Bitcoins and Blockchain: Can Cryptocurrencies perform like Traditional Money?

Julian Dressler

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Academic Paper from the year 2021 in the subject Economics - Macro-economics, general, grade: 1,0, Berlin School of Economics and...

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Academic Paper from the year 2021 in the subject Economics - Macro-economics, general, grade: 1,0, Berlin School of Economics and Law, language: English, abstract: It seems as if the borders between cryptocurrencies and fiat money become blurrier. Since the use of cryptocurrencies for payments is increasing while at the same time some countries are trying to restrict its use and develop own digital money, it's unclear if Bitcoin could be considered a new form of money. In this paper, the author will explain the differences between both and try to find an answer to the question if cryptocurrencies can perform like traditional money.