Cipher

Intermediate
Updated Jul 22, 2026

What Is a Cipher?

In cryptography, a cipher is a set of defined steps, or an algorithm, used to encrypt or decrypt a message. Encryption converts readable information into a scrambled form that is difficult to understand without the right key.

The original readable message is known as plaintext, and its encrypted form is called ciphertext. Both contain the same underlying information. The difference is that ciphertext can typically only be read by someone who has the correct decryption mechanism, usually a secret value known as a cryptographic key.

Types of Ciphers

Most cipher algorithms rely on a cryptographic key, and the way that key is used determines the cipher category. Ciphers are often grouped as symmetric and asymmetric encryption. A symmetric cipher uses a single shared key for both encryption and decryption. An asymmetric cipher uses a pair of mathematically related keys, where one key encrypts and the other decrypts.

Ciphers can also be classified by how they process data. A block cipher encrypts fixed-size groups of bits at a time, while a stream cipher encrypts data one bit or byte at a time. Modern standards such as the Advanced Encryption Standard (AES) are widely used block ciphers, and they generally replace older methods that are no longer considered secure.

Ciphers are not a recent invention. They were used to encode messages long before computers existed, dating back to at least 400 BC. A well-known example is the substitution cipher attributed to Julius Caesar, which replaced each letter in a message with the letter three places further along the alphabet. Using that method of shifting the alphabets down by 3, the word BINANCE would become ELQDQFH, a string that looks meaningless to anyone who does not know the shift value.

Why Do Ciphers Matter in Blockchain and Crypto?

Ciphers help protect data that is transmitted or stored across digital systems, including the communications and account security tools used in the crypto industry. They are distinct from hashing, which is a one-way process that cannot be reversed. A cipher is designed to be reversible by an authorized party, whereas a hash function is not meant to be decoded back into its input.

Understanding how ciphers work can give you a clearer picture of how cryptographic systems keep information confidential. While most users never interact with ciphers directly, these algorithms operate in the background of many secure applications, helping keep sensitive data harder for unauthorized parties to read.