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Emma William

What is the difference between digital currency and cryptocurrency?

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What is the difference between digital currency and cryptocurrency?

Cryptocurrency-Vs-Digital-Currency-696x449.jpg.0e631f974241dc8978df77e21794635c.jpg

 


I think that many beginners and newcomers do not know that there is a difference between digital currency and cryptocurrency .. so I saw that it is my duty to explain the difference between the two.

The difference between digital currencies and cryptocurrencies is what we will explain to you in this topic, because the encrypted economy is something new to the world, just as cryptocurrencies, many confuse digital currencies and cryptocurrencies, so in this article we will try to know the difference between cryptocurrencies and digital currencies and What are the main differences between the two, cryptocurrencies and digital currencies?

 

Digital Currency

 

Digital currencies are the money used on the Internet. It is digital money in the form of numbers. It has no materially equivalent in the real world. But digital currencies have all the characteristics of traditional money. Just as local money, you can get it, transfer it or exchange it for other currencies.

You can use it to pay for goods and services, such as filling out phone and Internet accounts, buying online, paying for bills ... digital currencies have no geographical or political boundaries. Transactions may be sent from anywhere to any point in the world. Digital accounts and wallets can be considered bank deposits.

Crypto Currency
 

Cryptocurrencies or Cryptocurrencies are a variety of digital currencies but are encrypted with their own system. Cryptocurrencies or Cryptocurrencies are an asset that is used as a medium of exchange. It is considered reliable because it is based on a complex cryptographic system based on cryptography.

One of the primary goals of cryptography is to make communications safe and secure. It creates and analyzes algorithms and protocols that allow data to be encrypted so that no information, how it was, is changed, or allowed to be viewed by third parties. Cryptography is a combination of a large number of different sciences, with mathematics being the primary science in cryptography. Mathematics is responsible for the reliability of the encoded algorithms and protocols.


What are the main differences between the two, cryptocurrencies and digital currencies?
 

  • Architecture: Digital currencies are centralized. There is a group of people and computers that regulate the state of transactions in the network. As for currencies, cryptocurrencies or cryptocurrencies are decentralized, based on distributed (computers) systems that manage transactions.
     
  • Anonymity: Cryptocurrencies require user identification. He will need to upload his personal photo, some documents issued by the public authorities, proof of address ... and many other documents and procedures that prove the identity of the person. Either purchase, investment, or any other cryptocurrency operations do not need or require any of that needed by digital currencies. However, the cryptocurrencies or Cryptocurrencies are not 100% anonymous. Although the wallets' addresses do not contain any confidential information such as name, residential address, etc.


    What other differences do you know between digital and cryptocurrencies?
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Actually, cryptocurrencies are being encrypted and decrypted while the asset of transferring money between tow parts. Thanks for the technology of the private and public key that is being used for example in the bitcoin blockchain. the difference between digital currencies and cryptocurrencies is obviously clear when we think in the thing deeply. 

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 The most important difference you already mentioned up in the topic that digital money is centralized which get controlled by every country’s Central Bank and on decentralized currency mean crypto currency has no control on people or on a organizations..  By the way, it would be more better if you mentioned first digital currency which is egold and first crypto currency which is bitcoin..  But a common difference is people love digital currency more than crypto currency😊                                

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6 minutes ago, Omar98 said:

Thanks for the technology of the private and public key

Yes, the security and encryption system that exists in the cryptocurrency project is the most important characteristic of this project, and this thing is considered a key factor for the success of the project
 

 

1 minute ago, Dorjoy12 said:

The most important difference you already mentioned up in the topic that digital money is centralized which get controlled by every country’s Central Bank and on decentralized currency mean crypto currency has no control on people or on a organizations.

Yes, and this is true because digital currencies are linked to the central bank of each country!
While in the cryptocurrency project there is no central bank!
That is, there is no specific authority managing the cryptocurrency order!

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Being a digital currency that you can use from anywhere. Digital currency is not seen.  But you can be used to purchase different products online etc.  In cryptocurrency on the other hand a security is a complete currency.  It can be earned from crypto.  Basically the difference between the two currencies is in the transaction....

