Let’s first define what cryptocurrency is.
A cryptocurrency (virtual currency) is a secure digital asset that is impossible to forge due to its transaction histories. It is decentralized based on blockchain technology—a distributed record with an ingenious way of passing information in a fully automated and safe manner.
So, why do people go crazy over cryptocurrency? Does it really add value to the economy? Or is it just a speculative bubble?
Bitcoin was the first cryptocurrency based on blockchain technology. And today, there are thousands of competing cryptocurrencies with various functions and specifications, these include Litecoin, Peercoin, Namecoin, Ethereum, Cardano, EOS, and many more. The aggregate value of all the cryptocurrencies is around $214 billion— wherein Bitcoin represents more than 68% of the total cost.
The question is: How does cryptocurrency help the global economy?
Cryptocurrency has been reviewed and debated for years by investors and finance professionals. Die-hard experts say that cryptocurrency serves as a financial tool that is accessible and useful. It can enable global, social, and economic growth and can offer more convenient access to funds and industrial services.
Moreover, cryptocurrency helps to build the future of the global market. It has created a noise ever since its prices suddenly surged. This has become a new trend in the world of investment for legitimate reasons, and people who made investments profited in incredible ways.
Here are the reasons why cryptocurrencies are valuable in the global market:
However, some will always have something negative to say about the success of cryptocurrency.
Nonetheless, many people still see the brighter side of cryptocurrency, because it gives an incredibly dynamic and fast-growing market for investors. Actually, their trade volume beats the major European stock exchanges. Also, it is a clear indicator that traditional financial institutions can no longer hold the system properly.
Sooner or later, cryptocurrency will be included in our daily lives. Many people will have the opportunity to save and invest, send money across the borders without interruption, and start their own businesses. Thanks to the fantastic opportunities that cryptocurrency brings to the world.