A cryptocurrency is a digital asset that uses cryptography to secure transactions and operates on a decentralised network. Unlike traditional money, most cryptocurrencies are not issued by a central bank.

How it works

Transactions are recorded on a blockchain and confirmed by the network rather than a single institution. This lets people hold and transfer value directly, without needing a middleman for every step.

Things to keep in mind

Cryptocurrencies range from established networks to thousands of smaller projects, and their prices can be highly volatile.