What is Cryptocurrency? GLOSSARY OF TERMS
Cryptocurrency is a type of digital financial asset that is used as an analogue of currency in exchange transactions. It is reliably protected and encrypted with cryptographic algorithms, so the likelihood of counterfeiting virtual currency is extremely small. There are many cryptocurrencies on the market, the most popular of which is Bitcoin.
Cryptocurrency payments can exist exclusively in the form of digital records in the blockchain database that describe specific transactions. This is an independent monetary unit, the issue of which no one regulates, and also does not control the movement of funds in the account.
There are many ways to get digital financial assets, but the most common type is mining. This is an activity aimed at creating new structures for the operation of cryptocurrency platforms, in which the user is rewarded for combining transactions into blocks and calculating the desired key. You can also buy cryptocurrency in an exchanger or on a cryptocurrency exchange.
Digital wallets are used to store virtual currency. There are several types of such wallets, each of which has its own advantages, technical features and level of security.
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