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18 minutes ago, Emma William said:

While in the cryptocurrency project there is no central bank!
That is, there is no specific authority managing the cryptocurrency order!

 But a thing you need to do now that usa trying to regulate bitcoin price though i think it wont be possible so far... If usa become successful in this way then there will be a trouble in crypto world and People will be forced to leave crypto world..   By the way, crypto currency is for new generation so its our duty to make it more popular..                

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It's all about understanding the differences between the centralized and decentralized currencies.. this issue should be known well for everyone who interested in this crypto world in my opinion.. but unfortunately , there are still many people think that the cryptocurrencies are the same with the digital currencies and it isn't right and it shows us the ignorance of these people about this crypto world and how it works! these decentralized cryptocurrencies projects affect directly on the whole international financial world system and we don't even know what would happen with the current economic world system in the near future.. so let's wait and see what can these decentralized projects do!

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Very informative. That's why cryptocurrency is better than digital currency. When it comes on holding a money, Cryptocurrency is better because its decentralized, you won't get any tax from it, unlike the digital currency. The downside of Cryptocurrency is when you get hacked because of your lack of knowledge in cryptocurrency, no one can help you since all users are anonymous. Unlike in digital currency, all information are filled up, and can be track by the government or the bank.

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A lot of people think digital currencies are the same as cryptocurrencies. However, anyone working in the crypto market should know the difference between them. Digital currencies are centralized, while cryptocurrencies are decentralized, based on distributed computer systems that manage transactions.

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49 minutes ago, MuhammadSh said:

It's all about understanding the differences between the centralized and decentralized currencies.. this issue should be known well for everyone who interested in this crypto world in my opinion.. but unfortunately , there are still many people think that the cryptocurrencies are the same with the digital currencies and it isn't right and it shows us the ignorance of these people about this crypto world and how it works! these decentralized cryptocurrencies projects affect directly on the whole international financial world system and we don't even know what would happen with the current economic world system in the near future.. so let's wait and see what can these decentralized projects do!

Yes, this is true and for me I was one of those people who thought that the digital currency is the same as the cryptocurrency!
But today, by chance, I read some information about digital currency and found out that it is not like the cryptocurrency and is completely different from it!
So I liked to publish this topic to show the difference!
I think the reason we don't know these things is because we haven't read the basics of cryptocurrencies properly

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I think that many members wasnt know about that .. many bignners think that Cryptocurrency is nearly to Digital currencies !

This is because people dont read about these things !

I think that digital currency is used to buy thing online ! like when you want to buy video games or books

in another hand Cryptocurrencies are using to make your money being bigger and to make your capital bigger !

with Cryptocurrencies we earn alot of profits.

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9 hours ago, Emma William said:

What is the difference between digital currency and cryptocurrency?

Cryptocurrency-Vs-Digital-Currency-696x449.jpg.0e631f974241dc8978df77e21794635c.jpg

 


I think that many beginners and newcomers do not know that there is a difference between digital currency and cryptocurrency .. so I saw that it is my duty to explain the difference between the two.

The difference between digital currencies and cryptocurrencies is what we will explain to you in this topic, because the encrypted economy is something new to the world, just as cryptocurrencies, many confuse digital currencies and cryptocurrencies, so in this article we will try to know the difference between cryptocurrencies and digital currencies and What are the main differences between the two, cryptocurrencies and digital currencies?

 

Digital Currency

 

Digital currencies are the money used on the Internet. It is digital money in the form of numbers. It has no materially equivalent in the real world. But digital currencies have all the characteristics of traditional money. Just as local money, you can get it, transfer it or exchange it for other currencies.

You can use it to pay for goods and services, such as filling out phone and Internet accounts, buying online, paying for bills ... digital currencies have no geographical or political boundaries. Transactions may be sent from anywhere to any point in the world. Digital accounts and wallets can be considered bank deposits.

