Cryptocurrency is a type of digital or virtual currency that uses cryptography for security. It operates independently of a central authority, such as a government or financial institution. Here are some key aspects of cryptocurrency:

Key Features of Cryptocurrency

Decentralization:

Cryptocurrencies operate on decentralized networks based on blockchain technology—a distributed ledger that records all transactions across a network of computers.

Security:

Cryptography secures transactions and controls the creation of new units. Public and private keys are used to transfer cryptocurrency between users.

Transparency:

Transactions are recorded on a public ledger (blockchain), which is accessible to anyone, ensuring transparency.

Immutability:

Once a transaction is recorded on the blockchain, it cannot be altered or deleted, providing a secure and permanent record.

Anonymity and Privacy:

Users can perform transactions without revealing their identities. However, the level of anonymity varies between different cryptocurrencies.