Can cryptocurrencies be the future of money? The role of democracy
Can cryptocurrencies be the future of money? The role of democracy
Author(s): Mehmet Baha KaranSubject(s): ICT Information and Communications Technologies
Published by: Wyższa Szkoła Bankowa we Wrocławiu
Keywords: cryptocurrencies; democracy monetary policy;
Summary/Abstract: Aim: The purpose of this article is to evaluate if cryptocurrencies that have robust technology and anonymous features can be the money of the future. In this study, the transition phases of paper money, which started to be used at the beginning of the 17th century, to bank money, then banknotes and fiat money are examined. It is pointed out that the fiat money system has developed within the conditions of humanity’s search for democracy and freedom. Fiat money can only be successful in democratic systems where institutions operate freely, and therefore it is an instrument of democracy. Authoritarian tendencies, which have started in the world since the 21st century due to nationalism, migration, and climate change, are an important factor in the widespread use of cryptocurrencies however. It has been concluded that the spread of cryptocurrencies is directly dependent on the democratic practices of countries and if authoritarianism rises, the use of cryptocurrencies will inevitably grow.
Journal: Central European Review of Economics and Management (CEREM)
- Issue Year: 6/2022
- Issue No: 1
- Page Range: 7-15
- Page Count: 9
- Language: English