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Electronic currency, among its various names, is electronic money that acts as alternative currency. Currently, alternative digital currencies are not produced by government-endorsed central banks nor necessarily backed by national currency.
It differs from virtual money used in virtual economies due to its use in transactions with real goods and services; not being limited to circulation within online games. Earlier digital currencies are often backed by a promise to pay a set amount of gold or silver bullion in exchange for each of its units. Others float against whatever individuals are willing to exchange for it.