Ever since Bitcoin made an appearance in 2009, digital currency usage has increased significantly in popularity. Crypto currencies, also known as digital currencies or alt coins, aren’t regulated, produced or monitored by any national governments or central banks.
The name “digital currencies” is pretty self-explanatory. It means that all these currencies exist in the digital realm and as such you can’t physically hold them in your hands.
These virtual currencies function like real money; they can be used to purchase goods and services online through merchants that accept crypto payments. However, without a special account, they cannot be converted into fiat currency like euro’s or dollars for example.