The Future of Cryptocurrencies
Cryptocurrency is a modern digitalized currency managed through the application of cryptography. Cryptocurrencies include bitcoin, ripple, and ethereum (Adam 2019). Currently, digital currencies are not part of the money supply. However, I think that in the future, the currency will be part of the money supply in the world economy. Some economists forecast that a significant transformation in the currency is about to happen. This is happening as the institutional money enters the market. It will be necessary to have a verified exchange system that will enhance investment using the currency.
There is an increase in the number of investors who have already accepted the currency in the market (Adam 2019). The continuity of its acceptance in the market will improve the number of people who use it. It is also a positive point to note that the world is getting more technological day by day; thus, many people are getting to know about the currency. This comes after it has been witnessed in many countries that people who have not adopted the technology do not have access to the digital currency. This might deter the currency from achieving to be part of money value.
However, for the cryptocurrencies to achieve being part of the world’s money supply, there is a need to ensure the protection of the digital platforms (Adam 2019). Measures should be taken to avoid the hacking of computers where the currency may be lost. Protecting the money holders will be necessary if, in the future, the currency will be widely accepted and used. There is hope that in the coming years, the currency will be used world-wide and perceived as the standard money.
Adam B (2019) The Future of Cryptocurrency in 2019 and Beyond Retrieved from: https://www.investopedia.com/articles/forex/091013/future-cryptocurrency.asp