Crypto Currency
 

Cryptocurrencies or Cryptocurrencies are a variety of digital currencies but are encrypted with their own system. Cryptocurrencies or Cryptocurrencies are an asset that is used as a medium of exchange. It is considered reliable because it is based on a complex cryptographic system based on cryptography.

One of the primary goals of cryptography is to make communications safe and secure. It creates and analyzes algorithms and protocols that allow data to be encrypted so that no information, how it was, is changed, or allowed to be viewed by third parties. Cryptography is a combination of a large number of different sciences, with mathematics being the primary science in cryptography. Mathematics is responsible for the reliability of the encoded algorithms and protocols.


What are the main differences between the two, cryptocurrencies and digital currencies?
 

  • Architecture: Digital currencies are centralized. There is a group of people and computers that regulate the state of transactions in the network. As for currencies, cryptocurrencies or cryptocurrencies are decentralized, based on distributed (computers) systems that manage transactions.
     
  • Anonymity: Cryptocurrencies require user identification. He will need to upload his personal photo, some documents issued by the public authorities, proof of address ... and many other documents and procedures that prove the identity of the person. Either purchase, investment, or any other cryptocurrency operations do not need or require any of that needed by digital currencies. However, the cryptocurrencies or Cryptocurrencies are not 100% anonymous. Although the wallets' addresses do not contain any confidential information such as name, residential address, etc.


    What other differences do you know between digital and cryptocurrencies?

Thank you sir for this wonderful lecture, may God continue to increase you in knowledge. Let me try and summarize it and see if am correct.

Digital currencies are money used on online for payment and they can also be convert into our traditional money, at point what I understood is the digital currencies are non physical money that we spend.

While cryptocurrency  is also a digital currency but it has it own body or system unlike others...

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Cryptocurrency and digital currency are being used interchangeably but there are lots of difference between them. We can say all cryptocurrency are digital currency but not all digital currency can be regarded as crypto.

The blockchain technology network is the main difference between them. Centralisation, anonymity and transparency of blockchain in cryptocurrency unlike digital currency system.

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Digital crruncy is an online crruncy that we used on internet in the form of digit for many purposes.such as doller .on the other hand cryptocurrency is the form or type of digital crruncy that we will use in future for international trading.such as bitcoin.

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I think that the difference between the digital blockage and the encrypted currency is that the digital currency belongs to an institution or country. As for the encrypted currency, it is a decentralized currency with no real guarantor

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you can call cryptocurrency by digital because they are already on the web , but you cant call digital currency a crypto currency because they are centralized while crypto is decentralized ..

 

 

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7 minutes ago, Captin said:

I think that the difference between the digital blockage and the encrypted currency is that the digital currency belongs to an institution or country. As for the encrypted currency, it is a decentralized currency with no real guarantor

Yes, this is relatively true ..
But it is also possible, through digital currencies, to use online product purchases!
Also, through cryptocurrencies, we can buy products over the Internet, so I consider that this is a point of similarity, not a difference!
That is, both currencies have a global scale, not a local one

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Digital currency are the currency which are regulated by their own government and they can be used only in their country but cryptocurrencies are the decentralized coin and no one is regulating the coin they go on on their demand and supply and they have their own value and they can be use to trade from one country to other if cryptocurrencies are accepted in both countries.

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Personally I can say that cryptocurrency is a subset of a digital currency although there are some key differences between the two of them, in case of authority; digital currencies are normally managed by  central authority that can deal with any problems or issues such as, the central body can freeze or cancel transactions on the request of the participant or the authorities while Cryptocurrencies are regulated by their respective communities only.

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Thats right and things on digital currency are more usable in many more ways compared in the crpytocurrency as we all know crypto is used more in a business way and while the digital one is more usable in everyday life things example when buying stuff from the market something like that.

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Just now, decemberends said:

Thats right and things on digital currency are more usable in many more ways compared in the crpytocurrency as we all know crypto is used more in a business way and while the digital one is more usable in everyday life things example when buying stuff from the market something like that.


