The new era of exchange can be named as “Cryptocurrency”. Cryptocurrency is a virtual currency, which can be exchanged online for purchasing goods and services. The concept of Cryptocurrency was tabled in 2009, pseudonymously by Satoshi Nakamoto. Nakamoto shared a white paper introducing digital currency implementation called “Bitcoin”, which used the technology of “Blockchain”. Basically, “Blockchain” is a system in which data is shared among millions of computers. Data is stored in the form of signed blocks which are verified by these computers to provide security and redundancy to the system.
Cryptocurrency, is any form of currency that exists digitally and requires cryptography to secure transactions. Cryptocurrencies don’t have a central issuing or regulating authority, instead of using a decentralized system to record transactions and issue new units. It is a direct person to person transaction, without any third-party involvement, mainly the financial institutions. This provides the user complete control of their assets. There are several websites present on the internet which provides us the service of buying and selling cryptocurrency and one such website is Crypto trading.
The concept of Cryptocurrency is skyrocketing since 2017, as the method is hassle free. It is a decentralized concept, based on peer-to-peer technology, and is free from financial institutions and government regulations. Due to lack of financial body interference the Cryptocurrency transaction is duty free. The transactions made are very secure and cannot be tampered easily, because of the Blockchain system. Various businesses and institutions can easily adopt the Cryptocurrencies and many had already done, for example Burger King, Microsoft, etc. The transaction of cryptocurrency is traceable whereas it is difficult to trace the physical currency, which is actually like a cherry on top. As we can see, how inflation has hit many currencies and resulted in declining their value, but cryptocurrency will protect from inflation. Moreover, various cryptocurrency wallets and exchanges facilitate the conversion of one currency into another by allowing users to trade in crypto across several wallets while paying low transaction costs. It is necessary to encourage this concept to prevent crimes like money-laundering and scams.
As majority of people are interested toward the Cryptocurrencies, due to which the numerous of countries are looking into the scene and trying to take effective measures to impose regulation on Cryptocurrencies. Recently, the Australian Governments has taken steps by imposing new rules and regulations regarding “Cryptocurrencies”. Australian Treasurer, Josh Frydenberg says, “It is time for cryptocurrencies to be operated under the umbrella of a ‘considered regulatory framework’.” The regulations imposed by Government is beneficial in many ways. The regulation will definitely prevent money-laundering and scams. Proper regulations could result in suppressing the trading value of crypto. Moreover, the regulations have the power to equilibrate the market and lessen the investor’s risk of cryptocurrency. Government’s regulation does have the capability to build safer market and will protect the investors or stakeholders from risky investment. If the Country authorities, does not look into the matter in the due time, it could possess some adverse effect on the future of digital currency.
According to many researchers and analysists, Cryptocurrency can be the future of money. Cryptocurrency will have the great impact over the global. It has the potential to build effective economy all around the globe. It will bring a beneficial rise to all the economic activities. Cryptocurrency may provide a great opportunity to poorly banked countries, because of its high volatility, ease of use and minimum transaction cost. Blockchains and Cryptocurrencies might give more power to business owners and stakeholders as they can receive the payments in all kind of currencies, be it dollar, euro, pounds, rupees, etc. This will also help the small and medium sized business to grow and be financial stable. As it will be easy to do cross-border transactions, the Blockchains and Cryptocurrencies will change the face of the global economy, resulting in Global GDP Growth.
From Barter System to paper notes and now the digital currency, money has evolved a lot, and still believed to bring more changes. It is clearly evident that Cryptocurrency can become be future money and considering the pace at which cryptocurrency is growing and taking over all around the globe, it is crystal clear that it is difficult to ignore or avoid crypto and Blockchains. Over a decade or more, the traditional banking system will slowly decline and the more secure and transparent way that is Cryptocurrency will conquer. This will certainly make the countries socially and financially developed. In future, it could be possible we are buying a pen or riding in cabs with Cryptocurrencies.
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