What is cryptocurrency? A plain-English guide for beginners
By SendPay Business · · 2 min read
Cryptocurrency is digital money that runs on a shared public record called a blockchain, rather than being issued by a central bank. Bitcoin, launched in 2009, was the first; thousands of others now exist.
How it differs from bank money
- No central bank issues it or sets its value; the price moves with supply and demand.
- Transfers are recorded on a blockchain and usually can't be reversed.
- Whoever controls the private keys controls the coins.
The risks to understand
Prices can rise and fall sharply, and in the UK crypto isn't covered by the Financial Services Compensation Scheme. The FCA warns that people should be prepared to lose all the money they put in.
How people buy, sell and hold it
Most people use an exchange or app: they pay in with regular money, buy crypto, and either leave it with the provider or move it to their own wallet.
Where SendPay fits
SendPay's Crypto Exchange platform lets your customers buy, sell and hold crypto under your own brand, with assets held with regulated partners. SendPay tells you in writing which licences apply to your platform before you pay.
Build it
Create your own financial platform.
Pick a template, name it, brand it, preview every page before you pay. Your brand, your users, your fees.
Build my platform →Questions people ask
What is a crypto exchange?
A platform where people buy, sell and swap crypto.
What is a crypto exchange? →Read next
This guide is general information, not legal or financial advice. SendPay Business is a technology company, not a bank, and does not take deposits; regulated services on the platforms are provided by licensed partners. PayPal, Patreon and Substack are named as reference points only and are not affiliated with SendPay Business.