Importance Today we witness another essential change in the concept of money. Digital communication technologies once again transform the usual process of money payments and settlements. Objectives The main focus is on the contradictory consequences of using the peer-to-peer (P2P) system as money. The paper designates ideological roots of cryptocurrency proclaimed by adepts at digital money that affect the functional nature of money. Methods The study draws on general theoretical methods for empirical investigation of essential nature of digital money, specific features of its creation and making payments. I analyze statistical data on digital money distribution in the modern world. Results The paper considers cryptographic procedures for digital money generation that are proposed for introduction instead of interbank payments; identifies possible pitfalls associated with digital money turnover, which is based on the principle of blockchain technology anonymity; formulates reasonable doubts about cryptocurrency consistency with the inherent property of money, i.e. its universal acceptance. Conclusions It is inexpedient to introduce any prohibitive rules for cryptocurrency turnover. There is a need to develop blockchain technology as soon as practicable, as it is a basis of digital money, which is rapidly evolving into a global trend in banking and financial markets development.
Keywords: digital technology, bitcoin, mining, P2P system, blockchain, hashing
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