Cryptocurrency is a digital currency that enables transactions through blockchain technology and does not rely on any central authority. Such as government or bank. Stocks (also called equity), on the other hand, are securities that represent partial ownership in a company.

What is blockchain technology? What is digital currency? Please refer to the entries "What is Blockchain" and "What are Coins and Tokens".

The main differences between cryptocurrencies and stocks are:

• Functionality: Stocks represent fractional ownership of a company, making Investors can receive dividends accordingly. In contrast, cryptocurrencies can serve various functions outside of currency. For example, governance tokens can be used to vote on proposals in on-chain governance, and fan tokens allow fans to participate in exclusive events and receive rewards.
• Volatility: Generally speaking, cryptocurrency prices are more volatile and risky than stocks, and their prices may change dramatically in a short period of time, resulting in significant gains or losses. loss. However, there is also a class of stablecoins within cryptocurrencies, whose value is pegged to “stable” assets such as fiat currencies or commodities, keeping their price fluctuations to a minimum.
• Regulation: The stock market is subject to stricter regulation, with a well-established legal framework and regulatory agencies, such as the SEC in the United States and the CSRC in China. However, cryptocurrencies remain largely unregulated, although the regulatory system is gradually improving. For example, crypto projects are increasingly emphasizing risk assessment and establishing compliance teams, and many countries are preparing to enact relevant laws.
• Trading Hours: Stock exchanges typically operate between 9:30 a.m. and 4 p.m. on weekdays, while cryptocurrency exchanges allow trading anytime and anywhere around the clock.

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