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International Journal of Trend in Scientific Research and Development (IJTSRD)
Volume 7 Issue 1, January-February 2023 Available Online: www.ijtsrd.com e-ISSN: 2456 – 6470
@ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 207
Cryptocurrency: Advantages and Disadvantages
Dr. Chandrakant N. Kokate
Professor, Department of Economics, Dr. Babasaheb Ambedkar Marathwada University,
Aurangabad (MS), Maharashtra, India
ABSTRACT
The cryptocurrencies were designed to be medium of exchange. The
blockchain technology on which cryptocurrencies are based on offers
many possibilities for computer science and all future businesses. For
the past decade experts as well as laypeople have been experiencing
cryptocurrencies in extremes. They either have a very positive
attitude or a very negative attitude towards them. Experts who have
very positive attitudes towards them believe that cryptocurrencies
create new ways of conducting business and new ways of trust
relationships are managed. Experts who have very negative attitudes
towards them often emphasize the fact that they are often linked to
negative connotations such as being a tool for criminal activities or
skipping social responsibilities such as tax avoidance and corruption.
They also emphasize the fact that it is a new, unexplored technology
and an unstable market. The blockchain technology on which
cryptocurrencies are based on offers man possibilities for computer
science and all future businesses. For the past decade experts as well
as laypeople have been experiencing cryptocurrencies in extremes.
There are more than 1,600 cryptocurrencies in circulation today, with
a combined market cap of over $289 billion, according to Coin
Market Cap data. Investors around the world are eager to trade in this
rapidly-growing space, and a slew of cryptocurrency platforms have
emerged to meet the need for infrastructure to support the exchange
of digital currencies. Though they call themselves "exchanges," from
an investor's standpoint they function similarly to e-brokerages and
their rapid rise is reminiscent of the explosion of electronic discount
brokerage firms during the dotcom bubble of the late 1990s.
How to cite this paper: Dr. Chandrakant
N. Kokate "Cryptocurrency: Advantages
and Disadvantages" Published in
International
Journal of Trend in
Scientific Research
and Development
(ijtsrd), ISSN:
2456-6470,
Volume-7 | Issue-1,
February 2023,
pp.207-212, URL:
www.ijtsrd.com/papers/ijtsrd52656.pdf
Copyright © 2023 by author (s) and
International Journal of Trend in
Scientific Research and Development
Journal. This is an
Open Access article
distributed under the
terms of the Creative Commons
Attribution License (CC BY 4.0)
(http://creativecommons.org/licenses/by/4.0)
KEYWORDS: Cryptocurrency,
Bitcoin, Digital Currency,
Blockchain, Virtual Currency
INTRODUCTION
Representation of the European Commission in
Croatia defines cryptocurrencies as digital money,
created in digital form as a means of digital exchange.
Cryptocurrencies exist only on the Internet and have
not been published by, or monitored by, a central
bank or government. Precisely because
cryptocurrencies are not controlled by the central
bank, they are not formally money. They are stored in
a "digital wallet" on one of the websites that provide
this service. Every transaction made is recorded. The
general or public "ledger" in which all transactions
and value changes of cryptocurrency units are
recorded is called "blockchain". A blockchain is a
database that is shared across a network of computers.
Once a record has been added to the chain it is very
difficult to change. For the past decade experts as
well as laypeople have been experiencing
cryptocurrencies in extremes. They either have a very
positive attitude or a very negative attitude towards
them. Many kinds of research have been done, most
of them showing that young people under the age of
35, mainly known as “millennials” are more prone to
working with cryptocurrencies There is no doubt that
the era of information and communication
technologies has created many golden opportunities
in several aspects. One of the fields that benefit from
these technologies and online connections is the
financial and business sector. A growing number of
online users has activated virtual world concepts and
created new business phenomena. Thus, new types of
trading, transactions and currencies have been arising.
One of the remarkable financial forms that have been
emerged in the past few years is Cryptocurrency.
Cryptocurrency (CC) can be defined as any medium
of exchange, apart from real world money, that can be
usedFor the past decade in many financial
IJTSRD52656
International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470
@ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 208
transactions whether they are virtual or real
transactions. Cryptocurrencies represent valuable and
intangible objects which can be used electronically or
virtually in different applications and networks such
as online social networks, online social games, virtual
worlds and peer to peer networks.in many financial
transactions whether they are virtual or real
transactions. Cryptocurrencies represent valuable and
intangible objects which can be used electronically or
virtually in different applications and networks such
as online social networks, online social games, virtual
worlds and peer to peer networks. As early as 2012,
small scale Bitcoin transactions were already taking
place within the country. These were still early days
in the development of Bitcoin when only crypto
hobbyists were interested in Bitcoin. By 2013,
Bitcoin was beginning to gain a level of popularity
that was spreading across many countries. That year,
a few businesses began to accept Bitcoin payment. A
vintage era pizza shop called Kolonial in the Worli
area of Mumbai became the first restaurant service in
India to accept Bitcoin payments.
There are more than 1,600 cryptocurrencies in
circulation today, with a combined market cap of over
$289 billion, according to Coin Market Cap data.
Investors around the world are eager to trade in this
rapidly-growing space, and a slew of cryptocurrency
platforms have emerged to meet the need for
infrastructure to support the exchange of digital
currencies. Though they call themselves "exchanges,"
from an investor's standpoint they function similarly
to e-brokerages and their rapid rise is reminiscent of
the explosion of electronic discount brokerage firms
during the dotcom bubble of the late 1990s.
Review of literature:
A high-level Inter-Ministerial Committee was
constituted in November 2017 to study the issues
related to virtual currencies and propose actions to be
taken. The Committee submitted its report on
February 28, 2019 and the report was released in
public domain on July 22, 2019. The mandate of the
Committee included examining the policy and legal
framework for regulation of virtual currencies.
Recommendations of the Committee include:
Virtual currencies: Virtual currency is a digitally
tradable form of value, which can be used as a
medium of exchange or acts as a store of value or a
unit of account. It does not have the status of a legal
tender. A legal tender is guaranteed by the central
government and all parties are legallybound to accept
it as a mode of payment.
