Crypto Core Education

What is a digital signature in cryptocurrency?

A digital signature is cryptographic proof, created with a private key, that authorizes a transaction and confirms it has not been altered. The network verifies the signature against the matching public key, so it can confirm the owner approved the action without ever seeing the private key. For example, when you send crypto, your wallet signs the transaction, and every node can independently check that signature is valid. This mechanism is what lets a decentralized network trust transactions without a central authority approving them.