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THE INFLUENCE OF INFORMATION PROTECTION PROTOCOLS ON THE FORMATION OF THE VALUE OF CRYPTOVALUTE AND ITS OSCILLATIONS

Authors

  • S.P. Shnaider O.S. Popov Odesa National Academy o f Telecommunications
  • A.S. Shnaider Odessa I.I. Mechnikov National University

DOI:

https://doi.org/10.33243/2518-7139-2020-1-1-95-100

Abstract

Abstract. The study is aimed at identifying the influence of information security protocols used in
cryptocurrencies on the formation of the value of cryptocurrencies and fluctuations in their value. A
comparison is made of the value fluctuations against the US dollar. Attention is paid to transaction
security algorithms - protocols for protecting information from outside influence. The reasons for the
sharp changes in cost are considered. Considering that the phenomenon called "cryptocurrency" is quite
new, but at the same time attractive to many, the study of this phenomenon can be useful both from a
practical and scientific point of view. Research for practitioners can have the effect of avoiding
unpromising areas in cryptocurrency development. Scientific research could answer what explains the
existence of this phenomenon. The article notes that the phenomenon is extremely insufficiently
discussed in the scientific community (according to the information that we have). The main means of
forming an idea about the phenomenon of cryptocurrencies are separate disparate messages on social
networks, and forums of people united by this topic. Probably the phenomenon does not fit well with the
classical concept of "money", therefore it is perceived ambiguously. It is little defined how the
improvement of software (technical) measures affect the popularity of cryptocurrencies, is there a
dependence on other factors? This article examines information security protocols as a factor influencing
the popularity of cryptocurrencies. Based on the analysis, it is concluded that there is no direct and
unambiguous dependence on the improvement of information security protocols for cryptocurrencies and
the demand for them. At the same time, the article analyzes other factors and proposes an improved
formula for assessing the potential attractiveness of cryptocurrencies.

Published

2020-12-14

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Section

Радіотехніка і телекомунікації