Cryptocurrency has become a hot topic over the last decade. Think of it as digital money coins and tokens that exist only on the internet. Unlike dollars or euros printed by a government, cryptocurrencies are created and managed by computer code. A defining feature is that no bank or central authority issues or controls them; everything is secured by advanced math (cryptography). This makes crypto money feel a bit like a global, public ledger that everyone can trust a way to send value across the internet without banks.
Why does it matter? Today, millions of people and thousands of businesses are trading crypto. Companies like Tesla and PayPal (and even some small online shops) accept it as payment. Investors watch crypto closely on the news. Even if you’re not a tech person, you might have heard headlines about Bitcoin’s price swings or new coins.
Understanding the difference between Bitcoin and the many “altcoins” (alternative coins) helps you make sense of all this buzz. It’s like knowing the difference between different currencies (dollars vs. euros) or smartphone brands. Whether you’re curious about investing, want to pay for things, or love new tech, knowing the basics is useful.