Cryptocurrency is a digital or virtual currency that uses cryptography for secure financial transactions. Cryptocurrencies are decentralized systems that use peer-to-peer networks to verify transactions and to manage the creation of new units of a particular cryptocurrency. They operate independently of a central bank or other financial institution, and are often used as a means of exchange for goods and services.
Cryptocurrencies are based on blockchain technology, which is a decentralized, digital ledger that records transactions on multiple computers. This makes it difficult for transactions to be altered or hacked, as they are recorded on multiple computers and can only be modified with the consensus of the network.
There are many different types of cryptocurrencies, with the most well-known being Bitcoin. However, there are also many other cryptocurrencies, such as Ethereum, Litecoin, and Monero, to name a few. Each cryptocurrency has its own set of characteristics and features, and they are all traded on online exchanges.