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ИД «Финансы и кредит»






Finance and Credit

Financial instrument of the new economy or a pyramid scheme: The issues of cryptocurrency security

Vol. 27, Iss. 6, JUNE 2021

Received: 12 April 2021

Received in revised form: 26 April 2021

Accepted: 17 May 2021

Available online: 29 June 2021

Subject Heading: Financial system

JEL Classification: G10, G14

Pages: 1395–1415


Lelya G. PASHTOVA Financial University under Government of Russian Federation, Moscow, Russian Federation


Vyacheslav A. OSEEV Financial University under Government of Russian Federation, Moscow, Russian Federation


Dmitrii A. KLEMENOV Financial University under Government of Russian Federation, Moscow, Russian Federation


Subject. This article discusses cryptocurrency as a new financial instrument in the global financial system.
Objectives. The article aims to consider the current situation of cryptocurrencies and justify the advantages and risks of their use.
Methods. For the study of cryptocurrency, Blockchain technology, and Bitcoin and the US dollar relationship, we used a comprehensive approach based on systems, functional and structural, and correlation analyses.
Results. Based on the analysis of the trends in the cryptocurrency market formation, the problematic aspects of their legal regulation, the investment aspect, and the changes in the cryptocurrency exchange rate against the US dollar, the article identifies some shortcomings of this financial instrument from the point of view of supervisory bodies.
Conclusions. Cryptocurrency really has significant prospects to become a valuable financial tool in the world economy, despite the rather critical problems of their regulation. Cryptocurrency can be a substitute for the US dollar in international settlements due to its advantages in the form of transparency and decentralization, especially given the fact that in 2019–2020, the governments of a number of countries (EU, Russia) began to actively develop legislation to regulate this area.

Keywords: cryptocurrency, digital financial assets, Bitcoin, investment, innovative financial instruments


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