This is what I am trying to communicate through this topic ... Many people still have the idea that cryptocurrencies are like digital currencies through which we can buy and sell items online .. Yes, it is true that we can do this, but this is not the main goal of cryptocurrencies!
With cryptocurrencies, we can make huge profits because their price changes constantly

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Digital currency is a type of currency which is controlled and adjusted by a government or central bank but cryptocurrency.Digit currency is a visible currency.  Cryptocurrency is also a digital currency but it is not controlled by anyone either government or Central bank.both have no physical existence.

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Yes, basically!  Of course I think I would answer my friend as one of the people studying information technology.  And I also think that digital currency is an unencrypted currency and computers or mobiles can easily understand it.  Because it is written in computer language and it understands the binary, eight and hexadecimal systems and the computer understands the language of eLocks and units, while encrypting the currency encrypted with its name so that it cannot be stolen

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Yes, many confuse digital currencies with cryptocurrencies, and think of them as one
 Although cryptocurrencies are a type of digital currency, there are some basic differences between the two.  In terms of structure, transparency, transaction processing and transfers, and legal aspects

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computer can easily understand of digital currency language cause of its make same as computer language and its unencrypted currency. basically cryptocurrency is not centralized that means is not under any company. so i prefer digital currency.

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Technical analysis tools are clearly devoid of such disagreements. Therefore, all 100% of trend indicators and oscillators on D1 point north, with 20% of the latter already in the overbought zone. It should be noted that while the green/north color of indicators regarding the British pound indicates its strengthening, in relation to the yen, it signals its weakening. Therefore, we advise paying attention to the GBP/JPY pair, whose dynamics have been very impressive lately.   The nearest support level is around 156.25, followed by zones and levels of 155.25-155.45, 154.60, 153.60-153.90, 153.00-153.15, 151.85-152.35, 150.80-151.00, 149.70-150.00, 148.40, 147.30-147.60, and 146.50. The nearest resistance is in the zone of 157.20, followed by 157.80-158.00, 158.45, 159.40, and 160.20-160.30.   From the events of the upcoming week, we recommend noting the speech of the Bank of Japan Governor Kazuo Ueda on Monday, 27 May, as well as the publication of consumer inflation (CPI) data in the Tokyo region on Friday, 31 May.   CRYPTOCURRENCIES: A Week Under the Ethereum Flag     In 2024, the crypto community began gradually forgetting the term "crypto winter." However, there was no talk of a "crypto spring" either. After the halving on 12 April, in the absence of a bull rally, small traders and speculators began selling off their coin reserves. According to The Block Research, the rate of opening new BTC wallets fell to a six-year low. However, the whales buying digital gold for the future prevented a complete collapse in prices. And finally, at the end of the calendar spring, it seems spring has come to the crypto market. And it was awakened by the Federal Reserve System (Fed) of the USA with its monetary policy. According to analysts, the surge in investments in digital assets was a response to the May consumer inflation (CPI) report in the US, which positively impacted the risk appetites of institutional investors.   According to CoinShares, investments in crypto funds increased by $932 million from 13 to 17 May, after an inflow of $130 million the previous week. For the first time, there was an inflow of $18 million into Grayscale's ETF. This sharp increase in BTC-ETF investments, the highest in the last nine weeks, triggered a sharp rise in bitcoin on 20-21 May, approaching $72,000 for the first time since 09 April.   After bitcoin rose above $71,000, its price updated historical highs in the local currencies of several Asian and South American countries. According to CoinMarketCap, in Japan, BTC reached a record level of 11.2 million yen at the start of trading on 21 May. This is the first case where the flagship asset's price exceeded 11 million yen. Digital gold prices also peaked in Argentina, where the leading cryptocurrency reached 63.8 million Argentine pesos, slightly above the maximum on 14 March.   