Cryptocurrency is a specific type of virtual currency,
which is decentralised and protected by cryptographic
encryption techniques. Decentralisation implies that
there is no central authority where records of
transactions are maintained. Instead, transaction data
is recorded and shared across multiple distributor
networks, through independent computers. This
technology is known as Distributed Ledger
Technology.
Issues related to virtual currencies: The Committee
observed that cryptocurrencies cannot replace
traditional currencies due to several issues associated
with them. These include: (i) cryptocurrencies are
subjected to market fluctuations. For instance, the
value of Bitcoin cryptocurrency reduced from around
USD 20,000 (December’17) to USD 3,800
(November’18) in less than a year; (ii)
cryptocurrencies are decentralised, which makes them
difficult to regulate; (iii) cryptocurrency design have
several vulnerabilities which leave consumers open to
risk of phishing cyber-attacks and ponzi schemes.
Further, transactions are irreversible, meaning there is
no way to redress wrong transactions; (iv)
cryptocurrencies require large amount of storage and
processing power, which can have unfavourable
consequences on country’s energy resources; and (v)
cryptocurrencies provide greater anonymity .
There is an increasing trend of foreign cryptocurrency
exchanges investing in Indian cryptocurrency
exchanges. It is because India has a population of 139
crore that is predominantly young which is seen as
tech-savvy and more adaptable to crypto saving,” said
Harish BV, co-Founder, Unocoin, which has a user
base of 13 lakh in India. The median age of Indians is
between 28 and 29 years.
In March 2020, when India’s apex court set aside
RBI’s circular and allowed financial institutions to
engage in digital coin transactions, investors returned
to the market with a vengeance. Within weeks of the
RBI ban lifting, trading volumes and new sign-ups on
crypto exchanges went up multifold. Since then, the
volumes and user base of these exchanges have
expanded each month.
Mitchell Rice (2019) has also stated that no specific
building or agency regulates cryptocurrency; thus,
cryptocurrency is based on people's trust that it would
also be helpful tomorrow. This digital currency is not
backed by any asset or guaranteed against a liability.
In 2016, DeVeries had stated that cryptocurrency
sustains from the trust and acceptance of its owners
and users of the instrument. He also said it is
susceptible to easy attacks due to easy access. He
wrote that, ‘These 'tests' were launched by exchanges
and miners to prove a point about Bitcoin's design:
that the network cannot handle a high load transaction
rate.
International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470
@ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 209
Another paper by Cameron Harwick reiterated the
same idea in 'Cryptocurrency and the Problem of
Intermediation, 2016' as: "The fundamental problem
here is trust.
The necessity' of a method transition, however,
deserves a few more words. Because a cryptocurrency
protocol defines both the coinage and exchange of the
base money, issuing liabilities on a fractional-reserve
basis requires more than simply adding parameters to
coins. A bank that wants to vary its issue with
demand needs to create its coinage and exchange
mechanism, a new protocol that would not be
compatible with the original even if its processing
took place on the identical blockchain. Nor would one
issuer's liabilities be compatible with another's." The
essence of this problem arises from the status of an
illegal tender and non-regulation.
Advantages:
Introduction benefits of using virtual currencies into
two categories. Those are economic and individual
benefits. The economic benefits under the EBA relate
to more facts. First, they relate to transaction costs. In
principle transaction, costs should not exist because
there are no intermediaries in the transaction.
However, there are transaction costs, but they are
much less compared to other forms of payment. The
reason is the costs incurred in regulation, internal
control, and similar.
Secondly, approximately every ten minutes new
blockchain entries are added. The geographic distance
of the participants in the transaction does not matter.
Regardless of their distance, the same timeline is
required to complete the transaction. This
characteristic is considered an exceptional advantage
in opposition to other payment methods. The basic
individual benefit of cryptocurrencies is online
transactions. The use of cryptocurrencies is beneficial
to both buyer and seller. Because they are
autonomous they have no issuer and no institution to
control their circulation, which means the seller is
granted full anonymity, which buyers mainly benefit
from. A return possibility in a virtual currency
transaction is not deductible. When making a
payment for a selected product or we cannot get the
virtual currency unit back on request. This is where
the EBA highlighted the advantage by sellers
because, with traditional forms of payment in the case
of fraudulent defect reports, funds often would have
to be refunded. Except for spending money,
cryptocurrencies have been suggested to be a new and
popular form of alternative investment. They hold
several important advantages over traditional forms of
currency such as independence, security, and price
liquidity which can result in something like we
experienced with Bitcoin, resulting in a massive surge
of interest in cryptocurrency.
Anyone who owned Bitcoin at the end of 2017
became very rich overnight. Bitcoin exploded in
price, and needless to say, everyone who wasn’t a
part of that wanted to invest some money in case it
happened again. And it did happen again in 2019
many cryptocurrency users find it very important that
it preserves their privacy. In order to be able to open
an account and execute transactions through a bank,
you are obliged to provide extensive personal
information, but with cryptocurrency, you do not
have to provide personal data and the transactions
take place anonymously. Although the degree of
privacy varies from cryptocurrency to cryptocurrency,
most of them guarantee complete anonymity. And
you can create as many account numbers or addresses
as you want.
Disadvantages of Cryptocurrency:
Stated before, the advantage of cryptocurrencies is its
anonymity but the downside of anonymity is its lack
of confidence.
1. The lack of a competent institution to control and
guarantee creates a high risk of the counterparty.
2. In electronic money, the issue of risk and trust is
questionable, while in fiat money it is highly
correlated with the national economy and politics.
While some experts applaud the anonymity
feature of cryptocurrencies, many see them as a
downside. The reason for that is their
susceptibility to criminal purposes resulting from
the anonymity of their use.
3. The black market and the dark web are big users
of cryptocurrencies. Criminals value their
anonymity, as much as they value the ability to
send vast sums of money around the world simply
using their phone. This made cryptocurrencies
relatable to the risk of money laundering, terrorist
organizations, and other illegal activity, financing
many negative connotations. From a strictly
economic view, many experts show a negative
attitude towards cryptocurrencies because of their
strong volatility and difficult to predict.
Since the beginning, cryptocurrencies had a highly
volatile nature. This is one of the main reasons mass
adoption is taking longer than it should. Many
corporations don’t want to deal with a form of money
that is going through huge swings in volatility.
