On the Future of Bitcoin and Altcoins as Currencies, Tokens for Smart Contracts, and Instruments of Commitment (IOCs): Some Considerations Regarding Blockchain Applications
Keywords:
Blockchain, Bitcoin, Altcoin, Initial Coin Offerings, Possibility to replace Fiat-Money by Cryptocurrencies, Token for Smart Contracts, Future role of ICOs as an Alternative to IPOs for Equity Capital Acquisition
Abstract
In the article we discuss following hypotheses: Thesis 1: „Private Cryptocurrencies will not be seen as an alternative to Fiat-Money in the near future or any time soon.“ Thesis 2: „Initial Coin Offerigs (ICOs) can increasingly become an alternative to traditional Venture Capital Financing and Token might enable to build smart contracts on a decentralized infrastructure.“ In the article we explain Blockchain technology and its possible applications in a very wide range. Also are shown main cryptocurrencies in their functions as possible future currencies, as platform token, and utility token necessary for Smart Contracts, or equity token, especially for Initial Coin Offerings. A main part of the article is the discussion of possible risks in the these applications of cryptocurrencies or token, referring explicitly to technical risks, economical risks like the stability of the financial markets (volatility, deflation), but also the severe problem of manipulated markets, supplemented by some considerations on legal issues.Downloads
Download data is not yet available.
Published
2018-11-05
How to Cite
Eibner, W., Rätsch, K., Schulz, A., & Rolapp, A. (2018). On the Future of Bitcoin and Altcoins as Currencies, Tokens for Smart Contracts, and Instruments of Commitment (IOCs): Some Considerations Regarding Blockchain Applications. Estonian Discussions on Economic Policy, 26(1-2). https://doi.org/10.15157/tpep.v26i1-2.14509
Section
Articles. Artikeln. Artiklid
The publication Estonian Discussions on Economic Policy uses the Creative Commons Attribution 4.0 License.
With the delivery of a paper, the author grants to the Board also the right to publish the paper in the journal. The journal has set no obstacles or prohibitions to the authors for the future, and according to the current practice, authors subsequently use their paper as they consider it appropriate.
Authors are personally responsible for the content, correct spelling and formatting of their publications.
