Cryptocurrencies � Hype or Here to Stay?

Abstract

Cryptocurrencies are an innovative alternative to the traditional banking system. Currently the primary application is the execution and verification of financial transactions. Arguably the most valuable property of cryptocurrencies is the underlying Blockchain technology, a decentralized ledger, which executes and verifies financial transactions without an expensive and slow intermediary. Bitcoin increased from $354 in 2016 to $67,500 in November 2021, so there is definitely a hype. Cryptocurrencies need a big network to fend off criminal 51% network attacks. Therefore, only a few cryptocurrencies will survive, but those will be a disruptive technology, challenging the existing banking system.