Cryptocurrency is a form of digital or virtual currency that uses cryptography for security. It operates on decentralized technology, primarily blockchain, which is a distributed ledger enforced by a network of computers (nodes). This decentralization means that no central authority, such as a government or financial institution, controls the cryptocurrency, making it resistant to manipulation and interference.

Cryptocurrencies can be used for various purposes, including as a medium of exchange, a store of value, and for investment. They often feature features such as anonymity, transaction security, and global accessibility. Popular examples include Bitcoin, Ethereum, and Litecoin. Cryptocurrencies can be traded on exchanges and may be stored in digital wallets. Their value can be highly volatile and is influenced by factors such as market demand, technological developments, and regulatory news.