Distinguish, differentiate, compare and explain what is the difference between Cryptocurrency and Digital Currency. Comparison and Differences.
Differences between Cryptocurrency and Digital Currency
| S.No. | Basis of difference | Cryptocurrency | Digital Currency |
| 1 | Definition / Meaning | Digital currency is the electronic form of fiat money that can be used in contactless transactions. | Cryptocurrency is a store of value that is secured by encryption. |
| 2 | Regulation | Digital currency is regulated by a central authority (For example: RBI for India). | Cryptocurrency is decentralised and unregulated. |
| 3 | Stability & usage | Digital currency rates are stable, and currencies are globally accepted. | Cryptocurrency rates are highly volatile, and digital coins are not widely accepted yet. |
| 4 | Who gets to know about the transactions? | Digital currency transactions are only known to the sender, receiver, and the bank. | Cryptocurrency transactions are publicly available on a decentralised ledger. |
| 5 | Security & Encryption | Digital currency needs strong passwords to protect digital wallets, banking apps, credit, debit cards. | Cryptocurrencies are secured by encryption. |
Tags:
Difference between Digital Currency vs Cryptocurrency
Cryptocurrency vs Digital Currency
Differences between Digital Currency vs Cryptocurrency
