Bitcoin's Evolution Sparks Innovation in Payment Technology, Dominance by Large Processors
Bitcoin's rise in value has led to interest in its ability to function as real money. The study shows that Bitcoin faces challenges in being a reliable medium of exchange, unit of account, and store of value. It also discusses how intermediaries have emerged in the Bitcoin network, leading to concentrated processing. The findings suggest that Bitcoin's impact lies in driving innovation in payment technology, but large processors will likely continue to dominate the payment system due to economies of scale.