Experts are also pointing out other potential
problems.
4. Regulatory and legal issues are two of the big
obstacles facing the crypto sector. Because the
International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470
@ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 210
technology is new, governments and banks have
not yet formed a coherent fiscal policy for them.
Therefore, there is a risk that their taxation status,
trading rules, or even legality, could change and
become more complicated.
Also, a concern, although it’s never been conclusively
proved, it’s widely assumed that insider trading,
collusion, and market manipulation is present across
the crypto sector. And last, but not least, one big
cryptocurrency issue is lack of awareness and
understanding. It is a known fact that many people are
still unaware of digital currencies. To be able to use
and invest in cryptocurrencies people need to be
educated to be able to apply it to their lives.
Businesses are accepting bitcoins because of the
advantages, but the list is relatively small compared
to physical currencies. One of the reasons is that the
workers need to be educated on Bitcoin so that they
can help the customers. This will definitelytake some
time and effort.
Its rise in India:
India with a population that is over 1 billion strong
has been on something of an economic renaissance in
the last few years. Such has been the extent of the
country’s growth that the IMF has called it the
fastest-growing emerging economy. More than 40
percent of the country’s population has access to
telecoms and internet services. A country steeped in
mystery, history, and culture, it is also not one to fall
behind when it comes to technological advancement.
Bitcoin and other cryptocurrencies have been
operating within the country for a number of years
now. This article looks at the state of the Indian
cryptocurrency market. As early as 2012, small scale
Bitcoin transactions were already taking place within
the country. These were still early days in the
development of Bitcoin when only crypto hobbyists
were interested in Bitcoin. By 2013, Bitcoin was
beginning to gain a level of popularity that was
spreading across many countries. That year, a few
businesses began to accept Bitcoin payment. In a
short space of time, cryptocurrency exchanges began
to spring up within the country. Pioneers like
BtcxIndia, Unocoin, and Coinsecure began offering
cryptocurrency exchange and trading services in
India. Over time, others like Zebpay, Koinex, and
Bitcoin-India were added to the list. With the
proliferation of crypto trading and exchange
platforms, the crypto market in India has grown from
its modest level in 2013 to what it is today. Apart
from these online exchanges, there are also a number
of over-the-counter (OTC) crypto shops in the
country. Add to this, numerous Bitcoin ATMs in
major Indian cities and you have the makings of a
crypto economic hub. On November 8, 2016, Prime
Minister Narendra Modi announced the
commencement of a demonetization Policy. The
move by the government to demonetize
approximately 86 percent of the country’s paper
currency sent shockwaves all across the subcontinent
of India. People with large cash holdings required a
new means of holding such wealth without incurring
significant tax burdens and sundry government
scrutiny. This meant that they were effectively
circumventing what would have been considerable
taxes if they had tried to circulate their wealth
through the banking system. The demonetization
policy also led to widespread criticism of the
mainstream financial scene in the country.
In the space of 24 hours, 86 percent of the country’s
paper currency in circulation had been rendered
valueless by virtue of a single government
proclamation. Realizing that fiat money isn’t exactly
“real” money since it isn’t backed up by anything,
Indians began to seek alternative currency models.
Many Indians, especially those in the 40 percent
bracket with access to the Internet began to take up
Bitcoin and other cryptocurrency investments. The
2016 demonetization policy may have spurred the
adoption of cryptocurrencies among a considerable
portion of the population but realities soon began to
emerge that have stifled the growth of the market in
the country.
Despite its vast population, India only contributes 2
percent of the total global cryptocurrency market
capitalization. The small role being played by such a
large economy can be attributed to the high
cryptocurrency prices & the RBI-led government
crackdown. The general level of prices of
cryptocurrencies in India is on the high side. Market
rates are relatively higher by as much as 5 to 10
percent compared to the global average.
This means that Indians can only get involved in
peripheral participation in crypto trading as far as
international crypto exchange platforms are
concerned. Lack of large-scale mining facilities &
strict government restrictions on international money
flow also make it significantly difficult for Indians to
transact with many of the large foreign crypto
exchange platforms. The Reserve Bank of India (RBI)
has been consistent in warning citizens of the risk
associated with cryptocurrencies.
World's largest cryptocurrency by market cap:
At the time of October 8th, 2019 there were
approximately 2,957 cryptocurrencies being traded
with a total market capitalization of $221bn. This
means that the top 10 cryptocurrencies represent
roughly 85% of the total market value. Even though
International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470
@ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 211
the list of top 10 cryptocurrencies changes very often,
the first three on the list is a constant. Those are
Bitcoin, Ethereum, and Ripple.
1. Bitcoin:
Bitcoin is the world's largest cryptocurrency by
market cap. Launched in 2009, it is created by an
anonymous developer Satoshi Nakamoto, whose true
identity is never verified. Bitcoin offers the promise
of lower transaction fees than traditional online
payment mechanisms and is operated by a
decentralized authority, unlike government-issued
currencies.
2. Ethereum:
A blockchain-based open public network platform
that enables developers to build and deploy
decentralized applications for use by businesses, as
well as individual users. It acts as a platform on
which a whole virtual ecosystem can be developed,
stored, executed, and used by users securely and
anonymously.
3. XRP:
XRP is a currency that is part of the Ripple
technology. Ripple is a technology mostly known for
its digital payment network and protocol. Ripple's
main specialty is payment settlement asset exchange
that is similar to the SWIFT system for international
money. Over the last year, fourth and fifth place of
the list has been exchanged by Bitcoin Cash and
Bitcoin SV. Both of those coins are a result of a hard
fork of Bitcoin. A hard fork is a radical change to the
protocol of a blockchain network that makes
previously invalid blocks/transactions valid or vice-
versa This means both of those coins started as
Bitcoin, but a group of miners decided they wanted to
set new rules to the code, changing its initial idea and
creating their own version of Bitcoin. Some coins that
are or have been in the top 10 cryptocurrencies by
market cap are Tether, Litecoin, EOS, Stellar, and
Monero. Tether is a blockchain-based cryptocurrency
stable coin whose crypto coins in circulation are
backed by an equivalent amount of traditional fiat
currencies, like the dollar, euro, or yen. It is always
worth 1 American dollar.
