International Monetary Fund (IMF) Highlights Why Blockchain is Overshadowing Cryptocurrency

Digital currencies are still having a tough time gaining their footing, but it seems blockchain technology is faring quite well. The International Monetary Fund recently released a report on cryptocurrency and in the report, there is an article called Back-to-Basics.

The article discusses what some experts believe are key terms and concepts that come up on a regular basis in the cryptocurrency industry so that readers have a better understanding.

Interestingly enough, experts in the report also seem to take the position that cryptocurrency is not exactly equal to traditional money. That is, it does not provide the same basic functions of being traditional money, such as storing value, being a means of exchange, and a unit of account.

The article also featured several issues associated with cryptocurrency which are preventing its mass adoption and it being equated to traditional funds. For instance, cryptocurrencies are too volatile, and as a result, they are useless as a store of value.

Cryptocurrencies also have limited acceptance – merchants have not mass adopted the payment method, there are tax issues, legal considerations, and it is difficult to make them into a medium of exchange.

Another factor is the cost of production – the mining process takes a lot of power and money. Also, there is not a lot of trust concerning transactions, which may cause users to shy away. Finally, cryptocurrencies can be used for money laundering purposes.

At the heart of it though, these are just the perceptions of the IMF. Further, even though the IMF highlighted several factors that may negatively impact cryptocurrencies, it also discussed a number of positive qualities. The article stated,

“Distributed ledger technology could reduce the cost of international transfers, including remittances, and foster financial inclusion.”

Today's Bitcoin (BTC) Price Prediction Plus ETH, XRP and BCH Chart Analysis

Get Free Email Updates!

*Action Required* Enter Your Email for Trending Crypto News & Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

[Author Alert] The author’s opinions above are solely based on their own self-conducted research. Assume any and all authors are using, holding, trading and/or buying cryptoassets mentioned as a portion of his or her financial portfolio. Use information at your own risk, do you own research, never invest more than you are willing to lose.

[Domain Disclosure] The crypto-community content sourced, created and published on BitcoinExchangeGuide should never be used or taken as financial investment advice. Under no circumstances does any article represent our recommendation or reflect our direct outlook. We b-e-g of you to do more independent due diligence, take full responsibility for your own decisions and understand trading cryptocurrencies is a very high-risk activity with extremely volatile market changes which can result in significant losses. Editorial Policy \\ Investment Disclaimer

Coin Market Cap Price Change 24 Hour Volume
BTC $164.71B $9,269.2563 1.13% $4.9B
ETH $28.67B $269.0563 0.99% $1.69B
XRP $18.46B $0.4344 1.14% $475.3M
LTC $8.51B $136.5565 1.57% $1.05B
BCH $7.42B $415.5741 0.30% $164.31M
EOS $6.3B $6.8519 0.17% $548.35M
BNB $4.98B $35.2728 1.85% $369.44M
BSV $4.02B $225.4000 1.45% $119.27M
USDT $3.54B $1.0024 0.19% $4.41B
XLM $2.41B $0.1242 -0.17% $60.05M

Get 3 Free Bitcoin eBooks for Limited Time Only

Receive three exclusive user guides detailing a) What is Bitcoin b) How Cryptocurrency Works and c) Top Crypto Exchanges today plus a bonus report on Blockchain distributed ledger technology plus top news insights.


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.