> For the complete documentation index, see [llms.txt](https://jigzcrypto.gitbook.io/beginners-guide-to-crypto/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://jigzcrypto.gitbook.io/beginners-guide-to-crypto/what-is-cryptocurrency.md).

# What is Cryptocurrency ?

Cryptocurrency to simply put it is digital money protected by cryptograpghy (secret code that keeps your transaction details like who you are hidden). It doesn't involves banks because transactions happen directly between people and all transactions can be seen on the blockchain

Diving deeper, here are some other key concepts you should know:

* **Blockchain:** This is the public record we mentioned earlier. It's like a giant digital ledger that keeps track of all cryptocurrency transactions. Every time a payment is made, it's added as a new block to the chain, creating a secure and transparent history.
* **Mining:** Think of miners as the bookkeepers of the cryptocurrency world. They use powerful computers to solve complex math problems to verify transactions and add new blocks to the blockchain. As a reward, they get some new cryptocurrency. This mining process also helps secure the network by making it nearly impossible to tamper with transaction records.
* **Wallets:** You can't hold cryptocurrency in your hand, but you can store it in a digital wallet. These wallets come in different forms, like software on your phone or hardware devices like a USB stick. They keep your cryptocurrency safe and allow you to send and receive payments.
* **Types of cryptocurrency:** Bitcoin is the most famous cryptocurrency, but there are many others, each with its own features and purposes. Some, like Ethereum, even allow you to run programs on their blockchain.

Now let's look into the first cryptocurrency ever, Bitcoin.