Cryptocurrency

Cryptocurrency is a type of digital or virtual currency that uses cryptography for security. It operates on decentralized networks based on blockchain technology, which ensures transparency and immutability of transaction records. Unlike traditional currencies issued by governments (fiat currencies), cryptocurrencies are typically created through a process called mining or through initial coin offerings (ICOs). They enable secure, peer-to-peer transactions without the need for intermediaries like banks. Bitcoin, created in 2009, was the first cryptocurrency and remains the most well-known. Other examples include Ethereum, Ripple, and Litecoin. Cryptocurrencies can be used for various purposes, including online purchases, investment, and as a means of transferring value across borders. Their value can be highly volatile, and the regulatory environment surrounding them varies significantly across different countries.