Litecoin is a peer-to-peer cryptocurrency. It's a fully
decentralized open-source, working as a global
payment network developed with the aim to improve
Bitcoin's shortcomings EOS is a decentralized system
based on the blockchain that enables the
development, hosting, and execution of decentralized
applications on its platform, similar to Ethereum.
Stellar is an open source payment technology; very
similar to Ripple Monero is a digital currency that
offers a high level of anonymity for users and their
transactions. It has several privacy-enhancing features
that improve upon Bitcoin One crypto token that
hasn’t made the top 10 list yet.
Cryptocurrency and Laws
Besides concerns and challenges that are facing
current virtual currency systems, I analysed the
legislative issues that are likely to influence
cryptocurrency use. Moreover, several lawsuits and
real world laws that are likely to be triggered with
virtual currency industry are involved in our analysis.
A status of governments on cryptocurrency around
the world exchanging virtual currency with real
currency is a hot topic in e-business and e-commerce
industries. Trading cryptocurrency for cash is banned
and prohibited in some countries where in other
countries, it is either allowed or not regulated yet. If
2017 was the year of the Initial Coin Offerings (ICO),
it seems as if 2018 is destined to become the year of
regulatory reckoning. Things have already begun to
heat up as countries around the world grapple with
cryptocurrencies and try to determine how they are
going to treat them.
Presented as follows:
1. United States (Friendly): The U.S. has been
taking an approach to foster innovation and
growth of blockchain and cryptocurrency while
protecting investors from high risks and fraud. On
February 6, 2018, the Securities Exchange
Commission (SEC) and Commodity Futures
Trading Commission (CFTC), took the position
that “we owe it to this new generation to respect
their enthusiasm for virtual
2. Canada (Friendly): The Consumer Agency of
Canada (FCA) publishes online information
regarding digital and cryptocurrencies. The FCA
explains aspects of decentralization, peer-to-peer
transactions, digital wallets, wallet security, and
the risks of using digital currency. They further
maintain that digital currencies are not legal
tender, and that profits made from digital
currencies are subject to Canada’s Income Tax
Act. Goods and services exchanges for
cryptocurrency must be reported as income for
tax purposes, and transactions between
cryptocurrencies are considered commodity
transactions, and must be reported.
3. China (Hostile): China is notorious for some of
the world’s largest bitcoin mines. In 2017, China
banned cryptocurrency trading on Chinese
exchanges and made ICO fundraising illegal,
curving market demand, and causing a large
overall downtrend in the cryptocurrency markets.
Some are welcoming, others are cautious. And
some countries are downright antagonistic. Here
is a brief overview of how 10 countries/unions
International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470
@ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 212
from various regions are treating cryptocurrency
regulations
4. South Korea (Neutral): The cryptocurrency
market’s all-time highs in January 2018 were
quickly silenced, in part from fears that South
Korea may ban cryptocurrency trading in a
manner similar to China.
5. Japan (Friendly): Currently, Japanese Yen
accounts for over 36% of Bitcoin’s trading
volume, more than every other currency. USD is
second at just over 31%. Japan’s high demand for
cryptocurrency is supported by a well-regulated
legal system that supports the industry.
6. Singapore (Friendly): Singapore is often
considered one of the more hospitable
government’s toward cryptocurrencies. In
October 2017, the Monetary Authority of
Singapore (MAS) published a clarifying
document on cryptocurrency regulation.
7. Thailand (Neutral): Thailand expects to clarify its
stance on how to regulate digital currencies
within the coming months. The government aims
to protect against fraudulent activities and
deceitful investments, while maintaining the
benefits of using blockchain technology.
8. Vietnam (Neutral/Hostile): Vietnam’s Ministryof
Justice and State Bank of Vietnam (SBV) are
quickly preparing a report to present to the
Council of Ministers.
9. Russia (Friendly): In January 2018, the Russian
Finance Ministry drafted a bill that would legalize
“digital financial assets” stored on blockchain
networks as electronic securities. The bill would
define the scope of regulations on cryptocurrency,
and would not prohibit trading.
Conclusion and Suggestions
Cryptocurrency offers a new, effective and attractive
model of payment methods that can boost companies
and operators revenues. It also provides alternative
method of payment, apart from real money, that
enables users to make financial activities such as
buying, selling, transferring and exchanging easily.
Although cryptocurrency platforms open many
channels for digital financial transactions and provide
a new form of currency with different mechanisms
and methods, they are not controlled and regulated as
they deserved. The research analyzed cryptocurrency
platforms and extracted many concerns and
challenges that put such financial system under the
risk. The lack of legislations is considered as the main
concern in cryptocurrency systems. Almost a clear
picture of the size of cryptocurrency use has been
drawn from my analysis of the current cryptocurrency
Although the pilot study has been conducted with
relatively small sample, but the results showed me a
preliminary perception about the use, the growth, the
trust of using and future expectations of
cryptocurrency. I can now realize many indications
that can provide initial answers to the research
questions. My analysis indicates that cryptocurrency
is very likely to be the next currency platform due to
the large volume of cryptocurrency that is flowing in
different systems, the huge expanding and growing of
using and implementing cryptocurrencies and the
opportunities that cryptocurrency systems offer.
Moreover, the confidence and trust rate of using
cryptocurrency is noticeably high as it can be seen in
several cases that have been stated in this paper
besides the survey results. However, users have not
realized the full picture of using cryptocurrency. The
correlation between the real financial laws and the
legislative status of implementing cryptocurrency
platform needs to be studied further from various
different prospective. Moreover, the adoption and
acceptance level also needs more consideration and
more analysis with large samples. Trust and
confidence are important factors that need to be
investigated further in terms of using and trading the
Cryptocurrency forms. The further research scope can
be extended to developing use-cases for applications
of cryptocurrency across different sectors in India.
References
[1] Antony Lewis (2018), ‘The Basics of Bitcoins
and Blockchains, Mango Media Incorporated
[2] Anurag Vaishnav (July 2019), Virtual
Currencies in India, PRS Legistative Research
Institute for Police Research Studies, New
Delhi. https://prsindia.org
[3] Chris Burniske, Jack Tatar (2017),
Cryptoassets: The Innovative Investor's Guide
to Bitcoin and Beyond, McGraw- Hill.
