Cryptocurrencies fall under the categories of digital, alternative, and virtual currencies. They were originally conceived to provide a new method of payment for online transactions. However, they have yet to achieve widespread adoption among businesses and consumers, and their current high price volatility makes them ill-suited as a standard medium of payment. As decentralized currencies, they are not subject to excessive government control or influence; instead, the cryptocurrency ecosystem is governed by peer-to-peer internet protocols. The individual units that make up a cryptocurrency are essentially strings of encrypted data, coded to represent specific units of value.

Cryptocurrencies differ significantly from traditional fiat currencies. Nevertheless, they can be bought and sold just like any other financial asset; furthermore, it is now possible to trade on the price movements of various cryptocurrencies through Contracts for Difference (CFDs).