Cryptocurrency is a type of digital or virtual currency that uses cryptography for security, making it difficult to counterfeit or double-spend. Unlike traditional currencies issued by governments (fiat money), cryptocurrencies operate on decentralized networks based on blockchain technology—a distributed ledger enforced by a network of computers (nodes). The most well-known cryptocurrency is Bitcoin, but there are thousands of others, including Ethereum, Ripple, and Litecoin. Cryptocurrencies can be used for a wide range of applications, from digital payments to decentralized finance (DeFi) platforms, and are known for their potential to provide financial inclusion and disrupt traditional financial systems.
