Cryptocurrency – Its Prospects and Pitfalls

Abstract

Recently cryptocurrency considered as a major hazards for the fiat currency. High volatility and huge return in crypto currency such as bit coin creates treats for the money market. Virtual currency can’t be authorized by the government of any nation. It follow decentralization network. Cryptocurrency is uses cryptography for security. It difficult to counterfeit because of high security features. Digital currencies have their own benefits and challenge. The paper elaborates history of cryptocurrency, contrast with fiat currency, present scenario, prospects and pitfalls. It was concluded that its quit complicated to determined the present of cryptocurrency market because it affected by high volatility. But the ultimately say that cryptocurrency have good future to compete with fiat currency and also creates threats for the financial market with the drawback of encryption, decentralization, tax evasion and lack of regulation etc.