Impact of Cryptocurrency on Economy
Crypto currency and it's impact
Crypto currency are simply digital or virtual currency which is secured and encrypted by blockchaina which make it more counterfeit. Its have the potential to fix the problem of traditional currencies by providing all the power and the responsibility to the currency holder's. Which is also revolution of the traditional currencies and more effective.
It's the easiest and simpler way to send or receive any kind of payment without higher fee and with the time less then few seconds which make it more unique and flexible to use. Cryptocurrency just cut the middle man like bank and other financial institution fee. Cryptocurrency offer an easy to use fiat and currencies which can increase demand on the part of customers and buisness.
We also can see crypto currency as the alternative of the cash which we have been using from the decades included all kind of payment such as debit card, credit card, its easy transaction. When we are doing buisness or dealing with brokers or legal works need to get through alot of transaction fee that we need to pay for every transaction we made, cryptocurrencies just cut all the transactions fee to very low amounts like nothing.
There is possibility that in the next decades there could be replacement of the money which is cryptocurrency for the payment system. Bank also has predicted that the number of cryptocurrency users will growth will be 4x in the next year which can been more then we can think about it. Since the pandemic hits we can see massive growth of the cryptocurrency users as people been getting into new world of the investment which can give massive gains.
Cryptocurrency is high risk investment and it's proven that its also a good opportunity to give higher profit which is worthy to take risk for better returns. It's all about the perfect time to invest and what crypto to invest. Where there is greater prpfit there is also greater losses if you don't have enough knowledge of the cryptocurrency world. Market is very risky and it's also been fill with the some scam projects which been waiting to be invested. People invest in cryptocurrency is the desire for a reliable long term store of value. Bitcoin in particular has attracted attention due to its massive gain and censorship-resistance properties which lead it to describe as a "Digital Gold" for the era.
Its unlikely that Bitcoin can replace existing currencies. Cryptocurrency and the stablecoins has promoted exploitation of Central Bank digital currency. Crypto currency be send from adress to another by generating a transaction, which is the recorded on the immutable public "block' in the blockchains which encrypted each transaction. Cryptocurrency market is small but the drastically such large of the stock rather then stocks market so it can be said that cryptocurrency has impact on the economy, its could continuously grow its growth.