Cryptocurrency is a form of digital currency that operates on decentralized blockchain technology. It is not issued or regulated by any central authority, making it independent of government or banking systems. Transactions are verified by network nodes through cryptography and recorded on a public ledger. Bitcoin, Ethereum, and Solana are examples of cryptocurrencies that allow peer-to-peer transfers without intermediaries.

Traditional currency, also known as fiat money, is issued and regulated by governments and central banks. It exists in physical forms like coins and notes, as well as digital formats used through banks. Central authorities have control over supply, interest rates, and inflation. Examples include the US Dollar (USD), Euro (EUR), and Indian Rupee (INR). Unlike cryptocurrencies, fiat currency is considered legal tender and accepted universally within its jurisdiction.