Between promise and peril: Bitcoin as a financial alternative in Yemen

Abstract

In the last decade, cryptocurrency has emerged as a major financial and technological phenomenon. This research explores the use of Bitcoin in Yemen. Yemen is a country currently facing a severe humanitarian and economic crisis. The study aims to analyze the opportunities offered by Bitcoin. These opportunities could help overcome traditional financial constraints. The research also examines the challenges that hinder its spread and use. An analytical descriptive methodology was used. The study looked at economic, legal, and social aspects. The results showed that Bitcoin provides real opportunities. It can facilitate financial transfers and offer alternatives to broken banking systems. However, it also faces significant challenges. These include the absence of a legal framework. Other challenges are weak infrastructure and the risks of security breaches and fraud. The research also addressed the legal stance towards these currencies, which remains unclear. The study concludes with recommendations. It provides suggestions for relevant authorities and users. The goal is to maximize benefits and reduce the risks of cryptocurrencies. It emphasizes the need for effective regulations. This will ensure safe and sustainable use.