The ongoing technological revolution has meant that “digital money” — one manifestation of which are cryptocurrencies — is upon us. The microeconomic trade-offs are well-known and have been argued. Digital currencies have the potential to spur financial innovation, increase efficiencies through faster and cheaper payments and augment financial inclusion. Conversely, concerns around safety (cyber attacks and fraud), financial integrity (money laundering and evasion of capital controls) and energy usage (outsized energy needs to mine cryptos) are also well-documented. Further, to the extent that privately-issued cryptos currently serve largely as speculative assets, the need for updating consumer protection and regulatory frameworks is also clear.

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https://indianexpress.com/article/opinion/columns/cryptocurrency-challenges-digital-economy-policies-7630023/