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

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

Why are cryptos becoming popular + benefits 

• People are able to buy and sell anything from across the world without needing to worry about exchange rates 

• They are saved from inflation/deflation of exchange 

• Money is safe in one’s own digital account, none know how much one has  

• There is no tax on this currency 

Negative evolution 

• It is not legal, and if it is declared unlawful, th users will lose a lot of money 

• Since it is not regulated, those owning this money are at a risk of losing everything if the body monitoring and hosting it chooses to close down 

• It is volatile in nature and its face value is not guaranteed.

Introduction

Nowadays, digital currencies are gaining prominence across the world. This can be attributed to numerous reasons, but one must not forget that this phenomenon, although, has umpteen pros, there are certain serious drawbacks.

To begin with, the primary motivation behind crypto currencies gaining popularity is the assumption of this form of money enjoying acceptability across the world. By virtue of being operated online, this form of money  does not need any bank authorized transfer channel or clearance from governments , but can be transferred to any part of the world at the simple click of the button, saving immense time and amount of money. Many opine that this convenience has persuaded several trading businesses and individuals to resort to utilizing this financial instrument.  

Having said that, even though the supporters of this kind of financial resources cite several advantages, it is hard to overlook the failings associated with it. The most prominent of the pitfalls is that online money does not enjoy a legal status anywhere in the world and it is feared that the day regimes  decide to proscribe (ban) this resource, the owners of such money will be in deep trouble and lose all their financial holdings and suffer immense financial losses. 

Similarly, it is undeniable that this monetary resource is highly vulnerable to fluctuations, and experiences frequent ups and downs in the value in a similar way to the stocks . This implies that the face value mentioned on this money might not fetch a similar price. There have been several reports of many losing millions due to this volatility 

Overall, the convenience offered may have made virtual money popular, but nonetheless it is laden (loaded) with innumerable shortcomings and can cause people colossal financial losses. Thus  it is an unfavorable evolution. 

 

• Is this a positive or negative development?

• Why is this? 

1st para has to be Intro 

Ist way of writing this essay 

• Mention one para of reasons 

• One for positives 

• One for negatives 

2nd way of writing this essay 

Ist way of writing this essay 

• Mention one para of reasons and positives 

• One for negatives 

Last para has to be conclusion