What is Digital Currency?

Digital currency is a form of currency that exists only in electronic form and is not issued by a central authority, making it decentralized. It includes cryptocurrencies like Bitcoin and Ethereum, which use blockchain technology for secure transactions. Digital currencies can facilitate online transactions and may also represent traditional currencies in a digital format, such as central bank digital currencies (CBDCs). Overall, they offer a new way to conduct financial transactions, often with lower fees and faster processing times.