What is the Relation Between Bitcoin, Blockchain and Economic Growth?

Cryptocurrencies and Blockchain technology have transformed the discussion on digital finance, economic freedom, and economic development. While Bitcoin, the main object of study in this research, was created aiming at a decentralized alternative to the traditional financial system, its economic limitations continue to be debated, seeking to understand its potential role in the global economy. Using the Literature Review method of academic research, policy reports, and economic analyses, this research seeks to understand the current impact of Bitcoin and Blockchain on the economies where they have been implemented, the potential impact on the future of the financial system, how its economic limitations may affect an increase in the economic impact of this technology, and how it can be used in different areas in the future. After analyzing the selected articles, the results suggest that Bitcoin and Blockchain have a positive impact on the economic growth of certain countries with small economies that have adopted cryptocurrency. However, this impact is relatively small and very different depending on the country studied. Due to economic limitations such as the cost of security, it may not have a greater influence on larger economies.

Nevertheless, looking to the future, the potential of Blockchain and Bitcoin is in their possible implementation in the traditional financial system in various ways, from regulation and integration into the SWIFT system to governmental use, such as Blockchain being used in public administration, ensuring greater efficiency and speed of use.