Preview
Preview

The Dangers of Cryptocurrency to our Economic Systems Essays

No Works Cited
Length: 1434 words (4.1 double-spaced pages)
Rating: Blue      
Open Document




- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

Cryptocurrency, such as Bitcoin, has brought in a lot of media attention over the past few months and has been raising eyebrows within government agencies worldwide. Here’s why: Appropriately constructed, cryptocurrency could potentially upend our established global economic system. This newfound technology poses as a serious threat to our currency-issuing central banks and also to the global financial intermediaries. To truly understand the changes that cryptocurrency could potentially bring, you will need to have a general understanding of our current economic system.

Financial markets as we know them were arguably started in the 14th century by Venetian merchants tied to the moneylenders - the bankers of their time. They basically bought high-risk, high-interest loans or exchanged them for other loans with other lenders. The first real stock exchange can be linked to Antwerp in 1531 to deal in loans, government, and individual debt. By the 1600’s, all the East India trading companies started to spring up under different countries. Individuals would invest in these voyages, thus creating the first futures markets. It was a risky investment, considering storms, pirates, and the other dangers of a long ocean voyage over relatively unknown seas, but if the ship you invested in came back with full holds then you were pretty much set for life. However, actual exchanges were not established until later. The first was set up in London in 1773, but it was restricted by laws that restricted shares to whom shares could be sold and at what rate they were taxed. Nineteen years later it was followed by the New York Stock Exchange.

Markets back then were a little different than they are now. Today, our monetary policy is linked to Keyne...


... middle of paper ...


...are a boon for democracy. Cryptocurrency not only allows us to have financial freedom, but also promotes the freedom of information we’ve become so accustomed to. WikiLeaks, for example, recently revealed that the majority of donations they receive are in the form of cryptocurrency.

As crytocurrency becomes more accepted throughout the world, so are the principals and ideals connected with it. It advocates and spreads the thought of putting power back into the hands of the people through its decentralization and open collaboration properties. These properties as well as the platform’s openness have made many economic innovations possible. The idea that currency should be for the people, by the people, has influenced people to start new systems that put power back in our hands. I believe that this is why cryptocurrency has, and will continue, to change the world.


Click the button above to view the complete essay, speech, term paper, or research paper

Need Writing Help?

Get feedback on grammar, clarity, concision and logic instantly.

Check your paper »







This essay is 100% guaranteed.