In the Philippines, one bitcoin briefly rose to 4.18 million pesos, the highest since mid-March 2024. In several other countries, BTC prices also equalled or were very close to mid-March's maximum prices: in the UK, Australia, Canada, Chile, Colombia, Egypt, Israel, Norway, India, South Korea, Taiwan, and Turkey.   However, the Fed and American macro statistics, having awakened the markets, also calmed them. After strong business activity data in the US, BTC/USD returned to the support zone of $67,000. Another (and probably the main) reason why bitcoin could not update its historical high was its main competitor, ethereum, which drew investors' attention. (More on this below).   QCP Capital expects bitcoin to reach $74,000 and update its ATH (All-Time High) in the coming months. According to the company's economists, institutional acceptance of cryptocurrency is accelerating, and improving conditions in the global economy create conditions for capital inflows into risky assets. The US presidential election, scheduled for 5 November 2024, is also starting to have a strong positive impact on the cryptocurrency market.   Cryptocurrency themes continue to strengthen in the pre-election rhetoric of candidates seeking to gain the votes of the crypto community, which, according to NYDIG, numbers more than 46 million citizens in the US, or 22% of the adult population. Haseeb Qureshi, Managing Partner of Dragonfly Capital, believes that in such a situation, the administration of President Joseph Biden will soon be forced to ease its policy regarding the digital asset industry. A complete turnaround is not to be expected, but a softening of the position will still occur, Qureshi said.   CNN has recently reported on upcoming debates between Biden and his competitor, Donald Trump. The incumbent president will have to answer a number of uncomfortable questions about the harsh policy towards the crypto industry, which led to the outflow of cryptocurrency capital, the closure of large companies, and high-profile lawsuits. From Donald Trump, who turned the topic of cryptocurrency into a weapon against his opponent, in addition to attacks for the current state of affairs, loud pre-election promises can be expected, which could lead to significant volatility in the crypto market. Possible participation of Elon Musk, who expressed willingness to become a moderator, and independent candidate Robert Kennedy Jr., should enliven the debates, the first round of which is scheduled for 27 June, and the second for 10 September.   The main beneficiary of the past week was not bitcoin but ethereum. On Monday, 20 May, news reached the media that the US Securities and Exchange Commission (SEC) asked companies to update Form 19b-4 in applications for launching spot Ethereum ETFs in an accelerated manner. After these news, the financial agency Bloomberg immediately raised the chances of such funds being approved from 25% to 75%. Against this background, the leading altcoin quickly outpaced the flagship cryptocurrency in terms of growth rates.   The deadline for the first two applications from VanEck and Grayscale was Thursday, 23 May. Shortly before the X hour, ETH/USD reached $3,947, showing a growth of almost 30% in three days. According to Coinglass, the amount of liquidations and forced closures of short positions on crypto exchanges amounted to $340 million. A total of 78.8 thousand positions were liquidated, and the largest individual liquidation occurred on the HTX exchange for the ETH/USDT pair for $3.1 million.   The SEC did not disappoint expectations and on 23 May approved not two but a total of eight applications for the issuance of spot ETFs based on Ethereum and gave the go-ahead for trading and listing these funds on exchanges. According to Variant Investments Chief Legal Officer Jake Chervinsky, this step signals a "significant shift in US crypto policy, possibly more important than the ETFs themselves." This may also mean that recognizing ethereum as a commodity, the regulator will not categorize many other altcoins as securities. According to Rekt Capital, the market is already on the verge of an altcoin rally, the peak of which is expected in July.   Experts expect significant capital inflows after the listing of ETH-ETFs and believe that billions of dollars will be invested in derivatives in the first week after trading starts. Analysts from QCP Capital believe that the altcoin rate in the short term can rise to $4,000 and exceed $5,000 by the end of the year.   