[4] DeVries P. D. (2016), An Analysis of
Cryptocurrency, Bitcoin and the future,
International journal of business managrment
and Commerce.
[5] Harwick C. (2010), Cryptocurrency and the
problem of intermediation, The Independent
Review, Oakland Vol 20(4)
[6] Paul Vigna, Michael J. Casey (2015), ‘The Age
of Cryptocurrency: How Bitcoin and Digital
Money Are Challenging the Global Economic
Order, St. Martin’s Publishing Group.
[7] Mitchell Rice (2019), “Cryptocurrency,
History, Advantages, Disadvantages, and the
Future”, Senior Honors Theses 933.

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Cryptocurrency Advantages and Disadvantages

  • 1. International Journal of Trend in Scientific Research and Development (IJTSRD) Volume 7 Issue 1, January-February 2023 Available Online: www.ijtsrd.com e-ISSN: 2456 – 6470 @ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 207 Cryptocurrency: Advantages and Disadvantages Dr. Chandrakant N. Kokate Professor, Department of Economics, Dr. Babasaheb Ambedkar Marathwada University, Aurangabad (MS), Maharashtra, India ABSTRACT The cryptocurrencies were designed to be medium of exchange. The blockchain technology on which cryptocurrencies are based on offers many possibilities for computer science and all future businesses. For the past decade experts as well as laypeople have been experiencing cryptocurrencies in extremes. They either have a very positive attitude or a very negative attitude towards them. Experts who have very positive attitudes towards them believe that cryptocurrencies create new ways of conducting business and new ways of trust relationships are managed. Experts who have very negative attitudes towards them often emphasize the fact that they are often linked to negative connotations such as being a tool for criminal activities or skipping social responsibilities such as tax avoidance and corruption. They also emphasize the fact that it is a new, unexplored technology and an unstable market. The blockchain technology on which cryptocurrencies are based on offers man possibilities for computer science and all future businesses. For the past decade experts as well as laypeople have been experiencing cryptocurrencies in extremes. There are more than 1,600 cryptocurrencies in circulation today, with a combined market cap of over $289 billion, according to Coin Market Cap data. Investors around the world are eager to trade in this rapidly-growing space, and a slew of cryptocurrency platforms have emerged to meet the need for infrastructure to support the exchange of digital currencies. Though they call themselves "exchanges," from an investor's standpoint they function similarly to e-brokerages and their rapid rise is reminiscent of the explosion of electronic discount brokerage firms during the dotcom bubble of the late 1990s. How to cite this paper: Dr. Chandrakant N. Kokate "Cryptocurrency: Advantages and Disadvantages" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-7 | Issue-1, February 2023, pp.207-212, URL: www.ijtsrd.com/papers/ijtsrd52656.pdf Copyright © 2023 by author (s) and International Journal of Trend in Scientific Research and Development Journal. This is an Open Access article distributed under the terms of the Creative Commons Attribution License (CC BY 4.0) (http://creativecommons.org/licenses/by/4.0) KEYWORDS: Cryptocurrency, Bitcoin, Digital Currency, Blockchain, Virtual Currency INTRODUCTION Representation of the European Commission in Croatia defines cryptocurrencies as digital money, created in digital form as a means of digital exchange. Cryptocurrencies exist only on the Internet and have not been published by, or monitored by, a central bank or government. Precisely because cryptocurrencies are not controlled by the central bank, they are not formally money. They are stored in a "digital wallet" on one of the websites that provide this service. Every transaction made is recorded. The general or public "ledger" in which all transactions and value changes of cryptocurrency units are recorded is called "blockchain". A blockchain is a database that is shared across a network of computers. Once a record has been added to the chain it is very difficult to change. For the past decade experts as well as laypeople have been experiencing cryptocurrencies in extremes. They either have a very positive attitude or a very negative attitude towards them. Many kinds of research have been done, most of them showing that young people under the age of 35, mainly known as “millennials” are more prone to working with cryptocurrencies There is no doubt that the era of information and communication technologies has created many golden opportunities in several aspects. One of the fields that benefit from these technologies and online connections is the financial and business sector. A growing number of online users has activated virtual world concepts and created new business phenomena. Thus, new types of trading, transactions and currencies have been arising. One of the remarkable financial forms that have been emerged in the past few years is Cryptocurrency. Cryptocurrency (CC) can be defined as any medium of exchange, apart from real world money, that can be usedFor the past decade in many financial IJTSRD52656
  • 2. International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470 @ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 208 transactions whether they are virtual or real transactions. Cryptocurrencies represent valuable and intangible objects which can be used electronically or virtually in different applications and networks such as online social networks, online social games, virtual worlds and peer to peer networks.in many financial transactions whether they are virtual or real transactions. Cryptocurrencies represent valuable and intangible objects which can be used electronically or virtually in different applications and networks such as online social networks, online social games, virtual worlds and peer to peer networks. As early as 2012, small scale Bitcoin transactions were already taking place within the country. These were still early days in the development of Bitcoin when only crypto hobbyists were interested in Bitcoin. By 2013, Bitcoin was beginning to gain a level of popularity that was spreading across many countries. That year, a few businesses began to accept Bitcoin payment. A vintage era pizza shop called Kolonial in the Worli area of Mumbai became the first restaurant service in India to accept Bitcoin payments. There are more than 1,600 cryptocurrencies in circulation today, with a combined market cap of over $289 billion, according to Coin Market Cap data. Investors around the world are eager to trade in this rapidly-growing space, and a slew of cryptocurrency platforms have emerged to meet the need for infrastructure to support the exchange of digital currencies. Though they call themselves "exchanges," from an investor's standpoint they function similarly to e-brokerages and their rapid rise is reminiscent of the explosion of electronic discount brokerage firms during the dotcom bubble of the late 1990s. Review of literature: A high-level Inter-Ministerial Committee was constituted in November 2017 to study the issues related to virtual currencies and propose actions to be taken. The Committee submitted its report on February 28, 2019 and the report was released in public domain on July 22, 2019. The mandate of the Committee included examining the policy and legal framework for regulation of virtual currencies. Recommendations of the Committee include: Virtual currencies: Virtual currency is a digitally tradable form of value, which can be used as a medium of exchange or acts as a store of value or a unit of account. It does not have the status of a legal