The Benefits and Obstacles of Cryptocurrency

Abstract

Cryptocurrencies, including Bitcoin, challenge the global financial control system established after the Bretton Woods agreement. Bitcoin, a digital currency, is decentralized, meaning no government issues it and is not stored in a central location. Bitcoin and other decentralized monetary systems utilize a publicly accessible distributed ledger, eliminating the need for a trustworthy intermediary. This paper seeks to ascertain the benefits and obstacles associated with cryptocurrencies. This paper was written following an extensive examination of the pertinent literature. Based on the research, utilizing Bitcoin entails various risks, including the susceptibility of its value to substantial price volatility. This currency can be used for illicit transactions, such as illegally trading goods violating the law. It can facilitate illicit activities such as evading taxes and laundering money. Bitcoin users' accounts are susceptible to hacking. Consequently, there is a potential for Bitcoin units to be misplaced or stolen. There is a prevailing notion that Bitcoin is closely linked to gambling