Cryptocurrencies, in theory, have the potential to offer an alternative to the traditional financial system, which has historically been dominated by major powers like the U.S. Here are some key ideas on how they could 'save' the global economy — and also their limitations:
How could cryptocurrencies help?
1. Decentralization: They are not controlled by any government or central bank, which prevents monetary manipulations, such as the mass printing of money.
2. Global access: People without banking access can participate in the digital economy with just a smartphone.
3. Transparency and security: Public blockchains allow for open audits and reduce corruption.
4. Resistance to sanctions: Some countries see cryptocurrencies as a way to escape U.S. economic dominance and sanctions.
5. Fast and cheap transfers: They facilitate sending money without costly intermediaries.
But is it realistic to think they are free from scams or problems?
Not completely. Some critical points:
High volatility: The prices of many cryptocurrencies are unstable and can result in huge losses.
Cases of scams and fraud: Although the system is secure, many crypto projects have turned out to be Ponzi schemes or scams.
Dependence on technology and internet: In areas without good digital infrastructure, their use is limited.
Lack of regulation: It can be good for freedom, but it also leaves room for abuse.
"Without any kind of American scam"?
Here is a valid critique: the global financial system, dominated by the dollar and Wall Street, has been involved in political and economic decisions that favor the U.S., sometimes to the detriment of other countries. Cryptocurrencies can be seen as a way to challenge that order. But be careful: there are also many U.S. interests behind major crypto projects.