ABSTRACT

This research paper aims to examine the role of digital currencies in international development. Through a comprehensive analysis of current trends and future prospects, the paper evaluates the potential of digital currencies to revolutionize economic systems by offering technological, economical, and secure benefits. Methods used include analysis, synthesis, comparison, scientific abstraction, and statistical analysis. Results indicate that while first and second-generation crypto assets do not fully meet modern economic requirements, the introduction of Central Bank Digital Currency (CBDC) could offer a viable solution. The paper concludes with recommendations for future research and policy implications Thanks to the Internet, digitalization is taking an increasing place in our lives to the extent that thanks to Metaverse projects, in which significant funds are currently being invested, we are invited to live in a world of “augmented reality”. Payments, currency, and finance cannot escape this movement, as crypto asset advocates well understand. Based on the current state of the relevant sectors and an analysis of short- and medium-term prospects, this research paper examines long-term issues arising from current events and those that are predictable. The purpose of this scientific article is to review crypto assets and their ability to become a tool of a modern economic digital system that meets all requirements, such as technological, economically profitable, and of course secure, as well as regulated by the state. Methods: analysis, synthesis, comparison, scientific abstraction, analytical grouping, methods of typology and generalization, quantitative statistical analysis, qualitative textual analysis, deduction and induction. During the study, the authors concluded that the existing first and second generation crypto assets do not meet all the requirements of the modern economic system, and also do not have a legal framework in the field of security and market regulation. In this regard, two forms of government intervention are being considered: regulatory in nature and industrial in nature. The production approach considers the development and implementation of the Central Bank Digital Currency (CBDC) at the national and/or international level.