Binary Code

Binary code is a way of representing information using only two symbols, 0 and 1. Each symbol is a bit, and computers store and process bits as two physical states, such as high and low voltage. Groups of bits represent numbers, letters, images and program instructions: eight bits make a byte, which can take 256 different values. Numbers are written in base 2, so the decimal number 13 is 1101 in binary. Text is mapped to binary through encoding schemes such as ASCII and Unicode. Everything a financial system does, from card authorization to ledger entries, ultimately runs as binary operations. In crypto, private keys, addresses and hashes are long binary numbers usually shown in hexadecimal or other compact formats for readability. Also see Bitstream.