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A cryptocurrency is a digital value unit based on a decentralized blockchain infrastructure. It is transferable and usable without the need for intermediaries or central authorities.

Cryptocurrency, simply known as crypto, is a class of digital assets considered a medium of exchange that uses cryptography to secure and verify transactions.

Cryptocurrencies are an alternative payment method within a peer-to-peer (P2P) digital economic system based on public-private key pairs cryptography to transfer coins and tokens.

Unlike traditional fiat currencies controlled by national governments, cryptocurrencies can circulate without a monetary authority such as a central bank.

Cryptocurrencies are usually created through mining, a procedure that uses computer processing power to solve complex mathematical problems and earn coins as a reward.

The most famous cryptocurrency and the oldest one is Bitcoin (BTC).

There are many known as altcoins or alternative digital assets to bitcoin (such as ether ETH, for example) but also stablecoins, memecoins, and shitcoins.

Blockchain users can also purchase these digital assets from brokers, known as centralized exchanges, which can also offer custodian services for storing cryptos using their encrypted wallets.

The main features of cryptocurrencies are:

  • Decentralization;

  • Irreversibility and immutability;

  • Anonymity (more precisely, using pseudonyms, known by the name of the address);

  • Limited supply and scarcity;

  • Transparency;

  • Speed.

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