ABSTRACT
This chapter introduces the concept of blockchains and describes how this technology can be used to issue coins, developing a so-called cryptocurrency. The definition and the functioning of the blockchain allow to understand the main features of this technology. The analysis is not driven by technicalities, but it stresses the key points needed to understand the potential application of the technology. The presentation includes concepts related to Distributed Ledger Technology (DLT) and the role of cryptography in its application. The second part of the chapter addresses the use of the blockchain (and cryptography) to issue cryptocurrencies. The topics are addressed from a financial perspective, limiting the analysis of technicalities to the essential. The last part of the chapter highlights the differences between cryptocurrencies, virtual currencies, and tokens.
