The Real Question on Crypto: Is It a Societal Good?

In the last decade, the world has seen an enormous uptake in the use of cryptocurrencies. Once a niche hobby, this revolutionary system is now a major global financial phenomenon which continues to evolve at an impressive pace. Its impact on global economies and societies is still unclear, but it is rapidly becoming evident that these innovative currencies are here to stay. And as things continue to develop, the real question about crypto remains — can it be a force for good?

In this article, we’ve taken a closer look at the current and projected impacts of cryptocurrencies and questioned whether these controversial assets can really help to change society for the better.

The current landscape

Right now, cryptocurrencies are in a fascinating position. In some parts of the world economy, they have become firmly established — yet many people around the globe still haven’t heard of them, or have no idea how they are used. Their main impact at present can be seen in the world of online transactions, as they have created a revolutionary way to handle payments, and can now be used for a variety of purchases on the web. By providing a decentralized alternative to traditional banks, they are driving innovation in numerous sectors and reshaping the way we think about money in the digital age.

Cryptocurrencies have also carved out a unique niche in the gambling and iGaming industry. Here, they’re really taking off, as many online casinos and betting sites now accept digital currencies as a method of payment. Although free games are fun, for those who want real money many online casinos are increasingly offering alternatives to traditional payment methods, which can help to improve player freedoms and boost the overall user experience.

There are now many iGaming operators which facilitate the use of digital currencies — often known as ‘crypto casinos’, these sites allow players to make deposits using a cryptocurrency of their choice. However, this provision is not ubiquitous, and some sites will still only accept a select few payment methods. It’s hard to predict what will happen next, but it’s becoming clear that the use of alternative currencies will keep rising in the iGaming world.

Social impacts: the good and the bad

There are some strong reasons to believe that crypto is a societal good. Bitcoin — arguably the world’s most well-known digital currency — was invented in the wake of the financial crisis of 2008, with the primary goal of establishing a currency that could independently operate without relying on governments or financial institutions. By reducing the need for dependence on traditional banks, crypto has levelled the playing field and helped reduce the entrenched power of these longstanding institutions.

These decentralized currencies can provide access to financial services for people who would be otherwise left with minimal banking capabilities — especially in regions that have poor banking infrastructure. They have also helped to reduce transaction fees, helping to remove fiscal barriers in the fast-moving world of international payments.

Cryptocurrencies can also certainly be a force for good when it comes to online security. In a world in which fraud is becoming increasingly sophisticated, security measures have become more vital than ever before. Blockchain technology has raised the bar for secure transactions, meaning that making payments with cryptocurrencies could be one of the safest ways to handle money in the modern world. If this impressive technology can be implemented correctly, it could greatly benefit society by increasing the safety of our private personal details and protecting individuals from hacks and online fraud. Thanks to this advancement in technology, the rise of cryptocurrencies has also created countless job opportunities in the blockchain and fintech sectors.

However, the use of crypto isn’t always a positive force in society. Digital currencies can unfortunately be used for a variety of illicit activities, and there have been instances of their use in money laundering and financing illegal acts. Thanks to the relative anonymity of payments made using digital currencies, this method has attracted a darker side — it has been known to be used for transactions on the dark web, which can sometimes include the sale of dangerous and illegal goods.

Throughout history, there has been a darker side attached to every currency, so whilst this isn’t a problem that is unique to cryptocurrencies, it’s certainly something that needs to be addressed if this digital financial revolution is going to help change society for the better.

What’s next for crypto?

The crypto landscape is constantly shifting and evolving, and the current trends seem to suggest that major changes are yet to come. Around the world, it’s likely that we will begin to see increased integration of blockchain technology into mainstream financial systems, as more traditional banking institutions try to keep up with this pioneering payment method.

There is still some way to go before digital currencies are suited for everyday use, and those within the crypto sphere are working hard to consider how the system can be better integrated into daily life around the world. We can also expect to see an increased focus on improving security in the sector, as the fiscal world continues to battle against sophisticated scams and safety threats. Hopefully, increased regulation and efforts to stabilize the volatile crypto market can enable this revolutionary tech to improve people’s lives — and finances — for the better.

Ultimately, the true societal impacts of cryptocurrencies remain to be seen. This pioneering system is certainly capable of increasing inclusivity and innovation in the financial sector, but at the moment, it simply isn’t widespread enough to have a major impact on wider society. As different countries and industries continue to navigate the complex world of crypto, people will need to work together to harness its positive aspects, whilst addressing the risks and challenges involved.

Hopefully, through careful regulation and responsible use, cryptocurrencies will be able to fulfil their original goal of creating a more inclusive, democratic, and transparent financial system — and hopefully, they can really start to benefit society as a whole.