Explain cryptocurrency to me like I am from another planet.

[legallyblondeNYC]

20. good questions

The crypto comes into existence because a technology company makes it available. That's it, and it's one of the reasons it's hard to regulate. Software access isn't necessarily an asset. The prior SEC considered them investments (securities). The current SEC approach is more nuanced.

When it becomes available, a participant can exchange $ for the crypto (the software with these capabilities).

Because there is no actual central company (just a platform that provides functionality for private trades), many networks rely on users to offer their computing power. What do the users get? More coins.

How is value determined? Supply and demand. That's it. Market forces.

The category of stablecoins are a bit different. They are backed by reserve assets so that the price doesn't fluctuate - it's a digital representation that is purportedly designed to keep a $1 value.

This is a very, very basic description that relies on analogies.