Cite this article as:
Krasilnikov O. Y. Advantages and Disadvantages of Cryptocurrencies Development. Izv. Saratov Univ., Economics. Management. Law, 2018, vol. 18, iss. 3, pp. 253-?. DOI: https://doi.org/10.18500/1994-2540-2018-18-3-253-258
Advantages and Disadvantages of Cryptocurrencies Development
Introduction. In the information economy, along with the state monetary systems, non-state ones arise and develop. Some of them operate on the basis of so-called cryptocurrencies. The article investigates the pros and cons of the development of modern cryptocurrencies that use the global Internet. Theoretical analysis. The advantages of cryptocurrencies are analyzed, among which the main one is a high investment potential. It allows to attract financial resources for the implementation of significant projects in the real sector of the economy within the ICO by analogy with crowdfunding. Among the disadvantages of cryptocurrencies, the author highlights the following: separation from real production, high financial and energy costs, inequality of participants, the lack of control of state structures, the problem of security. Particular attention is paid to one of the first cryptocurrencies – Bitcoin. The Strong volatility of its stock price is marked. Results. There made a conclusion about the high risks of cryptocurrencies creating and developing at the present stage. At the same time, the author emphasizes the high monetary, financial and investment potential of non-state monetary systems operating on the basis of cryptocurrencies.
1. Krasilnikov O. Yu., Krasilnikova E. V. Non-State monetary systems in information economy. Voprosy Ekonomiki, 2013, no. 5, pp. 151–158 (in Russian).
2. Vse kriptovaliuty (All cryptocurrencies). Available at: https://ru.investing.com/crypto/currencies (accessed 7 April 2018) (in Russian).
3. Smith + Crown. Available at: https://www.smithandcrown.com/smith-crowns-token-sale-vetting-resultscom... (accessed 8 April 2018).
4. Reiting russkoiazychnykh ICO-Proektov (The rating of Russian ICO Projects). Available at: https://icotime.ru (accessed 9 April 2018) (in Russian).
5. 46% provedennykh v 2017 godu ICO poterpeli neudachu (46% of ICO held in 2017 failed). Available at: https://bitnovosti.com/2018/02/24/46-provedennyh-v-2017-godu-ico-poterpe... (accessed 9 April 2018) (in Russian).
6. Energopotreblenie seti Bitcoin prevysilo energopotreblenie Belarusi (The power consumption of the Bitcoin network exceeded the power consumption of Belarus). Available at: https://geektimes.ru/post/296671 (accessed 10 April 2018) (in Russian).
7. Maining kak prichina global’nogo energeticheskogo krizisa (Mining as a cause of the global energy crisis). Available at: https://cryptocartel.club/ru/mayning/mayning-kak-prichina-globalnogo-ene... (accessed 10 April 2018) (in Russian).
8. Minfi n rasskazal Putinu o natsional’noi rossiiskoi kriptovaliute (The Ministry of Finance told Putin about the national Russian cryptocurrency). Available at: http://ktovkurse.com/valyuty/minfin-rasskazal-putinu-onatsionalnoj-rossi... (accessed 10 April 2018) (in Russian).
9. Grafi k bitkoina k dollaru (Bitcoin to dollar chart). Available at: https://coinspot.io/charts (accessed 10 April 2018) (in Russian).