Economic Outlook of Cryptocurrency
This chapter presents the economic outlook of cryptocurrencies with takes on exploring how users, merchants, regulators and experts treat this virtual money as an economic tool. It looks at classifications, prices, volatilities and acceptance of cryptocurrencies in the society. A striking feature of cryptocurrency is its potential to act as an alternative form of money. Cryptocurrencies are digital assets frequently referred to as currency, digital cash, virtual currency, electronic currency, digital gold and more commonly cryptocurrency. Classification of cryptocurrency by the United States government is unclear at the time of this writing with multiple conflicting rulings. Unlike Bitcoin, this cryptocurrency along with the Ripple protocol is heavily promoted by Ripple Labs, the company that created the network. Cryptocurrency seems to be more suitable for large and delay-tolerant payments. Government is perhaps the most important amongst the three entities, as their unwillingness to support the rise of cryptocurrency will only create chaos and turmoil.