Analog and digital signals are used for transmission of information, but they differ fundamentally. Analog signals are continuous waveforms representing information in a smooth manner, while digital signals are expressed in discrete values, relying on binary code (0s and 1s). This distinction leads to differences in signal clarity and interference. Analog transmissions often suffer from noise, degrading quality, whereas digital signals can be compressed, encrypted, and are less susceptible to interference, enhancing accuracy and security in communications.