Their proponents argue that the great benefit of Bitcoin and other forms of crypto cash is that they eliminate the need for public institutions like a central bank or large commercial banks. People using this system, they argue, don’t have to trust an individual or institution. That’s true, but they do have to trust the technology.
Cryptoassets are so called because they use cryptography to validate transactions and prevent fraud. Records are kept through blockchain technology—a digital ledger stored on thousands of computers worldwide that keeps track of every coin or token issued. Anybody trying to fraudulently use their crypto cash multiple times will likely be caught by the validation process on all these computers.