What are cryptocurrencies and how do they function?

Cryptocurrencies are digital or virtual currencies that rely on cryptography to secure transactions and control the creation of new units. They operate on decentralized networks called blockchains, which record all transactions transparently and immutably https://enrichest.com/en/blog/overview-of-cryptocurrencies-insights-into-their-mechanics-and-utility. This decentralized structure eliminates the need for traditional banks, allowing anyone with internet access to send or receive digital currency directly. Bitcoin, the first cryptocurrency, pioneered peer-to-peer transactions without intermediaries, providing a secure and borderless way to transfer value.