There is an agenda that claims that cryptocurrency may eventually replace cash. Of course, not everyone agrees with the stated opinion, however, there are also many individuals who agree as those who disagree. I am also one of the people who support this opinion. Humankind has witnessed numerous changes in their everyday lives from the past till today, and there is no reason to believe that this will not happen to “cash” in a several decades.
First of all, we must discuss what is cryptocurrency and how it works. The very first cryptocurrency debuted in 2009, and today the worldwide crypto business has a market cap of more than 2.5 trillion dollars. Furthermore, Cryptocurrency is a digital payment mechanism that is not reliant on banks. People are able to access cryptocurrencies from anywhere they are by using their digital wallets, making it a very clear and simple process. However, it has its own hardness though; if the person is willing to invest in a cryptocurrency by getting into a high-risk gamble it might pay off, but also it might destroy the person financially. Therefore, every individual must think twice or more before investing in cryptocurrency.
As previously indicated, investing in cryptocurrencies is a high-risk gamble; nevertheless, when we look at the big picture, we can see that cryptocurrencies have numerous benefits for the world economy. The most significant example of this contribution is that it has the potential to reduce global poverty rates. Cryptocurrencies offer a low-cost payment mechanism known as the blockchain, which reduces remittance expenses; that caused because financial institutions typically charge large transaction fees. As a result, anyone who wishes to invest may do so without paying a charge; this is a great opportunity for people with limited incomes. Furthermore, using blockchain technology makes it easier to secure investments. Moreover, with using blockchain system securing investments becomes easier. The reason I mentioned is one of the causes why many individuals prefer to use cryptos instead of cash, which leads to more frequent use of cryptos than cash.
Lastly, to mention, there are several factors that make replacing currency with cryptocurrencies challenging. People must propagate cryptocurrencies in order to enable them to become the future’s “cash.” First and importantly, we must legitimize cryptos in the view of government and authorities in order to offer price stability and additional benefits to businesses.
In general, I am in support of replacing cash with cryptocurrency. It has various advantages, but it is still a tough job to make it widespread. I assume that cryptos will become more common in a few years, but there is still plenty of time until they become the currency of the future.