A verification code is a unique string of characters used to confirm a user’s identity or a transaction. In cryptocurrency, it often serves two primary purposes: enhancing security and ensuring transaction integrity.When making a transaction, a verification code may be generated and sent to the user’s registered email or phone number. This adds a layer of security by ensuring that only the rightful owner can authorize the transaction. If someone tries to access the account or make a transfer without the code, the process will be halted.Another usage is in the context of wallets and exchanges, where verification codes help authenticate user activities such as logging in or setting up 2-factor authentication. By requiring a code in addition to a password, the system complicates unauthorized access.Overall, verification codes are crucial for protecting assets and personal data in the cryptocurrency space. They help to maintain trust, security, and user control over digital assets.