Bukhari 1
Syed Ibrahim Mustafa Shah Bukhari
Furrha Ahsan
SS 100: Writing and Communication
23 April 2019
Cryptocurrency: Reliable money of the future or the revival of the ancient barter trade
system?
D’Alfonso, Alexander, et al. The Future of Cryptocurrency.
www.economist.com/sites/default/files/the_future_of_cryptocurrency.pdf.
This research paper compares Bitcoin and Ethereum, two of the most renowned and
successful cryptocurrencies, through investors’ point of view and declares Bitcoin as the most
successful one among them based on the predicted growth rate in the next five years and its
current user base. As a combination of qualitative research depending on interviews with
professionals in the industry, Monte Carlo analysis and linear regression, this research makes
apt analysis of the gathered information data and information to reach this conclusion. The
researcher, first, sets out to explain money to the readers by quoting Aristotle to whom “good
money” was something which is “durable”, ”portable”, “divisible” and possesses “intrinsic
value”. Gold was the first preferred medium of exchange which evolved to fiat currency
which, again and in recent time, seems to be evolving into cryptocurrencies. This brief
walkthrough the history highlights the urgency of the research topic: Which cryptocurrency is
going to be more successful in the near future. Such a stance by the researcher causes the
audience to make a choice between the two, rather than making them ponder over the
sustainability of the entire medium of cryptocurrency itself. Such a research paper would help
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me use the comparison between the two cryptocurrencies and the statistics provided on the
expected growth in next five years, make an educated analysis on the future of
cryptocurrencies. Moreover, it has been two years since the research was published which
leaves me in a position to compare the current market values and growth rates with the ones
predicted in the research which would further aid my analysis’ precision.
Ritter, Joseph A. “The Transition from Barter to Fiat Money.” The American Economic
Review, vol. 85, no. 1, 1995, pp. 134–149. JSTOR, www.jstor.org/stable/2118000.
The article talks about the transition from barter system to using valueless paper (Money) in
exchange for goods while providing the readers with information on how governments are
providing credibility to paper-based money more than its other alternatives. The article
focuses on the question that why did it took so long for to become prevalent. By putting his
extensive knowledge in economics to analyze the data from federal reserve bank, he answers
the question in the article. Using the “The Model and Barter Equilibrium” and by discussing
different theories like Walrasian theory, he further strengthens his argument. The article
provides adequate background information about money which could be used effectively to
build the introduction of my research and would also aid me on my research on the
importance of credibility in case of cryptocurrencies too for their reliability not in the near
future but in the longer run as well
Castillo, Michael del. “United Nations Sends Aid to 10,000 Syrian Refugees Using Ethereum
Blockchain.” CoinDesk, CoinDesk, 14 June 2017, www.coindesk.com/united-nationssends-aid-to-10000-syrian-refugees-using-ethereum-blockchain.
The article talks about an example of how cryptocurrencies were used for a charitable cause.
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It mentions how the United Nations World Food Program used cryptocurrency vouchers to
provide relief to Syrian refugees. It further adds how the organization intents to cater for the
population of 100,000 Jordan refugees. The writer hence enlightens us with the possibility of
using cryptocurrency for good, and an instance of using it for global relief efforts where
conventional means like providing monetary help might not be possible. The writer claims
that, “the agency is in talks with partners in the humanitarian and private sectors who can
help it with its goal of achieving zero hunger by 2030.” This shows the positive attitude of the
writer towards cryptocurrency in general which will help me in my research essay. This
article will also allow me to establish an argument on the sustainability of cryptocurrency by
using it for multitude of positive purposes.
