Cryptocurrency is digital money that exists purely as code - you can't hold it in your hand or put it in a physical wallet. Instead, it lives on the internet and you access it through your phone or computer. Cryptocurrency is the most commonly known application of blockchain technology, and the most famous examples are Bitcoin and Ether. These digital currencies use blockchain to record and verify transactions, making them secure, decentralised and transparent. These cryptocurrencies can be easily transferred between individuals without the need for intermediaries (which is someone or something in the middle of two people who want to do something... a middleman) reducing transaction costs and increasing efficiency. They also offer a level of anonymity to users, as transactions are recorded on the blockchain but do not reveal personal information.

While cryptocurrencies have faced criticism and volatility in their early days, they have gained wider acceptance and adoption in recent years. Whether it be for a store of value or as a medium of exchange, cryptocurrencies have disrupted the traditional financial system and opened up new possibilities for decentralised finance.

Examples of Popular Types of Cryptocurrencies

Some of the most well-known cryptocurrencies include Bitcoin, Ether, Solana, and BNB. These cryptocurrencies have gained significant attention in recent years due to their high value and potential for investment. Cryptocurrencies can also be categorised into different types such as:

• Stablecoins: These are cryptocurrencies designed to maintain a stable value, often pegged to a fiat currency like the US dollar. This makes them less volatile and more suitable for everyday transactions. Popular ones include USDT by Tether, USDC by Circle and USDe by Ethena. Recently, other popular fiat currency backed stablecoins have been launching, capped off by the recent launch of AUDD, an Australian dollar backed stablecoin.

• Utility tokens: These cryptocurrencies are used within a specific platform or network to access services or goods. They can also be used as a loyalty reward system. Popular examples include $JUP from Jupiter on the Solana blockchain, $CRO from the Crypto.com exchange and $OKB from OKX Exchange- offering holders with reduced fees and fringe benefits to remain on their specific platforms.

• Security tokens: These are cryptocurrencies that represent ownership of a real-world asset, like stocks or bonds. They offer investors the opportunity to invest in traditional assets using cryptocurrency.

• Privacy coins: As the name suggests, these cryptocurrencies offer enhanced privacy and anonymity features for transactions. Examples include Monero and Zcash.

• Meme coins: These are cryptocurrencies that have gained popularity due to internet memes and viral trends, but may not necessarily have a practical use case. Examples include Dogecoin, Shiba Inu, and the plethora that have cultivated during the present bull-run on the Solana blockchain, most famously political ones such as $TRUMP or $MELANIA.

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