What is crypto & how does it work?

Crypto are digital assets —they have no tangible form. Cryptocurrencies exist and operate on a public ledger called a blockchain, which records all crypto transactions. Blockchain encryption is designed to make all transactions immutable and secure from tampering, counterfeit, and other forms of fraudulent transactions.

What is a cryptocurrency system?

According to Jan Lansky, a cryptocurrency is a system that meets six conditions: The system does not require a central authority; its state is maintained through distributed consensus. The system keeps an overview of cryptocurrency units and their ownership. The system defines whether new cryptocurrency units can be created.

Does a cryptocurrency have a purpose?

Knowing whether the coin you're looking at has a purpose can help you decide whether it is worth investing in —a cryptocurrency with a purpose is likely to be less risky than one that doesn't have a use. Most of the time, when you hear about cryptocurrency types, you hear the coin's name.

What is a cryptocurrency wallet?

A cryptocurrency wallet is a means of storing the public and private "keys" (address) or seed which can be used to receive or spend the cryptocurrency. With the private key, it is possible to write in the public ledger, effectively spending the associated cryptocurrency.