tender. A legal tender is guaranteed by the central government and all parties are legallybound to accept it as a mode of payment. Cryptocurrency is a specific type of virtual currency, which is decentralised and protected by cryptographic encryption techniques. Decentralisation implies that there is no central authority where records of transactions are maintained. Instead, transaction data is recorded and shared across multiple distributor networks, through independent computers. This technology is known as Distributed Ledger Technology. Issues related to virtual currencies: The Committee observed that cryptocurrencies cannot replace traditional currencies due to several issues associated with them. These include: (i) cryptocurrencies are subjected to market fluctuations. For instance, the value of Bitcoin cryptocurrency reduced from around USD 20,000 (December’17) to USD 3,800 (November’18) in less than a year; (ii) cryptocurrencies are decentralised, which makes them difficult to regulate; (iii) cryptocurrency design have several vulnerabilities which leave consumers open to risk of phishing cyber-attacks and ponzi schemes. Further, transactions are irreversible, meaning there is no way to redress wrong transactions; (iv) cryptocurrencies require large amount of storage and processing power, which can have unfavourable consequences on country’s energy resources; and (v) cryptocurrencies provide greater anonymity . There is an increasing trend of foreign cryptocurrency exchanges investing in Indian cryptocurrency exchanges. It is because India has a population of 139 crore that is predominantly young which is seen as tech-savvy and more adaptable to crypto saving,” said Harish BV, co-Founder, Unocoin, which has a user base of 13 lakh in India. The median age of Indians is between 28 and 29 years. In March 2020, when India’s apex court set aside RBI’s circular and allowed financial institutions to engage in digital coin transactions, investors returned to the market with a vengeance. Within weeks of the RBI ban lifting, trading volumes and new sign-ups on crypto exchanges went up multifold. Since then, the volumes and user base of these exchanges have expanded each month. Mitchell Rice (2019) has also stated that no specific building or agency regulates cryptocurrency; thus, cryptocurrency is based on people's trust that it would also be helpful tomorrow. This digital currency is not backed by any asset or guaranteed against a liability. In 2016, DeVeries had stated that cryptocurrency sustains from the trust and acceptance of its owners and users of the instrument. He also said it is susceptible to easy attacks due to easy access. He wrote that, ‘These 'tests' were launched by exchanges and miners to prove a point about Bitcoin's design: that the network cannot handle a high load transaction rate.
  • 3. International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470 @ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 209 Another paper by Cameron Harwick reiterated the same idea in 'Cryptocurrency and the Problem of Intermediation, 2016' as: "The fundamental problem here is trust. The necessity' of a method transition, however, deserves a few more words. Because a cryptocurrency protocol defines both the coinage and exchange of the base money, issuing liabilities on a fractional-reserve basis requires more than simply adding parameters to coins. A bank that wants to vary its issue with demand needs to create its coinage and exchange mechanism, a new protocol that would not be compatible with the original even if its processing took place on the identical blockchain. Nor would one issuer's liabilities be compatible with another's." The essence of this problem arises from the status of an illegal tender and non-regulation. Advantages: Introduction benefits of using virtual currencies into two categories. Those are economic and individual benefits. The economic benefits under the EBA relate to more facts. First, they relate to transaction costs. In principle transaction, costs should not exist because there are no intermediaries in the transaction. However, there are transaction costs, but they are much less compared to other forms of payment. The reason is the costs incurred in regulation, internal control, and similar. Secondly, approximately every ten minutes new blockchain entries are added. The geographic distance of the participants in the transaction does not matter. Regardless of their distance, the same timeline is required to complete the transaction. This characteristic is considered an exceptional advantage in opposition to other payment methods. The basic individual benefit of cryptocurrencies is online transactions. The use of cryptocurrencies is beneficial to both buyer and seller. Because they are autonomous they have no issuer and no institution to control their circulation, which means the seller is granted full anonymity, which buyers mainly benefit from. A return possibility in a virtual currency transaction is not deductible. When making a payment for a selected product or we cannot get the virtual currency unit back on request. This is where the EBA highlighted the advantage by sellers because, with traditional forms of payment in the case of fraudulent defect reports, funds often would have to be refunded. Except for spending money, cryptocurrencies have been suggested to be a new and popular form of alternative investment. They hold several important advantages over traditional forms of currency such as independence, security, and price liquidity which can result in something like we experienced with Bitcoin, resulting in a massive surge of interest in cryptocurrency. Anyone who owned Bitcoin at the end of 2017 became very rich overnight. Bitcoin exploded in price, and needless to say, everyone who wasn’t a part of that wanted to invest some money in case it happened again. And it did happen again in 2019 many cryptocurrency users find it very important that it preserves their privacy. In order to be able to open an account and execute transactions through a bank, you are obliged to provide extensive personal information, but with cryptocurrency, you do not have to provide personal data and the transactions take place anonymously. Although the degree of privacy varies from cryptocurrency to cryptocurrency, most of them guarantee complete anonymity. And you can create as many account numbers or addresses as you want. Disadvantages of Cryptocurrency: Stated before, the advantage of cryptocurrencies is its anonymity but the downside of anonymity is its lack of confidence. 1. The lack of a competent institution to control and guarantee creates a high risk of the counterparty. 2. In electronic money, the issue of risk and trust is questionable, while in fiat money it is highly correlated with the national economy and politics. While some experts applaud the anonymity feature of cryptocurrencies, many see them as a downside. The reason for that is their susceptibility to criminal purposes resulting from the anonymity of their use. 3. The black market and the dark web are big users of cryptocurrencies. Criminals value their anonymity, as much as they value the ability to send vast sums of money around the world simply using their phone. This made cryptocurrencies relatable to the risk of money laundering, terrorist organizations, and other illegal activity, financing many negative connotations. From a strictly economic view, many experts show a negative attitude towards cryptocurrencies because of their strong volatility and difficult to predict. Since the beginning, cryptocurrencies had a highly volatile nature. This is one of the main reasons mass adoption is taking longer than it should. Many corporations don’t want to deal with a form of money that is going through huge swings in volatility. Experts are also pointing out other potential problems. 4. Regulatory and legal issues are two of the big obstacles facing the crypto sector. Because the
