This thesis examines the rise of digital currencies—cryptocurrencies, stablecoins, and central bank digital currencies (CBDCs)—and their implications for global economic stability. The study delves into the origins and evolution of these currencies, exploring their potential to enhance financial inclusion and improve transaction efficiency. However, the research also highlights the risks they pose to monetary policy, financial stability, and the broader economic landscape. Through case studies and analysis, the thesis recommends regulatory approaches to balance innovation with stability, contributing to the understanding of how digital currencies are reshaping the global financial system.
Inhaltsverzeichnis (Table of Contents)
- Chapter 1: Introduction
- Chapter 2: Literature Review
- Chapter 3: Methodology
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This thesis aims to investigate the impact of digital currencies on global economic stability, examining adoption cases and proposing regulatory strategies. It explores the interplay between innovation and stability in the context of digital currencies.
- Impact of digital currencies on global financial stability
- Analysis of digital currency adoption case studies
- Development of regulatory mechanisms for balancing innovation and stability
- Examination of the disruptive potential of digital currencies
- Exploration of the relationship between digital currencies and monetary policy
Zusammenfassung der Kapitel (Chapter Summaries)
Chapter 1: Introduction: This chapter sets the stage by introducing the rise of digital currencies—cryptocurrencies, stablecoins, and CBDCs—as a significant turning point in monetary history. It highlights their potential to revolutionize financial systems through decentralized, secure, and efficient transactions, while also acknowledging the inherent risks and challenges related to volatility, regulatory gaps, and threats to financial stability. The chapter establishes the central research question: Do digital currencies ultimately benefit or harm global economic stability? The objectives are clearly defined, focusing on investigating the impact of digital currencies on global financial stability, analyzing adoption case studies, and determining appropriate regulatory mechanisms. The scope is delineated, focusing on cryptocurrencies, stablecoins, and CBDCs, while excluding non-fiat digital assets. The significance of the study is emphasized by highlighting the profound impact of digital currencies on monetary policy, financial integration, and economic stability.
Chapter 2: Literature Review: This chapter provides a comprehensive overview of the existing literature on digital currencies, tracing the evolution of monetary systems from barter to fiat currency, and situating digital currencies within this historical context. It analyzes the implications of the decentralized nature of cryptocurrencies for monetary policy, highlighting the challenges they pose to central banks' control over money supply and the potential for unpredictable economic outcomes. The chapter also explores the potential of digital currencies to foster financial inclusion, particularly in underserved regions, while acknowledging the limitations imposed by technological barriers such as digital literacy and internet access. The discussion includes a review of existing research on the impact of digital currency adoption, particularly on international transfers, cost reductions, and transaction times. Finally, it examines the existing academic contributions, emphasizing the importance of robust regulatory frameworks to address challenges such as regulatory arbitrage and money laundering.
Chapter 3: Methodology: This chapter details the research design and methods employed in the study. It explains the mixed-methods approach, combining qualitative and quantitative techniques to offer both empirical analysis and theoretical insights. The data sources are outlined, emphasizing the use of publications and studies from reputable institutions such as the World Bank, BIS, and IMF, supplemented by secondary data from peer-reviewed journals, industry studies, and news articles. The chapter then describes the methodological framework, focusing on case study analysis and econometric modeling. Case studies of specific countries' experiences with digital currency adoption (e.g., China's e-CNY, El Salvador's Bitcoin adoption, and the EU's Digital Euro) are identified as key components of the qualitative analysis. The quantitative component involves econometric modeling, although the specifics of the models are not detailed in this preview.
Schlüsselwörter (Keywords)
Digital currencies, cryptocurrencies, stablecoins, central bank digital currencies (CBDCs), global economic stability, monetary policy, financial inclusion, financial stability, regulation, blockchain technology, case studies, econometric modeling.
Häufig gestellte Fragen
What is the main topic of this document?
This document provides a preview of a thesis or research paper focusing on digital currencies and their impact on global economic stability.
What is included in this document preview?
The preview includes the table of contents, objectives and key themes, chapter summaries, and a list of keywords.
What are the main objectives of the research?
The main objectives are to investigate the impact of digital currencies on global financial stability, analyze adoption case studies, and propose regulatory mechanisms to balance innovation and stability.
What are the key themes explored in the research?
Key themes include the impact of digital currencies on global financial stability, analysis of digital currency adoption case studies, development of regulatory mechanisms, examination of the disruptive potential of digital currencies, and exploration of the relationship between digital currencies and monetary policy.
What are the main topics covered in Chapter 1: Introduction?
Chapter 1 introduces the rise of digital currencies, highlights their potential benefits and risks, establishes the central research question, defines the objectives and scope of the study, and emphasizes its significance.
What are the main topics covered in Chapter 2: Literature Review?
Chapter 2 provides a comprehensive overview of existing literature on digital currencies, tracing the evolution of monetary systems, analyzing the implications of decentralization for monetary policy, exploring the potential for financial inclusion, reviewing existing research on digital currency adoption, and examining the importance of regulatory frameworks.
What are the main topics covered in Chapter 3: Methodology?
Chapter 3 details the research design and methods, including a mixed-methods approach, data sources from reputable institutions, case study analysis of specific countries' experiences with digital currency adoption, and econometric modeling.
What are the keywords associated with this research?
Keywords include digital currencies, cryptocurrencies, stablecoins, central bank digital currencies (CBDCs), global economic stability, monetary policy, financial inclusion, financial stability, regulation, blockchain technology, case studies, and econometric modeling.
What types of digital currencies are the focus of this research?
The research focuses on cryptocurrencies, stablecoins, and central bank digital currencies (CBDCs).
What are some of the countries whose digital currency experiences are examined as case studies?
The case studies include China's e-CNY, El Salvador's Bitcoin adoption, and the EU's Digital Euro.
- Quote paper
- Mallu Eco (Author), 2023, Digital Currencies and how they affect International Economic Stability, Munich, GRIN Verlag, https://www.grin.com/document/1525464
