broad concept that encompasses numerous fields, including computing, communications, and <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-cryptocurrency/">crypto. Redundancy can describe additional information or features that may not be necessary beyond the potential possibility to take over if the <strong>initial feature malfunctions or fails<\/strong>.<\/p>\n<p>Given the range of examples of redundancy, attempts to list all of them can themselves be redundant. Some of the common instances of redundancies experienced in the everyday life are:<\/p>\n<ul>\n<li>Computing – unused extra storage <strong>space<\/strong> available on computers. In this case, the redundancy acts as a security measure to ensure that the system does not run out of storage in case of technical failure;<\/li>\n<li>Networks – additional pathways connecting the nodes. The duplicates are established to ensure that the network traffic does not experience interferences even if the network encounters issues;<\/li>\n<li>Communications – additional channels that are used to <strong>ensure data security<\/strong> as it travels via different paths;<\/li>\n<li>Datacenter design – extra servers. Additional systems are established to keep running if the first one goes down.<\/li>\n<\/ul>\n<p>As seen in the examples, redundancies are often relied upon as failsafe technologies. They ensure that the processes are steadily maintained even if the primary features encounter any problems that could disrupt the service.<\/p>\n<h2>Benefits of Redundancy<\/h2>\n<p>Redundancy can be a helpful feature to <strong>increase system productivity<\/strong> and consequently improve financial performance. Companies that rely on redundancy as a security measure often provide more reliable services and maintain a good reputation in the market. Therefore, using redundancy measures can help companies grow <strong>their clientele<\/strong> and increase revenue.<\/p>\n<p>Redundant systems require more hardware resources like processors to improve the system capabilities and function more smoothly. This can decrease the possibility of lag for the users. A redundant system can overtake some of the network load in case the computer system is <strong>overloaded<\/strong> and help maintain a steady service without any delays.<\/p>\n<p>As a failsafe tool, redundancy can help avoid system issues if the server crashes and the system data is corrupted or erased during a failure. Redundant systems can be used to <strong>synchronize backup<\/strong> and ensure that as much of the lost data can be recovered as possible.<\/p>\n<h2>Blockchain Redundancy and Fault Tolerance<\/h2>\n<p>Blockchain essentially functions as a <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-distributed-ledger/">distributed ledger<\/strong><\/a>. It is used to store transaction data that is considered <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-immutable/">immutable – it <strong>cannot be modified<\/strong> after verification. This data can then be accessed and viewed by all members of the blockchain networks.<\/p>\n<p>To ensure that the data is accurate and its legitimacy is agreed upon by the network nodes, the blockchain uses a <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-consensus/">consensus mechanism<\/strong><\/strong><\/a> as means of verification. The redundancy is created by providing each network member with a copy of the blockchain record, thus ensuring all data is valid throughout the system.<\/p>\n<p>Thanks to the redundancy of data, blockchains are considered to be highly fault-tolerant. The downside of this trait is the massive requirement for storage space across the network. Creating transaction copies for all participants of the chain requires each <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-node/">node to use up more storage space and computational resources.<\/p>","definition":"an unnecessary excess of information, features, or other aspects.","status":"published","meta_title":"What is Redundancy? Definition & Meaning | Crypto Wiki","meta_description":"Redundancy meaning: Redundancy - an unnecessary excess of information, features, or other aspects.","meta_keywords":null}"
:model="{"id":661,"wikipedia_url":"https:\/\/en.wikipedia.org\/wiki\/Local_currency","level":"medium","author_id":1,"created_at":"2023-06-19T06:59:00.000000Z","updated_at":"2024-01-09T13:59:05.000000Z","slug":"what-are-regional-local-community-currencies","title":"What are Regional\/Local\/Community Currencies?","section":"R","keyword":"Regional\/Local\/Community Currencies","content":"<p><strong>Regional\/Local\/Community Currencies<\/strong> are a certain <strong>type of currency that is specific to a geographic area<\/strong>. However, each of them differs in its own ways.<\/p>\n<p>Community currencies are usually spent within that specific community. Local currencies refer to money being exchanged in a specific geographic area. On the other hand, regional currencies are connected to local currencies except this money is used in a much bigger geographic area.<\/p>\n<p>The currency’s value can be determined by a variety of factors. Some regions equate their local currency to the state’s currency. While some smaller communities prefer to provide labor as a means of exchange. Therefore, forgery is something a local currency seldom has to face.