As Visual Capitalist's Ashley Viens details below, cryptocurrencies have now evolved past simple digital currencies, offering solutions to meet the complex needs of modern financial markets.
Today's graphic from Abra visualizes the complex, ever-evolving cryptocurrency ecosystem and its real-world applications.
Characteristics of Cryptocurrencies
Why are cryptocurrencies important for the future of digital finance?
Drastically reduces fees and processing times due to a lack of cross-border restrictions
Prevents governments or major institutions from blocking financial activities at whim
Greater financial control
Individuals can have total control of their funds
Prevents fraudulent alterations from third parties
Lower transaction fees thanks to fewer third parties
Reduces or eliminates traditional barriers to capital markets
Much like the internet has forever altered how we live and work, cryptocurrencies have the potential to change how people participate in global financial markets.
Categorizing the New Crypto Economy
Today's cryptocurrencies go beyond replacing cash. This new token-based economy is evolving?with unique solutions emerging in finance, security, identification, social engagement, and ownership.