Abstract. We show that the Cuntz-Krieger algebras of infinite graphs and infinite {0, 1}-matrices can be approximated by those of finite graphs. We then use these approximations to deduce the main uniqueness theorems for Cuntz-Krieger algebras and to compute their K-theory. Since the finite approximating graphs have sinks, we have to calculate the K-theory of CuntzKrieger algebras of graphs with sinks, and the direct methods we use to do this should be of independent interest.The Cuntz-Krieger algebras O A were introduced by Cuntz and Krieger in 1980, and have been prominent in operator algebras ever since. At first the algebras O A were associated to a finite matrix A with entries in {0, 1}, but it was quickly realised that they could also be viewed as the C * -algebras of a finite directed graph [33]. Over the past few years, originally motivated by their appearance in the duality theory of compact groups [22], authors have considered analogues of the Cuntz-Krieger algebras for infinite graphs and matrices (see [21] the graph algebra C * (E) is the universal C * -algebra generated by a Cuntz-Krieger E-family {s e , p v }. The equations (0.1) make sense as they stand for row-finite graphs, in which the index set {e ∈ E 1 : s(e) = v} for the sum is always finite. If a vertex v emits infinitely many edges, the sum does not make sense in a C * -algebra, because infinite sums of projections cannot converge in norm. However, it was observed in [13] that the general theory of Cuntz-Krieger algebras carries over to arbitrary countable graphs if one simply removes the relations involving infinite sums from (0.1), and requires instead that the range projections S e S * e are mutually orthogonal and dominated by P s(e) . Exel and Laca have described a different generalisation of the Cuntz-Krieger algebras for infinite matrices A [10]. Their defining relations are complicated: loosely speaking, one has to include a Cuntz-Krieger relation whenever a row-operation