Which term functions as a medium of exchange in digital form?

Which term functions as a medium of exchange in digital form?

• A. Blockchain
• B. Cryptocurrency
• C. Big Data
• D. Passwordless Authentication

Answer: (B)

Digital money used as a medium of exchange is the idea behind this question. Cryptocurrency fits this role because it is a digital asset designed to be exchanged for goods and services and transferred directly between parties. It relies on a decentralized ledger (often a blockchain) that records transactions securely, allowing people to transact without a central authority. The blockchain is the technology that enables this, not the currency itself. Big Data is about analyzing large datasets, not a form of money. Passwordless authentication focuses on login security, not value transfer. So, cryptocurrency is the correct term because it functions as digital money intended for use in transactions.

Digital money used as a medium of exchange is the idea behind this question. Cryptocurrency fits this role because it is a digital asset designed to be exchanged for goods and services and transferred directly between parties. It relies on a decentralized ledger (often a blockchain) that records transactions securely, allowing people to transact without a central authority. The blockchain is the technology that enables this, not the currency itself. Big Data is about analyzing large datasets, not a form of money. Passwordless authentication focuses on login security, not value transfer. So, cryptocurrency is the correct term because it functions as digital money intended for use in transactions.