Using metaphors for cryptocurrencies helps people feel more familiar with the technology. But there’s a downside – we expect it to work just like regular money.
The astronomic rise of the price of bitcoin over the past 12 months raises fears that the cryptocurrency is set to crash which could see many people lose money.
You may have imagined the blockchain would lead to a world without governments or institutions veryifying transactions, research shows that it probably won’t.
A digital Australian dollar could remove the role of middlemen and creates a cheaper electronic currency system, while at the same time enabling the government to fully regulate the system.
The development of distributed trust technologies is making traditional institutions like banks, corporations and governments nervous. Those who have power like to hold onto it. What’s next?
As cryptocurrency systems improve, they will better protect criminals’ identities and even allow people to offer anonymous rewards for crimes they want committed.
Despite its name, cryptocurrency isn’t just money. It could also be debt or equity and so it should be regulated and taxed in the same way as other finance.
Associate Director, Initiative For Cryptocurrencies and Contracts (IC3); Assistant Prof. of Electrical Engineering, Technion - Israel Institute of Technology
Professor of Computer Science, Jacobs Technion-Cornell Institute, Cornell Tech, and Co-Director, Initiative for CryptoCurrencies and Contracts (IC3), Cornell University