An even bolder forecast is given by Standard Chartered Bank economists. They expect capital inflows into such funds in the first year to range from $15 to $45 billion (2-9 million ETH). In this case, the fund's demand will lead to the asset's rate rising to $8,000 at a bitcoin rate of $150,000. Moreover, if market dynamics are positive, by 2025, the price of Ethereum will reach $14,000, and bitcoin's rate will increase to $200,000.   As of the evening of Friday, 24 May, BTC/USD is trading at $69,900, and ETH/USD at $3,735. The absence of an immediate pump and some drawdown of this pair on 23-24 May can be explained by the fact that everyone who wanted to has already managed to buy ethereums ahead of the SEC's historic decision. The total cryptocurrency market capitalization is $2.55 trillion ($2.42 trillion a week ago). The Bitcoin Fear & Greed Index (Crypto Fear & Greed Index) has not changed and remains in the Greed zone at 74 points.   And in conclusion of the review, forecasts from Artificial Intelligence. The latest version of GPT-4o from OpenAI believes that the price of bitcoin on 1 August 2024 will be in the range of $76,348 to $89,108 "considering current market factors and historical trends." GPT-4o's competitor, the anthropic AI model Claude 3 Opus, has formed an even more optimistic vision, designating the range between $105,072 and $167,808 by the indicated date. NordFX Analytical Group   Notice: These materials are not investment recommendations or guidelines for working in financial markets and are intended for informational purposes only. Trading in financial markets is risky and can result in a complete loss of deposited funds.   #eurusd #gbpusd #usdjpy #btcusd #ethusd #ltcusd #xrpusd #forex #forex_example #signals #cryptocurrencies #bitcoin #stock_market   https://nordfx.com/ 
    • Там то и тыкать не особо нужно, включил и пускай фармит. Это в других тапалках (и то не во всех) нужно каждый раз тыкать, тут почти пассив 😉
    • Полиция Южной Кореи раскрыла крупную группу криптомошенников   Южнокорейские полицейские арестовали 19 человек, которые выступали участниками мошеннической группы, действующей в социальных сетях. По данным властей, задержанные управляли открытым чатом, через который обманули сотни криптовалютных инвесторов.   Изначально мошенники предлагали пользователям чата законные способы вложений в цифровые активы, используя их некоторые инвесторы даже смогли получить прибыль. Такие действия преступников должны были усыпить бдительность, чтобы в дальнейшем люди без раздумий инвестировали в незарегистрированные криптовалюты. Когда инвесторы поняли, что их обманули, они потребовали вернуть деньги, но мошенники к тому времени уже заблокировали доступ к чату.   В результате расследования правоохранители выяснили, что в сети мошенников попали 308 человек, которые в общей сложности лишились примерно $19 млн.   По данным полицейского управления Южной Кореи, ещё как минимум шесть преступников находятся на свободе, скрываясь в других странах. Интерпол уже получил «красные уведомления», предписывающие арестовать их. Все участники мошеннического чата были завербованы главарём, чьё имя пока не раскрывается. Он помогал им незаконно въезжать в страну, а затем забирал у этих людей паспорта и мобильные телефоны, чтобы принудить к сотрудничеству. Источник - https://ru.investing.com/news/cryptocurrency-news/article-2425428
    • Даа, лучше поздно, чем никогда. Все таки будем вернуть свои ошибки, когда альты тоже будут расти. Но биткоин пока уверенно себя ведёт, я уверен что до конца года дойдет хотя бы до 90к. Эти альты меня так пугали, что с очень осторожностью покупаю их. 
    • Добрый вечер, уважаемые пользователи! Мы работаем ежедневно с 10:00 до 22:00 (МСК)  - Дорогие друзья, напоминаем Вам про #Акцию, дарим бесплатные AML проверки, для этого нужно обратиться в Telegram с сообщением "бесплатная AML проверка". Желаем Всем тем, кто работает - прибыльного и продуктивного дня. А тем, кто не работает - хороших выходных.
    • Залетаем в топовый кликер — Hamster Kombat          Hamster Kombat — игра-кликер, крайне похожая на Notcoin, однако имеющая одно важно отличие: возможность пассивного майнинга!Суть игры в том, что мы становимся CEO криптобиржи, задачей которого является её улучшение и продвижения, благодаря покупке и апдейтам карточек.Проект заключил партнерские отношения с KicksPad, а BingX подтвердила листинг токена игры на бирже.Что делаем?   Заходим в игру по ссылке;   Прокачиваем свой пассивный доход, собираем ежедневки;   Ждём листинг.   Все очень просто, как это и устроено в кликерах. Кто еще не участвует, это ваш шанс получить свою частичку аирдропа.
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