Cryptocurrency is a digital or virtual currency that uses cryptography to secure and verify transactions and to control the creation of new units. Cryptocurrencies use decentralized systems, meaning they are not controlled by any government, financial institution or central authority. Instead, they rely on a network of computers to maintain the integrity of the system and validate transactions.
The most well-known cryptocurrency is Bitcoin, which was created in 2009. Since then, thousands of other cryptocurrencies have been created, such as Ethereum, Litecoin, and Ripple. Cryptocurrencies can be used for online purchases, investment, and as a means of payment. They can also be traded on cryptocurrency exchanges, where their value fluctuates based on market demand.
The underlying technology behind cryptocurrencies, known as blockchain, is a distributed ledger system that records all transactions in a secure and transparent manner. This technology allows for the creation of decentralized applications and is being explored for its potential to disrupt industries beyond just currency.
