Digital Currencies or Crypto-currencies can solve the problem of Global Corruption?
In this post, you gain a massive knowledge on cryptocurrency or digital currency how working in the world market. Here we also know that how Digital currencies – Crypto-currencies and Global Corruption? So please read the full post on Digital currencies – Crypto-currencies and Global Corruption.
In today’s world, there is much talk about New Technologies that may change our lifestyle and create a global village. An example that is brought up time and again is a democratized currency called Bitcoin (BTC).
Bitcoin is a digital currency that is essentially an online currency with no physical asset. For this essay, I am going to use Bitcoin as a reference instead of fiat currency like gold or dollars. One of the strengths of Bitcoin is the vast reach that it is able to have due to its decentralized nature. Digital currencies can be bought and sold and as we can see as of now have been making their way into the mainstream.
The Digital currency is Bitcoin
Bitcoin is a digital currency in which the transactions are stored and sequenced automatically rather than being performed by human beings. For this reason, the transactions are completely traceable and therefore could be called secure and low risk. Many currency specialists do not give too much hope to Bitcoin as a result but I believe that bitcoin could be a powerful solution to people’s everyday issues.
It’s the evidence that shows that there are great benefits of a digital currency. It’s also worth mentioning that the speed with which a transaction can be entered and made in bitcoin is practically 60 times quicker than traditional currency. This allows transactions to be made quicker and thus could reduce transaction costs and reduce transaction times.
Digital currency is made in limited quantities
There is an increased store of value as well. For some reason, there has been a growing fear of inflationary devaluation. Digital currencies like bitcoin are made in limited quantities with no changes made to them in the future. If a country like the US government decides to raise taxes on companies to balance their budgets then they will have to be paid with digital currency.
The present Economy has based on digital currency and the stock market
Economic theory has recently pointed out a connection between these digital currencies like bitcoin, fiat currencies, and the stock market. This is not much of a surprise, it is in line with what we would expect as the stock market is predictive of the economy at a macro level. This means you are able to determine the future of the stock market on the basis of the future outcomes of the economy.
READ HERE – what is GPS and how does it work?
What is worrying is the fact that globalization can allow these digital currencies to be manipulated and hard-won in terms of their power.
Does Bitcoin have a market cap of $3.4 billion -Digital currencies – Crypto-currencies and Global Corruption?
By my calculations, bitcoin is a currency with a market cap of $3.4 billion and as of yet, there have been no scandals like the financial crisis and congress has not had a hard time implementing regulations in a bid to stop it. The private holding of bitcoin can basically result in any person becoming the owner of that bitcoin.
This can lead to any group of individuals using bitcoin to destroy governments due to a lack of knowledge of where their bitcoin is going. The facts still prove that bitcoin is unstable and it is hard to ascertain its growth rate but it certainly does not appear to be going down anytime soon.
The world does seem to show a high interest in bitcoin and as such, many governments continue to shift the regulation of cryptocurrencies in a bid to provide legitimacy of the platform.
The leading cryptocurrency is Bitcoin – Digital currencies – Crypto-currencies and Global Corruption?
Digital currencies such as bitcoin have been currently passed into the list of cryptocurrencies to be traded in the Bloomberg 2021 list. The US Government, for example, has been pushing to put limits on the price of bitcoin. This is because as we have seen over the last year when bitcoin has started to have an upward trajectory in its value it has caused a rise in the overall world economy and that is something that the US Government would love to keep under check.
Bitcoin has a large market cap due to its transaction
Bitcoin’s massive market cap is primarily because of its large network of transactions. In fact, there has been no doubt that the increasing market cap is the result of global supply constraints. This has resulted in enormous liquidity being created with the amount of currency available being capped by a central authority. If this were to happen and bitcoin’s market cap were to increase at such a rapid rate the supply would more than double overnight.
Does Bitcoin have its decentralized nature -Digital currencies – Crypto-currencies and Global Corruption?
Bitcoin does not have an institutional risk as compared to fiat currencies. This is partly due to the fact that the problem is not as significant as in fiat currencies as bitcoin is still relatively new and the total global bitcoin market cap is estimated to be about 1,000 Bitcoins. Unlike money, bitcoin still has not reached critical levels of being traded due to its decentralized nature and the fact that individuals are storing their bitcoin so it can never be exchanged for a more affordable amount. This shows that there is an enormous number of things that bitcoin can do and therefore the reason for the lack of internationalized fraud.
YOU READ THIS – veterans day and memorial day how they differ
Bitcoin could be the one tool that can be used to stop World War 3. As we live in a global village we could be able to access almost everything we want with just an easy click on our phone or computer. This is not the case for money which has to.