The rapid price movements of Bitcoin, Ether and Ripple have fueled headlines across the globe recently. With this price volatility, it’s fair to say that blockchain powered digital currencies may not be ready for prime time. But their disruption of the current financial system is inevitable. Cryptocurrencies are creating a money revolution.
Can cryptocurrencies wrest some control away from central banks and traditional financial players and disrupt the market as we know it?
The potential is certainly there. Here’s why:
Immediate asset availability – cryptocurrencies may be available immediately for consumers and businesses to spend, without any waiting period.
Immediate access to liquidity – cryptocurrencies may be highly liquid, with liquidity generated instantly on demand.
Transaction efficiency – cryptocurrency transactions are fast and immediate, with improved efficiency that avoids lengthy back-office reconciliation processes.
Transaction security – each transaction may be tracked and the possibility of double spending is eliminated.