BLOCKCHAIN
A blockchain is a growing list of records, called blocks, that are linked using cryptography.
Each block contains a cryptographic hash of the previous block, a timestamp, and transaction data (generally represented as a Merkle tree). By design, a blockchain is resistant to modification of its data. This is because once recorded, the data in any given block cannot be altered retroactively without alteration of all subsequent blocks. For use as a distributed ledger, a blockchain is typically managed by a peer-to-peer network collectively adhering to a protocol for inter-node communication and validating new blocks. Although blockchain records are not unalterable, blockchains may be considered secure by design and exemplify a distributed computing system with high Byzantine fault tolerance. The blockchain has been described as "an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way".
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1.What is cryptocurrency and how does it work?
Cryptocurrency is a decentralized digital or virtual currency secured by cryptography, making it nearly impossible to counterfeit. It operates on a distributed ledger called a blockchain, which is a network of computers that records and verifies transactions without the need for a central authority like a bank or government.
2.What is the difference between a crypto coin and a token?
A crypto coin is a cryptocurrency that operates natively on its own independent blockchain, such as Bitcoin (BTC) or Ethereum (ETH). A crypto token is a digital asset built on top of an existing blockchain network using smart contracts, such as ERC-20 tokens running on the Ethereum network or stablecoins like USDT and USDC.
