THE IMPACT OF CRYPTOCURRENCIES ON INTERNATIONAL FINANCIAL MARKETS

Abstract

Introduction. Cryptocurrencies such as Bitcoin, Ethereum, and others emerged in the global financial market about ten years ago and have since become a subject of great interest. These digital currencies have attracted the attention not only of investors but also of finance and economics experts who study their impact on international financial markets. Objective. Analysis of the impact of cryptocurrency on international financial markets. Scientific novelty. It lies in the comprehensive analysis of the impact of cryptocurrency on international financial markets in the context of regulation and regulatory policies of governments and international organizations. The study contains new findings that were obtained through the analysis of recent research and statistical data, which makes it important for understanding the relationship between cryptocurrency and international financial markets. Research Results. As a result of the study, it was found that regulation of the cryptocurrency market has a significant impact on international financial markets. On the one hand, regulation can provide greater stability in the cryptocurrency market and reduce risks for investors, which can have a positive impact on the overall financial market. On the other hand, improper regulation can lead to large price fluctuations in cryptocurrency and increased risks for investors, which can have a negative impact on the international financial market. The study also showed that cryptocurrency regulation differs in various countries and can have different impacts on the international financial market. Some countries actively regulate the cryptocurrency market and seek to provide greater stability, while others seek to ban cryptocurrency or allow trading on unregistered exchanges, which can lead to increased risks for investors. Additionally, it was found that cryptocurrencies can have a significant impact on the overall international financial market, particularly on currency exchange rates and other financial instruments. At the same time, cryptocurrency can also be used as a tool to protect against inflation and other risks in the international financial market. Therefore, the research results demonstrate that regulation of the cryptocurrency market has a significant impact on international financial markets.