Identification and prioritization of the challenges of using cryptocurrencies in international transactions
DOI:
https://doi.org/10.5377/reice.v8i16.10697Keywords:
Cryptocurrencies, Analytical Hierarchical Process, International TransactionsAbstract
Cryptocurrencies have attracted the attention of many investors, entrepreneurs, regulators and the public today. By popular definition, the cryptocurrency is an asset in a blockchain that can be transferred between actors on the scene of exchange and hence used as a payment instrument. Completely decentralized cryptocurrencies such as Bitcoin have attracted public interest and are far more successful than previous e-money. Despite the importance of these currencies, in third world countries like Iran country, people don't interest in using these types of currencies to their trading. So, in this study, we find and rank the challenges of using cryptocurrencies in international trading. To this end, the challenges of using cryptocurrencies were identified by reviewing the literature. Then, the identified factors were prioritized using the AHP technique. In general, four criteria and twenty-eight criteria were compared. The results show that technical factors are the most important criteria in comparison with the purpose; the risk-taking is the most important person reason; the negative attitude to cryptocurrencies in society is the most important social reason; the lack of sufficient funds to develop the use of cryptocurrencies, and the failure to properly find the parties to the transaction is the most important technical reason which can affect cryptocurrencies adoption in international trading.
Downloads
675
References
Alaeddin, O., & Altounjy, R. (2018). Trust, technology awareness and satisfaction affect the intention to use cryptocurrency among generation Z in Malaysia. International Journal of Engineering & Technology, 7(4.29), 8-10.
Angel, J. J., & McCabe, D. (2015). The ethics of payments: Paper, plastic, or Bitcoin?. Journal of Business Ethics, 132(3), 603-611.
Arias-Oliva, M., Pelegrín-Borondo, J., & Matías-Clavero, G. (2019). Variables influencing cryptocurrency use: a technology acceptance model in Spain. Frontiers in Psychology, 10.
Baek, H., Oh, J., Kim, C. Y., & Lee, K. (2019). A Model for Detecting Cryptocurrency Transactions with Discernible Purpose. In 2019 Eleventh International Conference on Ubiquitous and Future Networks (ICUFN) (pp. 713-717). IEEE.
Bouoiyour, J., Selmi, R., Tiwari, A. K., & Olayeni, O. R. (2016). What drives Bitcoin price. Economics Bulletin, 36(2), 843-850.
Chauhan, V., & Arora, G. (2019). A review paper on cryptocurrency & portfolio management. In 2019 2nd International Conference on Power Energy, Environment and Intelligent Control (PEEIC) (pp. 60-62). IEEE.
Chow, Y. Y., Sugathan, S. K., Kalid, K. S., & Binti Arshad, N. I. (2019). What Determines the Acceptance of Cryptocurrency in Malaysia? An Analysis based on UTAUT2.
Dyson, S., Buchanan, W. J., & Bell, L. (2019). The Challenges of Investigating Cryptocurrencies and Blockchain Related Crime. arXiv preprint arXiv:1907.12221.
ElBahrawy, A., Alessandretti, L., Kandler, A., Pastor-Satorras, R., & Baronchelli, A. (2017). Evolutionary dynamics of the cryptocurrency market. Royal Society open science, 4(11), 170623.
Gagarina, M., Nestik, T., & Drobysheva, T. (2019). Social and Psychological Predictors of Youths’ Attitudes to Cryptocurrency. Behavioral Sciences, 9(12), 118.
Ghimire, S., & Selvaraj, H. (2018). A survey on bitcoin cryptocurrency and its mining. In 2018 26th International Conference on Systems Engineering (ICSEng) (pp. 1-6). IEEE.
Hayes, A. S. (2017). Cryptocurrency value formation: An empirical study leading to a cost of production model for valuing bitcoin. Telematics and Informatics, 34(7), 1308-1321.
Kamrat, S., Suesangiamsakul, N., & Marukatat, R. (2018). Technical Analysis for Cryptocurrency Trading on Mobile Phones. In 2018 3rd Technology Innovation Management and Engineering Science International Conference (TIMES-iCON) (pp. 1-4). IEEE.
Kesa, O., & Mahoro, V. (2019). Rwandacoin: Prospects and challenges of developing a cryptocurrency for transactions in Rwanda. arXiv preprint arXiv:1901.06249.
Lee, J. H. (2019). Rise of Anonymous Cryptocurrencies: Brief Introduction. IEEE Consumer Electronics Magazine, 8(5), 20-25.
Li, Z., Lu, Q., Chen, S., Liu, Y., & Xu, X. (2019). A Landscape of Cryptocurrencies. In 2019 IEEE International Conference on Blockchain and Cryptocurrency (ICBC) (pp. 165-166). IEEE.
Liang, J., Li, L., Chen, W., & Zeng, D. (2019). Towards an Understanding of Cryptocurrency: A Comparative Analysis of Cryptocurrency, Foreign Exchange, and Stock. In 2019 IEEE International Conference on Intelligence and Security Informatics (ISI) (pp. 137-139). IEEE.
Makarov, I., & Schoar, A. (2020). Trading and arbitrage in cryptocurrency markets. Journal of Financial Economics, 135(2), 293-319.
Sai, A. R., Buckley, J., & Le Gear, A. (2019). Privacy and Security Analysis of Cryptocurrency Mobile Applications. In 2019 Fifth Conference on Mobile and Secure Services (MobiSecServ) (pp. 1-6). IEEE.
Sukharev, P. V., & Silnov, D. S. (2018). Asynchronous Mining of Ethereum Cryptocurrency. In 2018 IEEE International Conference" Quality Management, Transport, and Information Security, Information Technologies"(IT&QM&IS) (pp. 731-735). IEEE.
Tasatanattakool, P., & Techapanupreeda, C. (2018). Blockchain: Challenges and applications. In 2018 International Conference on Information Networking (ICOIN) (pp. 473-475). IEEE.
Valdeolmillos, D., Mezquita, Y., González-Briones, A., Prieto, J., & Corchado, J. M. (2019). Blockchain Technology: A Review of the Current Challenges of Cryptocurrency. In International Congress on Blockchain and Applications (pp. 153-160). Springer, Cham.
Weber, B. (2016). Bitcoin and the legitimacy crisis of money. Cambridge Journal of Economics, 40(1), 17-41.
Yermack, D. (2013). Is Bitcoin a real currency? An economic appraisal (No. w19747). National Bureau of Economic Research, 2013.
Zheng, Z., Xie, S., Dai, H. N., Chen, X., & Wang, H. (2018). Blockchain challenges and opportunities: A survey. International Journal of Web and Grid Services, 14(4), 352-375.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) Revista Electronica de Investigacion en Ciencias Economicas
The rights to the articles published in REICE are from the journal, in order to be able to manage their best dissemination. However, since the purpose of the same is the dissemination of knowledge, this journal provides immediate free access to its content, under the principle that making research available to the public free of charge, which fosters a greater exchange of global knowledge.
The opinions expressed by the authors do not necessarily reflect the position of the publisher of the publication or of the UNAN-Managua. Its reproduction and distribution is authorized (in any type of support) provided that the following indications are fulfilled:
- The authorship of the work
- Indicate its origin (REICE magazine, volume, number and electronic address of the document)
