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Cryptocurrency Explained - What is Cryptocurrency? - Cryptocurrency for Beginners - SimplilearnCryptocurrencies are digital tokens. They are a type of digital currency that allows people to make payments directly to each other through an online system. Bitcoin. A distributed, decentralized digital currency system; Released by Satoshi Nakamoto ; Effectively a bank run by an ad hoc network. Digital checks; A. Cryptocurrencies are digital or virtual tokens that use cryptography to secure their transactions and control the creation of new units. And.