What is Cryptocurrency?
Cryptocurrency is a digital currency or digital asset that is used for more or less the same activities as fiat currency. Cryptocurrencies are created with the utilization of blockchain technology, they are operated on a software network, and there is no single authority that controls the network. One of the most popular cryptocurrencies is Bitcoin. Cryptocurrencies are a new form of money whose availability and popularity surged during the last decade because they function differently than the traditional fiat currencies used in their physical form.
Some of the basic and most prominent features of cryptocurrency are:
- A virtual currency
- It is stored on a digital wallet or cold hardware wallet
- It is not created or issued by a central bank or a government
- It is issued with the utilization of technological process
Computers are used to solve complex math problems and verify solutions which in turn generates (mines) cryptocurrency. Thousands of cryptocurrencies are in existence today
