THE DEVELOPMENT OF CRYPTOCURRENCIES AND THEIR IMPACT ON THE ECONOMY

Abstract

This article comprehensively analyzes the formation, stages of development and the impact of cryptocurrencies on the modern economy. In particular, the transformation processes that have occurred in the financial system with the emergence of digital assets such as Bitcoin and Ethereum are studied. The study highlights the role of blockchain technology in transparency, security and reducing transaction costs. It also assesses the role of cryptocurrencies as an investment tool, their impact on monetary policy, and their impact on stability and risk factors in global financial markets. The article also examines the mechanisms for regulating cryptocurrencies based on the experience of different countries, and substantiates their positive and negative effects on economic development. The results of the study serve to draw scientific conclusions on the effective use of cryptocurrencies in the digital economy.