Cryptocurrency – The Digital Currency

Abstract

A cryptocurrency (or crypto currency) is a digital asset designed to work as a medium of exchange that uses strong cryptography to secure financial transactions, control the creation of additional units, and verify the transfer of assets. It is a digital currency, which is not sponsored by any govt. or bank.Cryptocurrencies use decentralized control asopposed to centralized digital currency and central banking systems.

Cryptocurrencies are systems that allow for the secure payments online which are denominated in terms of virtual "tokens," which are represented by ledger entries internal to the system. "Crypto" refers to the various encryption algorithms and cryptographic techniques that safeguard these entries, such as elliptical curve encryption, public-private key pairs, and hashing functions.The decentralized control of each cryptocurrency works through distributed ledger technology, typically a block-chain that serves as a public financial transaction database.