In recent years, cryptocurrency has moved from the fringes of tech communities into mainstream financial discussions. But what exactly is it, and why does it matter?
At its core, cryptocurrency is a digital or virtual currency secured by cryptography. Unlike traditional currencies issued by governments (fiat money), cryptocurrencies operate on decentralized networks, typically built on blockchain technology—a distributed ledger enforced by a network of computers (nodes).
Why Is Cryptocurrency Important?
Decentralization: Cryptocurrencies eliminate the need for a central authority, offering greater transparency and security in transactions.
Financial Inclusion: With just a smartphone and internet access, people across the globe can participate in digital finance, including those without access to traditional banking.
Investment Opportunities: Digital assets like Bitcoin, Ethereum, and Solana have created entirely new markets, attracting both retail and institutional investors.