<\/p>\n<p>There are as many reasons for creating local currencies as there are local currencies themselves. Here are some examples of why they pop up:<\/p>\n<ul>\n<li>In order to <strong>support local businesses<\/strong> by spending only within the community, area, or region;<\/li>\n<li><strong>Skepticism in regards to the legal tender<\/strong>. High inflation leaves people scrambling for different mediums of exchange. It’s particularly prominent in South America and has been around for hundreds of years;<\/li>\n<li>The belief within the community that <strong>the focus should not be on maximizing profit<\/strong>. Certain communities believe that by using the state’s currency they’re discouraging the interactions between members of said community. It’s more of a social reason that can have some positive developments like increased employment, local business promotion, and others.<\/li>\n<\/ul>\n<p>It’s difficult to say what action the government will take as a result of a growing local currency. However, it’s clear that it can become a threat to the state’s currency. <\/p>\n<p>It’s important to note that the originators of local currencies prefer for them to lose value over time. That way people won’t hoard the money. <\/p>\n<p>This is where the crypto sector comes in where the communities can fix a certain amount of the local currency to a <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-token/">token. Blockchain technology offers a method of automating local currencies while also allowing them to slowly lose value based on a set rate. <\/p>","definition":"can be defined as money that's used in a specific geographic area.","status":"published","meta_title":"What are Regional\/Local\/Community Currencies? Definition & Meaning | Crypto Wiki","meta_description":"Regional\/Local\/Community Currencies meaning: Regional\/Local\/Community Currencies - can be defined as money that's used in a specific geographic area.","meta_keywords":null,"author":{"id":1,"user_id":1,"created_at":"2023-05-03T14:30:55.000000Z","updated_at":"2023-05-11T07:18:20.000000Z","title":"Editor-In-Chief","slug":"aaron-s-editor-in-chief","description":"<p>Having completed a Master’s degree on Economics, Politics & Culture for the East Asia region, Aaron has written scientific papers with a comparative analysis of the differences between US’ Western and Japan’s Collective forms of capitalism, 1945-2020.<\/p>\n<p>With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.<\/p>\n<p>Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.<\/p>\n<p>Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.<\/p>","user":{"id":1,"first_name":"Aaron","last_name":"S.","email":"aaron@bitdegree.org","email_sanitized":"aaron@bitdegree.org","email_verified_at":"2023-12-01T09:40:20.000000Z","must_verify_email":false,"is_registered_with_wallet":false,"status":"active","country":"LT","last_connected_ip":"88.119.132.125","image_id":2641,"referral_token":"05TMu2NysXOCn525","referred_by":null,"created_at":"2023-05-03T14:30:55.000000Z","updated_at":"2024-01-09T15:22:21.000000Z","full_name":"Aaron S."}}}"
:chapter-list="[{"id":1,"title":"Blockchain","slug":"blockchain","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-blockchain.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/blockchain-101.jpg","rating":100,"sections":[{"chapter_id":1,"order":1,"slug":"what-is-blockchain","title":"What is the Blockchain?","status":"published","modified_content":null},{"chapter_id":1,"order":2,"slug":"decentralized-blockchain","title":"Anonymous & Decentralized Blockchains: The Cornerstone of Crypto","status":"published","modified_content":null},{"chapter_id":1,"order":3,"slug":"blockchain-transaction","title":"What is a Blockchain Transaction in Crypto?","status":"published","modified_content":null},{"chapter_id":1,"order":4,"slug":"crypto-fees","title":"The Different Types of Crypto Fees Explained","status":"published","modified_content":null},{"chapter_id":1,"order":5,"slug":"what-is-bridging-in-crypto","title":"The Key Notion Behind the Concept of Bridging in Crypto","status":"published","modified_content":null},{"chapter_id":1,"order":6,"slug":"types-of-blockchains","title":"Different Types of Blockchains: What to Look Out For?","status":"published","modified_content":null}]},{"id":2,"title":"Cryptocurrencies","slug":"cryptocurrencies","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-cryptocurrencies.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/cryptocurrencies-101.jpg","rating":100,"sections":[{"chapter_id":2,"order":1,"slug":"what-is-a-cryptocurrency","title":"What is a Cryptocurrency?","status":"published","modified_content":null},{"chapter_id":2,"order":2,"slug":"how-does-cryptocurrency-work","title":"How Does Cryptocurrency Work?","status":"published","modified_content":null},{"chapter_id":2,"order":3,"slug":"is-cryptocurrency-a-good-investment","title":"Is Cryptocurrency a Good Investment? 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Mining?","status":"published","modified_content":null},{"chapter_id":9,"order":3,"slug":"what-is-staking-crypto","title":"An Advanced Look into What is Staking Crypto","status":"published","modified_content":null},{"chapter_id":9,"order":4,"slug":"what-is-proof-of-stake-vs-proof-of-work","title":"Proof-of-Work VS Proof-of-Stake: The Differences That Matter","status":"published","modified_content":null},{"chapter_id":9,"order":5,"slug":"what-is-crypto-mining-rig","title":"Crypto Mining Rig: What It is and How to Build One?","status":"published","modified_content":null}]},{"id":10,"title":"Crypto Terms","updated":false,"chapter":"crypto\/assets\/crypto-book\/chapters\/crypto-101-glossary.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-glossary-101.jpg","rating":100,"sections":["A","B","C","D","E","F","G","H","I","J","K","L","M","N","O","P","Q","R","S","T","U","V","W","X","Y","Z"]}]"
current-chapter="R"
current-section="what-are-regional-local-community-currencies">
