Decentralized currencies.

Decentralized currencies, often referred to as cryptocurrencies, are digital or virtual currencies that operate on decentralized networks, typically using blockchain technology. Unlike traditional fiat currencies issued and regulated by central banks, decentralized currencies are not controlled by any central authority2. Here are some key features:

Decentralization: Transactions occur directly between users without intermediaries like banks.

Blockchain Technology: A distributed ledger records all transactions across a network of computers, ensuring transparency and security.

Cryptographic Security: Transactions are secured using cryptographic algorithms, making them tamper-proof and secure.

Global Accessibility: Anyone with an internet connection can access and use decentralized currencies, regardless of their location.

Limited Supply: Many decentralized currencies have a capped supply, which can contribute to their value over time.

Examples of decentralized currencies include Bitcoin, Ethereum, and Solana. These currencies offer advantages like lower transaction fees, financial inclusion, and resistance to censorship.