Dalton, George. “Barter.” Journal of Economic Issues, vol. 16, no. 1, 1982, pp. 181–
190. JSTOR, www.jstor.org/stable/4225147.
This article explores the origin of the word barter itself along with its history while keeping
both its economic and social aspects under the focus. The author talks about how
anthropologists and historians view the barter system and discusses, thoroughly, the terms
coined and used by them for example: reciprocity. He makes quite a solid argument on the
matter and reaches the conclusion that “Moneyless market exchange was not an evolutionary
stage in the sense of a dominant mode of transaction preceding the arrival of monetary means
of market exchange”. This article will prove to be beneficial for my research essay not only
while I am introducing the topic but also while providing the background with thorough
historical references on the topic. The discussion on the use of the barter system in the past as
well as in the present time would come in use while discussing the different modes of
exchanges that are there today.
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Graydon, Carter. “What Is Cryptocurrency?” CCN, 17 Dec. 2017,
www.ccn.com/cryptocurrency.
The article gives detailed information about different forms of cryptocurrencies while also
mentioning that cryptocurrencies are digital decentralized currencies that are electrically
converted into lines of code with monetary value. It further talks about the technicalities of
cryptocurrency: how it came to be and highlights certain aspects like security, legality and
services. Hence, in this fact filled article the writer provides all the basic information to
anyone interested in cryptocurrency starting from the most popular digital currency, Bitcoin,
and moving on to other, less known, forms of it like Litecoin, Ripplecoin and Dogecoin. The
article also mentions how physical currency can lead to inflation if printed without a check,
but with cryptocurrency the case is different as they will never have more than 21 million
coins in circulation at a time. This article can prove to be very useful as it provides every
basic detail about different types of cryptocurrencies. It also makes the reader think that
cryptocurrency, being a secure form currency, can be used to reduce inflation.
Weaver, Nicholas. Inside Risks Risks of Cryptocurrencies . June 2018,
www.csl.sri.com/users/neumann/cacm244.pdf.
Researcher at the International Computer Science Institute and a lecturer at UC Berkley’s CS
department, Nicholas Weaver in this article explores most, if not all, of the drawbacks of
cryptocurrencies. Taking bitcoin, owing to its recent popularity, as an example, he delves into
the intricate, technical details to familiarize his audience with the working principles of the
currency and later on builds the argument, why cryptocurrencies are of no good use, around
them. As stated explicitly in the conclusion of the article, “the greatest risk to society may
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come not from failures, but from success”, the writer urges the audience to not get involved
in cryptocurrencies. He explores and explains to them the, what we call as, side effects of
cryptocurrencies and that too in an extremely systematic manner. This elaborate approach
might be opted to make clear to the audience the diversity of the life’s aspects that get
negatively affected by cryptocurrencies: ranging from economical aspects to social ones. The
sequencing is done in a way with social evils coming at the end to target the ethics of the
audience by stating that the success of cryptocurrencies would result in the increase of
criminal bandwidth. The usefulness of this article relies on the scientific knowledge provided
on cryptocurrency which in turn relied upon by all of the claims made, and these facts can be
double checked from any other credible source. This article would further my understanding
of cryptocurrencies, its working, and leaves me with significant information about the evils
that follow this currency of the future around.
Reporters, Telegraph. “What Is Cryptocurrency, How Does It Work and Why Do We Use
It?” The Telegraph, Telegraph Media Group, 30 July 2017,
www.telegraph.co.uk/technology/0/cryptocurrency/.
The article offers an in-depth analysis of the science behind cryptocurrencies. Other than
basic facts and figures, the writer focuses on common types of cryptocurrencies, their market
trends and how people should incorporate them in their daily lives. The article establishes a
favorable view on cryptocurrencies when it calls it more reliable than conventional currency:
“Cryptocurrencies are known for being secure and providing a level of anonymity,
transactions in them cannot be faked or reversed and there tend to be low fees.” This shows
that the writer is in high favor of using cryptocurrencies for routine transactions as they are
very secure and easy to do. Other than that, the writer also puts emphasis on the fact that
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cryptocurrency can be used to turn small investments into large ones and that too overnight.
The article can be very useful for the reader including me as it mentions how investors should
investigate cryptocurrency and the volatility of the market because sometimes the market can
drop significantly which in turn can lead to investors’ losing a lot of money.