Introduction The world of business involves exchanges, which means there is a generally acceptable medium that allows buyers and sellers to come to an agreement. Money happens to be a keyword in the world of business due to its value, worth, and how it's generally accepted. Over the years, money has evolved and undergone several transformations just to meet the portability and durability purposes of every user. Coins and banknotes are the common forms of money in our world today, though other things give a similar presentation.
After searching the internet, I just couldn't find a proper word that describes what money truly defines. Of course, it's a generally acceptable means of payment, but why is money a general means of payment? I asked myself this. The reason why money acts as a generally acceptable means of payment is because money appears to be a
general language that is understandable by those living in a certain region.
Ideally, we all expect the majority of those who are born in the US to understand the English language and also be able to communicate with it. The same thing goes for those in Spain; they should be able to understand Spanish and communicate with it. This puts money in a similar situation; it is generally accepted because everyone understands its value and should be able to communicate with it through exchange and transactions.
With money acting as a generally acceptable language for transactions, it has its own limitations. Those in the US make general use of the US dollar because the majority of the people understand it a lot. This has caused limitations to the usage of other forms of money like the Euros, Pounds, Ruble, etc. Citizens of America would find some of those currencies strange because they are not their common form of language for transactions.
Cryptocurrency Just as the world keeps evolving technologically, we are beginning to see its great impact in the finance sector. Cryptocurrency, which is digital money, happens to be a new form of money that uses encryption technology. With the usage of Blockchain technology, cryptocurrencies are represented in virtual forms rather than physical fiats such as coins and banknotes. Cryptocurrencies already offer more than portability and durability, making them safer to secure.
An interesting fact about cryptocurrency is that it breaks the language barrier of normal fiat currencies, making it act as a general language acceptable in every part of the world. Cryptocurrencies such as BTC, ETH, Sol, etc., are all presented in the same form in every country but are measured relatively with the traditional fiats of every individual country.
Because cryptocurrency breaks the language barrier of normal fiats, it makes it a better form of money than every other traditional fiat. Interestingly, cryptocurrency can be sent from any part of the world just like teleportation, as long as both users have the necessary software that can run crypto protocols, which is a crypto wallet.
We've been able to identify why cryptocurrencies can be used as a medium of exchange, but we need to consider a major key in achieving such a theory. A major key necessary in achieving such a theory is
Mass Adoption. There are certain conditions necessary for mass adoption, but would be introduced in the topic number 76:
"What challenges do cryptocurrencies face in achieving mainstream adoption?".
So back to the question: Can Cryptocurrencies Be Used As A Medium Of Exchange In Our Daily Transactions?. The answer is
YES.
Please note, I suggest that the conditions necessary for mass adoption be introduced in topic number 76, as they fit better within that topic.Thanks for reading, and do well to share your opinion.