Online currencies have become more common in recent years. Is this a positive or negative development?

These days, digital

currencies

such

as Bitcoin and Ethereum are in widespread

use

.

While

this

trend can be seen in a negative light in some respects, I believe the growing

use

of online

currencies

is, for the most part, a change for the better. It can be argued that the growing popularity of online

currencies

is unfavourable. The main issue with them is their volatility. Since the value of an online currency is not determined by any bank or governing authority and

also

because it is highly sensitive to economic and political factors, it can make the global financial market unstable.

For instance

, the banning of Bitcoin in China was followed by a major drop in its price, which meant substantial losses for many multinational companies and hedge funds holding their earning in cryptocurrency

as well as

individual investors. In

this

regard,

this

form of currency can not only be a risky investment but

also

contribute to financial instability. Despite having some downsides, the ever-increasing

use

of online

currencies

is largely a positive trend. The primary advantage of

this

medium of exchange is security. Unlike with fiat money, transactions made with cryptocurrencies are more secure seeing as they can be tracked by everyone.

Such

transparency ensures that there is a limited risk of fraud. More important is the individual freedom that cryptocurrencies confer on individuals. The fact that digital

currencies

are decentralized means neither banks nor governments can withhold them in case of malicious lawsuits and political conflicts.

Therefore

, individuals have more autonomy and access to their personal holdings with online

currencies

than they do with traditional ones. In conclusion,

while

online

currencies

are not without their downsides, I tend to think their growing

use

is a positive trend as it curtails money fraud and allows people more authority over their money.