Yet conversations surrounding cryptocurrencies are becoming increasingly common, especially as ransomware attacks, whose perpetrators demand payments in cryptocurrency, heighten awareness among victimized people, companies and municipalities.
On Wednesday, Aug. 4, a trio of U.S. senators proposed new tax reporting requirements for cryptocurrency transactions. In June, El Salvador became the first country to formally adopt bitcoin as a legal tender in a move that would allow citizens to pay taxes via cryptocurrency. In the United States, the NBA’s Dallas Mavericks and Tesla made announcements this year to accept cryptocurrency for merchandise, although Tesla chief executive Elon Musk later rescinded his comments.
So, what’s actually going on? We’ll answer some basic questions to help increase your familiarity.
What to know
- What is cryptocurrency?
- How is cryptocurrency made?
- How many cryptocurrencies are there?
- Who creates cryptocurrencies?
- Where is cryptocurrency stored?
- How is cryptocurrency passed among people and businesses?