Cryptocurrency

is a digital or virtual currency that is protected by cryptography. Or we can say that a form of digital asset based on a network that is distributed across a large number of computers. In a more simple form, Cryptocurrencies are systems that allow for secure payments online which are denominated in terms of virtual “tokens.”

The transaction that happens is recorded as per the organizational system of blockchain technology which acts like an open electronic ledger that records the transaction and distribute the records over a large network of computers where CPU/computers are acting like miners who verify the transaction by checking earlier entries in the ledger and if found the transaction is valid then may add the new transaction in the ledger. The specialty of this ledger is that it is broadcasted over the network of distributed computers where each system gets a copy of it.

Cryptography-

It is the process or algorithm or computer programs that are used to encrypt digital information.

Blockchain-

Blockchain is the technology to store the information of transactions or record of transactions in blocks that are stored in a distributed network of computers. It is like a distributed ledger enforced by a distributed network of computers.
Many cryptocurrencies are built on blockchain technology, which is a distributed ledger enforced by a distributed network of computers.
They are not issued by a central authority, So they are theoretically immune to government intervention or manipulation.

Cryptocurrencies are digital tokens used to make safe online payments between two parties without the intervention of any centralized authority by using a user’s “wallet,” or account address, which has a public key, while the private key is known only to the owner and is used to sign transactions. These payments or transactions are recorded by using blockchain technology or blockchains which are organizational methods for ensuring the integrity of transactional data.

These blockchains are just like open ledgers to record the transactions these ledgers are distributed ledgers enforced by a distributed network of computers and they are secured by cryptography, which is the method of protecting information and communications through the use of codes so that only those for whom the information is intended can read and process it.

The system or computers over the network where these blocks or nodes or ledger of information/transactions entries are stored, validated, and recorded in this ledger/nodes are called miners who solve complex algorithms to verify the transactions initiated by any party who wants to transact in cryptocurrency.
This process of keeping the record, solving algorithms for verifying record or the transaction entries, and adding new records in the blockchain nodes takes computational resources and consume electrical energy to run the computers, where they operate over the network, which collectively have some worth and that worth is represented by cryptocurrency which is rewarded to these miners as an incentive for their work, here this worth of their works or efforts known as POW(proof of work).