I hope so, myself i don't like carrying paper money. I wish if all finance would be digitally-based. It will help easily to prevent money liquidation and some illegal trades.
Great points. Now the thing is we can't benefit from getting interests for our savings. Some banks such as HSBC offer up to 5% high interest rate for savings, which is quite alot if you do the math, accounting for 2% annual inflation, you still earn a net 3% of your total savings.
Currently, Artificial Intelligence in the form of Face Recognition technology is being utilized in China, which is looking forward to implementing a system whereby consumers will be able to pay for goods and services simply by "showing their faces" to a computerized system operated, presumably, by robotic devices. Therefore, any type of currency, digital or otherwise, will, one day, be obsolete; or maybe the need for digital currency will be by-passed by photographic technology: E = mc2
Michael Halim
Dear Researcher,
This is a beautiful question. I am trying to answer this question in the context of my country, India.
As you know, India is a developing economy. Not more than 2% people in this country have an access to a phone. Not more than .01% people have an access to a smart phone. So digital currency system introduction will create an economical environment in India in which except a few elite no one else will be ale to survive. Moreover, introduction of digital currency will involve a huge investment in terms of money. Under the circumstances, when revenue earnings of the government have been squeezed, where will the investment come from? India ranks almost at the top on most economic grounds among the developing nations. If this is the condition of India, then you imagine the condition in other developing economies. I don't want to name them.
So introduction of digital currency in India has widened the social bar between the rich and the poor. You know, most of the time the picture about developing economies that is given to the world is a cinematic picture. Very rarely such pictures have any connection with reality. In India about 20% of the population are still not literate, about 25% of the population are below the poverty line. And, India is one of the most progressive nations in the world. Now imagine the picture in some other nations.
Developing economies are no where even close to making the concept of digital currency a success.
Thank you.
Best regards,
Anamitra.
Digital currencies have grown in importance in recent years. The growing importance of the digital currency is determined by various factors. In addition, the key in the context of this discussion is to cassify and distinguish concepts related to the issues of digital currencies, electronic money, internet settlements, etc. On the one hand, these are technological factors, such as the development of internet technologies, ICT information technologies and Industry 4.0 used by institutions financial. On the other hand, the SARS-CoV-2 (Covid-19) coronavirus pandemic has increased the digitization and internetization of economic processes. The importance of remotely online commerce via the Internet has grown, the scale of e-commerce in the economy is growing, the scale of payments and settlements made electronically is growing, Internet bubble is developing, etc. In addition, the scale of central and conducted, interventionist, anti-crisis, and soft monetary policy is growing. under which additional "anti-crisis" money is introduced into the economy. This additional "anti-crisis" money is introduced into the economy by buying lost loans and junk securities from commercial banks and by direct purchase of treasury bonds from issuing new series of treasury or offered rolled treasury securities. This additional, "anti-crisis" money is now introduced on a large scale in some countries into the economy as a key instrument of anti-crisis, interventionist programs to activate economic processes, reduce the scale of unemployment growth, reduce the scale of recession in the context of the current economic crisis caused by the SARS-CoV pandemic. 2 (Covid-19). The aforementioned additional, "anti-crisis" money is introduced into the economy more and more often mainly in electronic form. Another issue in the context of digital currency issues is the issue of the emerging informal digital currencies mainly or exclusively online. These informal digital currencies include mainly cryptocurrencies, the importance of which is also growing, because despite the lack of central and supervisory financial institutions that would regulate the functioning of cryptocurrencies, more and more internet technology companies (e.g. some companies running social networks and fintechs) and financial institutions (e.g. some commercial and investment banks) create their cryptocurrencies.
Thank you, Greetings,
Dariusz Prokopowicz
The Real-world Impact of Virtual Money
While Cryptocurrency and its usage is at an all-time high, so are the misconceptions about it. Most people still seem to ask - Why use Bitcoin? Since such currencies use different algorithms and are traded in unconventional ways, it is important to lookout for some important characteristics before investing in Bitcoin or others of its ilk. This includes -
- Daily Trading Volume and Overall Market Capitalization Market capitalization of a cryptocurrency is the total worth of all its forms which are currently in circulation. New forms of Cryptocurrency might not be widely available, and therefore might not have high market capitalization. Similar to this is the daily trading volume, and a cryptocurrency which has higher trading volume than the others is considered more successful.
- Verification Channels Each cryptocurrency has its own verification method. One of the most common methods for verification is called "Proof of Work". Herein, to verify a transaction, a computer has to spend time and computing power to solve difficult mathematical problems. On the other hand, "Proof of Stake" method allows users with the largest share of the cryptocurrency to verify the transactions, which requires far less computing power.
- Acceptance of Cryptocurrency Unless a cryptocurrency is not accepted by major retailers or other businesses that you deal with, it doesn't stand much use. That is why Bitcoin still remains the most popular form of digital currency, since its reach is widespread and is accepted by many businesses and retailers alike.
https://www.outsource2india.com/software/articles/impact-cryptocurrency-bitcoin.asp