Cryptocurrency
Cryptocurrency
Definition: A digital form of money that uses cryptography for security and operates independently of central banks. It exists purely online, with no physical coins or bills. Unlike traditional currencies, cryptocurrency is decentralized, meaning it is not controlled by any single authority like a government or bank. Transactions are recorded on a public ledger called a blockchain, which is maintained by a distributed network of computers. Cryptocurrencies are considered secure because they rely on cryptographic techniques to protect transaction data and prevent fraud. They enable peer-to-peer transactions, allowing users to send and receive payments directly without intermediaries. Common examples include Bitcoin, Ethereum, and Solana. People use cryptocurrencies for investment, online payments, decentralized finance (DeFi), smart contracts, and non-fungible tokens (NFTs).
Definition: A digital form of money that uses cryptography for security and operates independently of central banks. It exists purely online, with no physical coins or bills. Unlike traditional currencies, cryptocurrency is decentralized, meaning it is not controlled by any single authority like a government or bank. Transactions are recorded on a public ledger called a blockchain, which is maintained by a distributed network of computers. Cryptocurrencies are considered secure because they rely on cryptographic techniques to protect transaction data and prevent fraud. They enable peer-to-peer transactions, allowing users to send and receive payments directly without intermediaries. Common examples include Bitcoin, Ethereum, and Solana. People use cryptocurrencies for investment, online payments, decentralized finance (DeFi), smart contracts, and non-fungible tokens (NFTs).