Digital goods and currencies have already become popular in many parts of the world. The currency available purely in electronic form is known as a digital currency and the goods that exist in digital form are called digital goods. While the use of digital goods like e-books, digital media, and others is common, digital currencies are not approved for use in the majority of countries. Digital currency is also called digital money, electronic currency, cybercash, or electronic money.

Types of digital currencies
Digital currency includes encrypted coins accessed or exchanged over the Internet, here are three main types of digital currencies.

• Virtual currencies
  Virtual currencies are a form of unregulated digital currency. They are controlled and managed by their developers. The creators may consist of several stakeholders indulged in the process. A defined network protocol is used to algorithmically control this type of digital currency. A gaming network token is an excellent example of a virtual currency. Here, the real economics is owned and managed by the developers.
• Cryptocurrencies
  Cryptocurrencies are a type of digital currency and they rely on cryptography techniques for the transaction recordings. They are not issued by any central authority. There are several types of cryptocurrencies known by different names, such as Ethereum and Bitcoin.
• Central bank digital currencies (CBDCs)
  CBDCs are regulated digital currencies controlled and issued by a country’s Central Bank. These may act as a replacement or supplement to the traditional fiat currency. This type exists purely in the digital form compared to paper currency, which can be physical and digital.

Features of digital currency
Digital currencies have the same usage as physical money but they are restricted for use on some online sections. Some of the characteristics of digital currency are as follows:

• Digital currencies exist in the digital form and there is no physical equivalent.
• Digital money can be decentralized or centralized. Fiat currency in the physical form is centralized, while cryptocurrencies such as Ethereum and Bitcoin are decentralized.
• They can present the transfer of value. An example is the gaming network token that makes the player extend their life in the game or provides certain superpowers.
• Various digital currencies offer quick transaction and transfer times.
• Since cybercash exists only in digital form, it is accessible only with mobile phones or computers.
• These are one of the cheapest methods for trading currencies as they do not require intermediaries.
• They offer the smooth transfer of value but are susceptible to hacks and volatile to trade.
• Digital currencies also make it smoother and more convenient to implement monetary policies.
• Such currencies involve cheaper or lower transaction costs.

Digital goods and their types
As mentioned, digital goods are products and services delivered using information technology. There is no involvement of material things. There are many advantages of selling digital goods that attract entrepreneurs, such as low overhead costs, the capability to automate, high-profit margins, and flexible products. They come in various forms and here are some types of digital goods.

• Information: Examples of digital information are e-books and websites.
• Digital communities: These include various social media sites.
• Online games: They are usually available with no physical medium or modes involved.
• Designs: Designs such as graphic designs are entirely electronic forms of goods.
• Software: An example of this category of digital goods is mobile applications.
• Virtual digital assets: These are goods and items that don’t relate to the real world, such as clothing, property, avatars, tools, and gifts sold in online games.
• Computing: Cloud computing is a typical example of this category.
• Data: This includes services like customer analytics.
• Education: The education services offered in the digital environment, such as a video lessons with tutors are an example of digital goods. E-learning is considered the future of education due to several benefits such as its cost-effectiveness, no need to commute, availability of e-books, and no constraint of time.
• Art: The art and photographs that come in digital formats are common types of digital goods.

As stated earlier, digital currencies are assets that do not have any physical equivalent. The most famous digital currencies are cryptocurrencies, but various national governments have been working to issue their digital currencies. As the prices may be volatile and they can get hacked, it is suggested to use them cautiously. In addition, digital currencies are not considered practical choices for regular money transactions. Digital goods are familiar to everyone and they may also have a physical counterpart. They can be often purchased from online platforms like various shopping sites or digital stores.