Dear Students,

Read about Crypto currencies and answer the given question.

( PLEASE ANSWER ALL QUESTION )

Recently, cryptocurrencies and bitcoin have become the main topics in the financial industry. A cryptocurrency is a digital or virtual currency that uses cryptography for security. A cryptocurrency is difficult to counterfeit because of this security feature. A defining feature of a cryptocurrency, and arguably its most endearing allure, is its organic nature; it is not issued by any central authority, rendering it theoretically immune to government interference or manipulation. Cryptocurrencies have their benefits and drawbacks. It is not easy to predict the future of cryptocurrencies, since there is a lot to be done especially in the field of formal regulations. However, the banks and other financial institutions should see and consider cryptocurrencies as an alternative for the financial transactions in the future.

Questions

1. Explain early development, challenges and risks, opportunities, advantages and disadvantages, and the future of Crypto Currencies.

2. What is Bitcoin and how does cryptocurrencies (bitcoin) work? Do you think this is an alternative for Currency in circulation?

3. What are the biggest determinants of cryptocurrency prices?

4. How does the aggregate demand and supply of cryptocurrency affect the Economy?