DIGITAL CURRENCY MARKET DEVELOPMENT

Abstract

After steady growth over the last few years, the cryptocurrency market has been on the rise since 2017. Cryptocurrencies, like Bitcoin, consist of a network of peer-to-peer nodes that together maintain a common record of historical transactions resistant to tampering. It uses encryption techniques to control the creation of monetary units and to verify the transfer of funds. Cryptocurrency is a concept that is an alternative to the fiat currency used in the current monetary system. Entrepreneurs, start-ups and large as well as small and medium-sized enterprises (SMEs) are interested in cryptocurrencies and consider it a revolutionary concept for counteraction to transactions. Technology is advancing at high speed, and the success of the technology is almost exclusively dictated by the market in which it wants to improve. Cryptocurrencies can revolutionize digital commerce markets by creating a royalty-free system of free circulation and has a great advantage over traditional value and since it presents great flexibility in making fast peer-to-peer transactions, especially in international scenarios. By its nature, it can fill gaps in current financial technologies and be able to help solve traditional banking problems by being a peer-to-peer system. Bitcoin was the highest valued currency in the world at the end of last year. The cryptocurrency market is in expansion what is also confirmed by the examples of South America, which saw a huge increase in transactions with bitcoins after 2014, as well as Argentina, which is the hub for increased use of cryptocurrency.