  • 4. International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470 @ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 210 technology is new, governments and banks have not yet formed a coherent fiscal policy for them. Therefore, there is a risk that their taxation status, trading rules, or even legality, could change and become more complicated. Also, a concern, although it’s never been conclusively proved, it’s widely assumed that insider trading, collusion, and market manipulation is present across the crypto sector. And last, but not least, one big cryptocurrency issue is lack of awareness and understanding. It is a known fact that many people are still unaware of digital currencies. To be able to use and invest in cryptocurrencies people need to be educated to be able to apply it to their lives. Businesses are accepting bitcoins because of the advantages, but the list is relatively small compared to physical currencies. One of the reasons is that the workers need to be educated on Bitcoin so that they can help the customers. This will definitelytake some time and effort. Its rise in India: India with a population that is over 1 billion strong has been on something of an economic renaissance in the last few years. Such has been the extent of the country’s growth that the IMF has called it the fastest-growing emerging economy. More than 40 percent of the country’s population has access to telecoms and internet services. A country steeped in mystery, history, and culture, it is also not one to fall behind when it comes to technological advancement. Bitcoin and other cryptocurrencies have been operating within the country for a number of years now. This article looks at the state of the Indian cryptocurrency market. As early as 2012, small scale Bitcoin transactions were already taking place within the country. These were still early days in the development of Bitcoin when only crypto hobbyists were interested in Bitcoin. By 2013, Bitcoin was beginning to gain a level of popularity that was spreading across many countries. That year, a few businesses began to accept Bitcoin payment. In a short space of time, cryptocurrency exchanges began to spring up within the country. Pioneers like BtcxIndia, Unocoin, and Coinsecure began offering cryptocurrency exchange and trading services in India. Over time, others like Zebpay, Koinex, and Bitcoin-India were added to the list. With the proliferation of crypto trading and exchange platforms, the crypto market in India has grown from its modest level in 2013 to what it is today. Apart from these online exchanges, there are also a number of over-the-counter (OTC) crypto shops in the country. Add to this, numerous Bitcoin ATMs in major Indian cities and you have the makings of a crypto economic hub. On November 8, 2016, Prime Minister Narendra Modi announced the commencement of a demonetization Policy. The move by the government to demonetize approximately 86 percent of the country’s paper currency sent shockwaves all across the subcontinent of India. People with large cash holdings required a new means of holding such wealth without incurring significant tax burdens and sundry government scrutiny. This meant that they were effectively circumventing what would have been considerable taxes if they had tried to circulate their wealth through the banking system. The demonetization policy also led to widespread criticism of the mainstream financial scene in the country. In the space of 24 hours, 86 percent of the country’s paper currency in circulation had been rendered valueless by virtue of a single government proclamation. Realizing that fiat money isn’t exactly “real” money since it isn’t backed up by anything, Indians began to seek alternative currency models. Many Indians, especially those in the 40 percent bracket with access to the Internet began to take up Bitcoin and other cryptocurrency investments. The 2016 demonetization policy may have spurred the adoption of cryptocurrencies among a considerable portion of the population but realities soon began to emerge that have stifled the growth of the market in the country. Despite its vast population, India only contributes 2 percent of the total global cryptocurrency market capitalization. The small role being played by such a large economy can be attributed to the high cryptocurrency prices & the RBI-led government crackdown. The general level of prices of cryptocurrencies in India is on the high side. Market rates are relatively higher by as much as 5 to 10 percent compared to the global average. This means that Indians can only get involved in peripheral participation in crypto trading as far as international crypto exchange platforms are concerned. Lack of large-scale mining facilities & strict government restrictions on international money flow also make it significantly difficult for Indians to transact with many of the large foreign crypto exchange platforms. The Reserve Bank of India (RBI) has been consistent in warning citizens of the risk associated with cryptocurrencies. World's largest cryptocurrency by market cap: At the time of October 8th, 2019 there were approximately 2,957 cryptocurrencies being traded with a total market capitalization of $221bn. This means that the top 10 cryptocurrencies represent roughly 85% of the total market value. Even though
  • 5. International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470 @ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 211 the list of top 10 cryptocurrencies changes very often, the first three on the list is a constant. Those are Bitcoin, Ethereum, and Ripple. 1. Bitcoin: Bitcoin is the world's largest cryptocurrency by market cap. Launched in 2009, it is created by an anonymous developer Satoshi Nakamoto, whose true identity is never verified. Bitcoin offers the promise of lower transaction fees than traditional online payment mechanisms and is operated by a decentralized authority, unlike government-issued currencies. 2. Ethereum: A blockchain-based open public network platform that enables developers to build and deploy decentralized applications for use by businesses, as well as individual users. It acts as a platform on which a whole virtual ecosystem can be developed, stored, executed, and used by users securely and anonymously. 3. XRP: XRP is a currency that is part of the Ripple technology. Ripple is a technology mostly known for its digital payment network and protocol. Ripple's main specialty is payment settlement asset exchange that is similar to the SWIFT system for international money. Over the last year, fourth and fifth place of the list has been exchanged by Bitcoin Cash and Bitcoin SV. Both of those coins are a result of a hard fork of Bitcoin. A hard fork is a radical change to the protocol of a blockchain network that makes previously invalid blocks/transactions valid or vice- versa This means both of those coins started as Bitcoin, but a group of miners decided they wanted to set new rules to the code, changing its initial idea and creating their own version of Bitcoin. Some coins that are or have been in the top 10 cryptocurrencies by market cap are Tether, Litecoin, EOS, Stellar, and Monero. Tether is a blockchain-based cryptocurrency stable coin whose crypto coins in circulation are backed by an equivalent amount of traditional fiat currencies, like the dollar, euro, or yen. It is always worth 1 American dollar. Litecoin is a peer-to-peer cryptocurrency. It's a fully decentralized open-source, working as a global payment network developed with the aim to improve