Crypto at War: How Digital Currencies Will Shape the Future of Conflict
Hugh Harsono | August 21, 2020
In 2009, Bitcoin was born. Since that pivotal moment of creation, digital currencies have become commonplace, with millions of participants in a relatively new financial sector worth billions of dollars. Digital currencies will only rise in prevalence as the world continues to venture into the digital age, with global revenues for e-payments reaching a record $1.9 trillion in 2018. Cryptocurrencies’ growth will have significant effects on the global economy, but their reach extends even to the realm of war. As traditional decisive kinetic battlefield engagements have given way to more prolonged, complex, and multifaceted forms of warfare, the convergence of economics and conflict—and therefore, digital currency and conflict—cannot be ignored.
Great power competition pits the United States of America, the China, and Russia against one another, with each nation-state competing for increasing amounts of power and influence at both regional and global levels. The establishment of distinctly separate state-backed cryptocurrencies is a significant aspect of this competition. The use of digital currencies by states to challenge one another economically and militarily presents a variety of challenges for each of those states. This becomes apparent by looking at competitive trade advantages via global market manipulation, the potential for economic vulnerability due to a reliance on digital currencies, and even the use of digital currencies specifically for illicit activities.
https://mwi.usma.edu/crypto-at-war-how-digital-currencies-will-shape-the-future-of-conflict/
