by 
The Curious Bag
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The American Heart Association (AHA) identifies cholesterol as a soft, waxy substance found in the bloodstream and all the body's cells. Cholesterol, produced in the body and found in some foods, is important to several of the body's functions.
Cell Membranes
The AHA says cholesterol is useful for producing cell membranes, the "skin" that surrounds each cell and keeps the contents contained.
Cell Stability
Cholesterol acts as an insulator to help stabilize cells against temperature changes.
Hormones
Cholesterol is the forerunner for making the female sex hormone oestradiol and the male hormone testosterone. It also helps the body make vitamin D, which is important for strong bones and teeth.
Bile Production
Cholesterol is essential in the formation of bile, which helps the body digest food.
Memory
Researchers in "Arteriosclerosis, Thrombosis and Vascular Biology: Journal of the American Heart Association" reported that low levels of "good" cholesterol, also called HDL or high-density lipoproteins, in middle age might increase the risk of memory loss later in life.
Source:
American Heart Association: What is Cholesterol
American Heart Association: Low Levels of Good Cholesterol Linked to Memory Loss
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