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What Is A Cryptocurrency?

A cryptocurrency (also known as a cryptocurrency) is a digital payment method based on blockchain technology and on cryptographic techniques such as hash functions or digital signatures.

Unlike what happens with classic currencies, in cryptocurrency, coins and banknotes do not play any role, since the payment units have a presence exclusively in digital format. These monetary units, normally coded asymmetrically, are generated by the entire system, although at the beginning of a cryptocurrency the number of units that will be generated is usually defined.

To refer to the process of creating monetary units, the term “mining” has been consolidated, hence why we speak of cryptocurrency mining today.