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Cryptocurrency In 5 Minutes - Cryptocurrency Explained - What Is Cryptocurrency? - SimplilearnCryptocurrencies are digital tokens. They are a type of digital currency that allows people to make payments directly to each other through an online system. There are four main types of digital currency: Cryptocurrencies, CBDCs, Virtual Currencies, and Stablecoins. What Is The Difference Between. Virtual currency is a type of unregulated digital currency. It is not issued or controlled by a central bank. Examples of virtual currencies include Bitcoin.