Traditional banking in terms of industry 4.0: advantages and risks of new technologies

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Article(UKR)(.pdf)

The main trends of modern banking are identified, such as simplification of payment transactions, the emergence of self-service tools (the provision of information services with the assistance of automated consultants based on the Big Data analytics and artificial intelligence), the growing popularity of P2P-crediting services, and the demand for banking in the spread of the Blockchain distributed ledger technology. The advantages and risks of smart contracts are noted. The essence, value and functions of cryptocurrencies as money are considered. The decentralization of the operation as a key feature of virtual currencies is defined.

The attention is focused on the characteristics of the cryptocurrency, inherent to the financial pyramid and the speculative bubble. The criticism of the crypto-currency is analyzed. Uncertainty in the regulation of the cryptocurrency market has been established. It is noted that in many countries the legal status is still not defined or is changing. The history and principle of Bitcoin’s work as dominant among the majority of cryptocurrencies is reflected.

The advantages and disadvantages of using cryptocurrencies are revealed. The state of development of Ukrainian FinTech and Bitcoin markets is generalized, in particular, the legal status of the cryptocurrencies.

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