In this article, we give a short introduction to cryptocurrencies and blockchain technology. The focus of the introduction is on Bitcoin, but many elements are shared by other blockchain implementations and alternative cryptoassets. The article covers the original idea and motivation, the mode of operation and possible applications of cryptocurrencies, and blockchain technology. We conclude that Bitcoin has a wide range of interesting applications and that cryptoassets are well suited to become an important asset class.

× Cite this article Aleksander Berentsen and Fabian Schar, "A Short Introduction to the World of Cryptocurrencies," Federal Reserve Bank of St. Louis Review, First Quarter 2018, pp. 1-16. https://doi.org/10.20955/r.2018.1-16