Title Length Color Rating  
Bitcoin the Cryptocurrency: Stimulating Global Economic Growth Essay - Bitcoin the Cryptocurrency: Stimulating Global Economic Growth Bitcoin is a form of digital currency that is similar to physical cash stored in a digital form. It is the first fully implemented cryptocurrency protocol utilizing an open source peer-to-peer payment system. As a transfer protocol, it fundamentally functions as a money transfer medium that sends bitcoins from user to user without the need of a third-party intermediary and the system is protected by peer-reviewed cryptographic algorithms....   [tags: digital currency, physical cash]
:: 1 Works Cited
1748 words
(5 pages)
Powerful Essays [preview]
Economic and Political Systems Essay - According to the Oxford dictionary, capitalism is “an economic and political system in which a country’s trade and industry are controlled by private owners for profit, rather than by the state.” (Oxford) Over the past few decades, the world has witnessed a significant number of companies in developed economies move their factories to countries with looser labor laws and cheaper costs of labor such as China in order to increase profits and please their shareholders. As a result, more sweatshops in countries such as China have increased in number; most of which have horrible working conditions....   [tags: Communism, Worker Exploitation]
:: 3 Works Cited
2284 words
(6.5 pages)
Term Papers [preview]
Economic Systems Essay - Introduction Economic systems are organized way in which a state or nation allocates its resources and apportions goods and services in the national community. An economic system is slackly defined as country’s plan for its services, goods produced, and the exact way in which its economic plan is carried out. There are three types of economic systems exist, they are command economy, market economy, and mixed economy. Command economy is also sometimes called planned economy. The expectations of this type of economy is that all major decisions that related to the construction or production, distribution, commodity and service prices are all made by the government....   [tags: Economics Market System] 1104 words
(3.2 pages)
Strong Essays [preview]
The Economic Systems Essay - The Economic Systems Within the overall umbrella of the word "economy", one speaks today of the market economy, the formal economy, the informal economy, the underground economy, the productive economy and perhaps even the reproductive economy, the post-industrial or post-modern economy and the global economy. Thus while the concept of an economy is not fixed but arbitrary, and may have strayed rather far from the management of household resources, it is nonetheless spoken of in official circles as if there were genuine agreement (sometimes almost as if it were tangible, as "we must get the economy back on track")....   [tags: Economics Economy Essays]
:: 7 Works Cited
2509 words
(7.2 pages)
Term Papers [preview]
Pure Command Economic Systems Essay - In a pure command economic system, an individual person has little or possibly no influence over how the basic economic questions are answered. Nowadays, the only areas that still have a pure command economy are North Korea, Vietnam, and parts of China. Should these countries keep a pure command economic system. Or should the pure command economic system be taken away from these countries. The pure command economic must be taken away for three following reasons: It has no competition, no development, and no valued goods and services....   [tags: Economics] 634 words
(1.8 pages)
Good Essays [preview]
Economic Systems Used by Countries Essay - INTRODUCTION An economic system is the ways which a country allocates its resources. It is ways in which production is done, how to allocate resources that have been produced. An economic system is aimed at solving the four economic system which are command, market, traditional and mixed system. Countries this days usually use the mixed economic system and market system. Each of the system will be discussed and analysed. • Command economic system In this economic system all the resources are controlled and managed by the government and in that the government produce goods and services for everybody in a country....   [tags: command, market, traditional and mixed]
:: 28 Works Cited
1419 words
(4.1 pages)
Powerful Essays [preview]
Economic Systems: Capitalism Essay - Capitalism Capitalism is an economic system characterized by the private ownership of the means of production, and where production is guided and income distributed largely through the operation of markets. The objective of a capitalist society is to gain profit. Some of its strengths of living inside a Capitalistic economy are the incentive for innovation, efficiency, and economic growth. Unlike socialism, there are opportunities to invent new products for areas of demand, to raise quality, and to gain assets....   [tags: income, markets, production]
:: 10 Works Cited
1397 words
(4 pages)
Strong Essays [preview]
Economic Systems: Capitalism Essay - Capitalism Capitalism is an economic system where people and private businesses are able to control their own trade and means of production for profit. It emerged as technology, production and trade began to increase. During the industrial revolution, capitalism started to influence people more. Some characteristics of capitalism are capital accumulation, competitive markets and wage labor. The government isn’t supposed to interfere with trade. Individual markets raise or lower their prices due to competition and demand for goods....   [tags: trade, production, technology] 1104 words
(3.2 pages)
Strong Essays [preview]
What is Economics? Essay - Economics, in one aspect, is the study of how individuals, societies, and countries manage to deal with the problem of scarcity. Scarcity is a problem within economics because the wants of people are unlimited and the resources available to fulfil those wants are finite (Sloman, 2001). The answer to scarcity is efficiency which Gowland and Paterson (1993) described as the most benefit from a certain amount of scarce resources. Within the economic system, there are several types of economies, each generating a different level of efficiency....   [tags: Economic Systems Economy Scarcity Essays] 1567 words
(4.5 pages)
Strong Essays [preview]
Essay on Comparative Economic Systems - Comparative Economic Systems Capitalism is the economic system found in the United States, Japan, and Germany that are based on private ownership of productive property. Items are known as productive since their use can produce other objects of economic value, income, or money. Things such as a worker’s tools, a farmer’s fields, or a factory’s machine can be considered as productive property. The basic four factors of production that are important for any nation’s economy is land, human resource labor, management, and capital....   [tags: essays papers] 1259 words
(3.6 pages)
Strong Essays [preview]