Bitcoin's shortcomings EOS is a decentralized system based on the blockchain that enables the development, hosting, and execution of decentralized applications on its platform, similar to Ethereum. Stellar is an open source payment technology; very similar to Ripple Monero is a digital currency that offers a high level of anonymity for users and their transactions. It has several privacy-enhancing features that improve upon Bitcoin One crypto token that hasn’t made the top 10 list yet. Cryptocurrency and Laws Besides concerns and challenges that are facing current virtual currency systems, I analysed the legislative issues that are likely to influence cryptocurrency use. Moreover, several lawsuits and real world laws that are likely to be triggered with virtual currency industry are involved in our analysis. A status of governments on cryptocurrency around the world exchanging virtual currency with real currency is a hot topic in e-business and e-commerce industries. Trading cryptocurrency for cash is banned and prohibited in some countries where in other countries, it is either allowed or not regulated yet. If 2017 was the year of the Initial Coin Offerings (ICO), it seems as if 2018 is destined to become the year of regulatory reckoning. Things have already begun to heat up as countries around the world grapple with cryptocurrencies and try to determine how they are going to treat them. Presented as follows: 1. United States (Friendly): The U.S. has been taking an approach to foster innovation and growth of blockchain and cryptocurrency while protecting investors from high risks and fraud. On February 6, 2018, the Securities Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC), took the position that “we owe it to this new generation to respect their enthusiasm for virtual 2. Canada (Friendly): The Consumer Agency of Canada (FCA) publishes online information regarding digital and cryptocurrencies. The FCA explains aspects of decentralization, peer-to-peer transactions, digital wallets, wallet security, and the risks of using digital currency. They further maintain that digital currencies are not legal tender, and that profits made from digital currencies are subject to Canada’s Income Tax Act. Goods and services exchanges for cryptocurrency must be reported as income for tax purposes, and transactions between cryptocurrencies are considered commodity transactions, and must be reported. 3. China (Hostile): China is notorious for some of the world’s largest bitcoin mines. In 2017, China banned cryptocurrency trading on Chinese exchanges and made ICO fundraising illegal, curving market demand, and causing a large overall downtrend in the cryptocurrency markets. Some are welcoming, others are cautious. And some countries are downright antagonistic. Here is a brief overview of how 10 countries/unions
  • 6. International Journal of Trend in Scientific Research and Development @ www.ijtsrd.com eISSN: 2456-6470 @ IJTSRD | Unique Paper ID – IJTSRD52656 | Volume – 7 | Issue – 1 | January-February 2023 Page 212 from various regions are treating cryptocurrency regulations 4. South Korea (Neutral): The cryptocurrency market’s all-time highs in January 2018 were quickly silenced, in part from fears that South Korea may ban cryptocurrency trading in a manner similar to China. 5. Japan (Friendly): Currently, Japanese Yen accounts for over 36% of Bitcoin’s trading volume, more than every other currency. USD is second at just over 31%. Japan’s high demand for cryptocurrency is supported by a well-regulated legal system that supports the industry. 6. Singapore (Friendly): Singapore is often considered one of the more hospitable government’s toward cryptocurrencies. In October 2017, the Monetary Authority of Singapore (MAS) published a clarifying document on cryptocurrency regulation. 7. Thailand (Neutral): Thailand expects to clarify its stance on how to regulate digital currencies within the coming months. The government aims to protect against fraudulent activities and deceitful investments, while maintaining the benefits of using blockchain technology. 8. Vietnam (Neutral/Hostile): Vietnam’s Ministryof Justice and State Bank of Vietnam (SBV) are quickly preparing a report to present to the Council of Ministers. 9. Russia (Friendly): In January 2018, the Russian Finance Ministry drafted a bill that would legalize “digital financial assets” stored on blockchain networks as electronic securities. The bill would define the scope of regulations on cryptocurrency, and would not prohibit trading. Conclusion and Suggestions Cryptocurrency offers a new, effective and attractive model of payment methods that can boost companies and operators revenues. It also provides alternative method of payment, apart from real money, that enables users to make financial activities such as buying, selling, transferring and exchanging easily. Although cryptocurrency platforms open many channels for digital financial transactions and provide a new form of currency with different mechanisms and methods, they are not controlled and regulated as they deserved. The research analyzed cryptocurrency platforms and extracted many concerns and challenges that put such financial system under the risk. The lack of legislations is considered as the main concern in cryptocurrency systems. Almost a clear picture of the size of cryptocurrency use has been drawn from my analysis of the current cryptocurrency Although the pilot study has been conducted with relatively small sample, but the results showed me a preliminary perception about the use, the growth, the trust of using and future expectations of cryptocurrency. I can now realize many indications that can provide initial answers to the research questions. My analysis indicates that cryptocurrency is very likely to be the next currency platform due to the large volume of cryptocurrency that is flowing in different systems, the huge expanding and growing of using and implementing cryptocurrencies and the opportunities that cryptocurrency systems offer. Moreover, the confidence and trust rate of using cryptocurrency is noticeably high as it can be seen in several cases that have been stated in this paper besides the survey results. However, users have not realized the full picture of using cryptocurrency. The correlation between the real financial laws and the legislative status of implementing cryptocurrency platform needs to be studied further from various different prospective. Moreover, the adoption and acceptance level also needs more consideration and more analysis with large samples. Trust and confidence are important factors that need to be investigated further in terms of using and trading the Cryptocurrency forms. The further research scope can be extended to developing use-cases for applications of cryptocurrency across different sectors in India. References [1] Antony Lewis (2018), ‘The Basics of Bitcoins and Blockchains, Mango Media Incorporated [2] Anurag Vaishnav (July 2019), Virtual Currencies in India, PRS Legistative Research Institute for Police Research Studies, New Delhi. https://prsindia.org [3] Chris Burniske, Jack Tatar (2017), Cryptoassets: The Innovative Investor's Guide to Bitcoin and Beyond, McGraw- Hill. [4] DeVries P. D. (2016), An Analysis of Cryptocurrency, Bitcoin and the future, International journal of business managrment and Commerce. [5] Harwick C. (2010), Cryptocurrency and the problem of intermediation, The Independent Review, Oakland Vol 20(4) [6] Paul Vigna, Michael J. Casey (2015), ‘The Age of Cryptocurrency: How Bitcoin and Digital Money Are Challenging the Global Economic Order, St. Martin’s Publishing Group. [7] Mitchell Rice (2019), “Cryptocurrency, History, Advantages, Disadvantages, and the Future”, Senior Honors Theses 933.