A cryptocurrency (also known as "crypto") is a digital currency that acts as a medium of exchange and is operated over a network of computers (generally referred to as a blockchain).
Cryptocurrencies do not rely on a central authority or entity such as a government (or a bank) to be issued and backed (or stabilized in their value).
Common cryptocurrencies are decentralized systems which, due to their specific technical nature, have the capability to ensure that the parties involved in a transaction have the money they claim to have (this is done through, in simplified terms, a process of network-wide matching of transaction data).
The use of highly complex cryptographic methods (both in the development of the network architecture and in the operation of the networks) has led to the expression "cryptocurrency" becoming the generally accepted term for such currencies.
Unlike official or "fiat" currencies, cryptocurrencies are not recognized as legal tender (or official payment instruments) by nation states, their governments or their authorities (with a few exceptions like El Salvador and a handful of local or regional governmental authorities in different parts of the world).
To learn more about stablecoins, a particular type of cryptocurrency, please click here.