Bitcoin currency is a digital currency that is lives completely online. There is no physical form of bitcoin.
Bitcoin transactions are done all on a public record keeper, called a public ledger, aka “Blockchain”.
Bitcoin is completely unregulated and decentralized.
The people that keep the bitcoin blockchain working are called miners. Imagine these miners as a group of people in front of computers that are ledger keeper and auditors for every single Bitcoin transaction that takes place.
Miners don’t work for free; the miners are paid for their accounting work by earning new bitcoins for each week they contribute to the blockchain network.
What this also means is Bitcoin (and every cryptocurrency) are not subject to government regulations when traded or spent. You also do not need a traditional bank to keep your cryptocurrency. (Rather you store your crypto money in a wallet.)