The creation of digital currencies takes place through specific technical processes, which include basic steps and concepts that include:
1. **Goal setting and design**:
- **Purpose**: Defining the main purpose of the digital currency (for example, a means of payment, a platform for smart applications, etc.).
- **Technical Design**: Choosing the encryption protocol and type of blockchain (such as Proof of Work or Proof of Stake).
2. **Blockchain development**:
- **Software development**: Writing the basic code for the digital currency using programming languages such as C++, Python, or Solidity.
- **Testnet launch**: Testing the blockchain on a testnet to identify and fix any bugs before the official launch.
3. **Launch the Mainnet**:
- After successfully testing the testnet, the mainnet is launched where the real blockchain is running and digital currencies are created.
4. **Mining (for currencies based on Proof of Work)**:
- **Mining process**: It involves solving complex mathematical problems to create new blocks and verify transactions.
- **Mining Rewards**: Miners receive rewards in the form of new units of digital currency.
5. **Set up smart contracts (for currencies based on platforms like Ethereum)**:
- Writing and publishing smart contracts that are automatically executed when certain conditions are met. This was followed by marketing, then development and growth of the business.