Cryptocurrency is a digital or virtual currency that uses cryptography for security. Cryptography is a method of protecting information using complex mathematical algorithms, making cryptocurrencies extremely difficult to counterfeit or manipulate.
Unlike traditional currencies such as dollars, euros, or rupees, cryptocurrencies are decentralized. This means they are not controlled by governments or central banks. Instead, they operate on blockchain networks maintained by thousands of independent computers around the world.
A blockchain is essentially a digital ledger that records every transaction made within a cryptocurrency network. Each transaction is grouped into blocks, which are then linked together to form a chain. Once a block is added to the blockchain, it cannot be altered or deleted.
This transparency and security are key reasons why blockchain technology has gained significant attention beyond cryptocurrency.
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