Assessing the global impact of cryptocurrencies

Abstract

. Interest in cryptocurrencies is increasing day by day. Cryptocurrencies are increasinglyknown around the world as a mathematical-based encrypted digital and virtual currency thatcannot be controlled by a state, company or authority, and uses the science of decentralizedmonetary system and cryptology. In an environment where a new crypto currency is announcedevery day, there are 7471 types of cryptocurrencies as of 21 October 2020. Although it has ahistory of only eleven years, it is important to investigate and discuss this issue, consideringthe transaction size, prevalence and diversity of this technological innovation. Cryptocurrenciesare used in daily life and commercial activities as a means of payment for purchases of real orvirtual goods and services. They are accepted by many international companies, and are traded inhundreds of clearing and exchange centers. In addition, considering that they have bidirectionalconvertibility with the currencies of many countries in circulation and they have reached a marketsize that grows up to 375 billion USD in total, the nature and importance of the business isevident. The study discusses the current state of the crypto money market, countries’ attitudestowards cryptocurrencies and the global effects of crypto currencies.Bitcoin has set a new record for value on the exchange. According to the trading data, on February9, 2021, the price of cryptocurrency exceeded $ 48 thousand.The reason for the new jump in therate was the news of a large investment by Tesla: Elon Musk’s company bought bitcoins for $ 1.5billion.In the future, Tesla plans to accept bitcoin as a form of payment for goods and services.The publication of a financial report for the US Securities and Exchange Commission (SEC)instantly increased the value of cryptocurrency in the market by more than 10%. At its peak,Bitcoin has shown a 40% increase over the past week