THE IMPACT OF CRYPTOCURRENCY ON THE MONETARY
SYSTEM
Introduction
The rapid development of information and communication technology (ICT) has
been changing the model of economic and business activities (Tomić, Todorović, and
Čakajac, 2020). According to Fama, Fumagalli, and Lucarelli (2019) information and
communication technology (ICT) has opened up unprecedented new opportunities for the
development of transaction systems that can work without the need for intermediaries or
central authorities. This is because the development of ICT financial transactions, especially
money itself, which originally carried out transactions in cash turned into digital
transactions. This initially did not really disrupt monetary stability until the emergence and
development of cryptocurrencies. The development of cryptocurrencies can have an impact
on the monetary system, it is evident that cryptocurrencies are much more resistant than
electronic money solutions (Tomić et al., 2020). According to Patt (2017) cryptocurrency is
a digital currency where in producing and regulating currency units and verifying
transactions using techniques and encryption that can operate without the involvement of
any authority or better known as a decentralized finance system. Cryptocurrency was
introduced by a group of people or individuals whose identities are unknown after the
2007/2008 global financial crisis, when distrust of financial intermediaries began (Othman et
al., 2020). As of March 20, 2022, according to data obtained from Investing.com, there are
about 10,370 cryptocurrencies with a market capitalization of 1.87 trillion USD. The
emergence of cryptocurrencies and the decentralized system it brings for the development of
smart digital technologies can pose a serious challenge to central authorities (Claeys et al.,
2018).
The innovative decentralized finance system used by cryptocurrencies is one of the
most unexpected global monetary developments in the last decade (Pieters, 2016). The
decentralized finance system innovation in cryptocurrency is a financial ecosystem built on
blockchain technology that is specifically designed to be self-regulating and independent of
any and all authority interventions (Rasul, 2018). According to Ashimbayev and Tashenova
(2018), decentralization in financial services is the lack or loss of currency control by
financial institution authorities and avoiding unnecessary transaction commissions. Bitcoin
is the first cryptocurrency that was created with the infrastructure and purpose of peer-to-
peer decentralized payments sent from one user to another without the intermediation of
trusted authorities such as administrators or central banks that are in principle separate from
the fiat currency system (Karau, 2021). Therefore, cryptocurrency systems can hinder
central authorities from achieving and maintaining stable currency values or achieving
economic growth, cryptocurrencies are an important financial innovation but have the aim
of breaking and challenging existing financial rules and systems (Mandeng, 2018).
All cryptocurrencies have a decentralized finance system, algorithmic currencies
such as cryptocurrencies seem to be real competitors to fiat currencies (Raskin and
Yermack, 2016). According to research conducted by Swanda (2015) cryptocurrencies can
be used as a viable alternative to monetary union. While Bortnikov (2020) argues
cryptocurrencies are not considered to communicate with monetary unions, but rather only
as subjects of financial manipulation. One of the challenges facing central authorities is how
to spot and manage the potential impact of cryptocurrencies on financial system stability
(Juhro, 2021). All the potential impacts that cryptocurrencies have will be different in each
country, depending on the readiness of each country itself. Currently two opposing views on
cryptocurrencies are held by central authorities. There are favorable opportunities by
incorporating cryptocurrencies and their technology into systems and policies to maintain
regulation for financial system stability. and vice versa cryptocurrencies can be a threat to
financial system stability (Nguyen and Jeong, 2018).
The development of cryptocurrency innovations has been rapid, research on
cryptocurrencies are expanding in all directions. However, is this rapid development of
cryptocurrencies in line with the research conducted by academics? This systematic review
research therefore intends to look at the potential impacts and influences that
cryptocurrencies and the innovations they bring to the monetary and economic systems.
Methods And Data
This research adopts systematic literature review (SLR) guidelines. With 2 questions,
first (RQ1): what is the impact of cryptocurrency on the monetary system, second (RQ2):
what are the potential effects of cryptocurrencies on economic activity. The systematic
literature review method was used because it is considered a comprehensive, unbiased and
transparent method for analyzing existing literature to advance related knowledge on a
specific topic focus (Webster and Waltson, 2002). Systematic literature review is a means of
evaluating, reviewing, interpreting identifying all available research with research questions
relevant to topic areas and phenomena of interest (Kitchenham and Charters, 2007). The
following chart describes the steps of the research method and review protocol.
To facilitate the stages of the systematic literature review process, this research uses
application assistance in the process. The applications used are Publish or Perish, Mendeley,
and Nvivo 12 pro. The application is an application that is often used in conducting
qualitative analysis and literature review, Publish or Perish is designed to describe citation
metrics from metadata taken from indexing agencies. The second application used was
Mendeley. This application helps manage references that are widely used to help write
citations and bibliographies in scientific papers. The last application is Nvivo 12 pro. This
application is used to help synthesize the literature and improve the consistency of the
results as recommended by Bandara et al. (2011)
Search Strategy
This research search strategy was developed by identifying key concepts related to
the research question. This research followed Webster and Waltson (2002) by starting the
concept search with the keywords cryptocurrency, monetary and their terms and synonyms.
To increase the effectiveness of the Publish or Perish software, it was used with the
indexing agency Google Scholar because in general Google Scholar presents articles from
official sites that can be accounted for. By focusing on the titles of articles that discuss
cryptocurrency and monetary and related terms, then reviewing the abstracts of all articles
that have been selected in the title section to check their relevance to this research. Then to
see the coherence and gaps in this article, the categorization uses the help of the Nvivo 12
Pro application.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
Inclusion and Exclusion Criteria
Inclusion criteria in the systematic literature review study, namely literature relevant
to at least one of the research questions, the existence of a relationship between
cryptocurrency and monetary economics. This research was limited to studies published in
English and Indonesian and determined a specific time frame of 2015-2021 (2008 to
recognize that cryptocurrency was created in 2008). This time frame was used with the
consideration that the steady growth of cryptocurrencies started in 2015 and began to gain
attention from various researchers. In the article search, articles that did not discuss
cryptocurrency and monetary as the main issue of investigation were discarded.
Data Quality Assessment
In a systematic literature review, there are three assessment criteria: first, the article
has a clear and reproducible methodology; second, the article presents and discusses the
interrelationship of cryptocurrencies and monetary economics; third, the results of the
studies can be considered and combined.
Study Selection and Data Collection
It seems that presented in chart 1 the search through the Publish or Perish software
produces 1000 articles. This result was obtained because the Publish or Perish software was
able to retrieve and analyze 1000 articles with the keywords cryptocurrency and monetary.
This number was reduced to 67 relevant articles after going through a manual selection
process based on the title, then reduced to 48 articles after going through the abstract reading
selection process. Then the articles were collected in the Mendeley application and exported
in RIS format, then the RIS data was analyzed using the Nvivo application and the articles
were reduced to 22 articles after going through the stages of using Nvivo software and full
text reading. After producing 22 relevant articles, researchers collected data with the help of
Nvivo software.
Discussion
In recent years along with the development of cryptocurrency, researchers have been
active to analyze the impact and influence of cryptocurrency on the monetary system. In the
span of 2015-2022, there were 22 articles that fit the predetermined criteria. To answer the
question, this research uses meta-synthesis analysis. According to Siswanto (2012), meta-
synthesis aims to answer research questions by summarizing various research results in
aggregate. In classifying The main categories and sub-categories using the help of the Nvivo
application with the main categories in the research are cryptocurrency and monetary. The
categories were obtained after reading and discussing the articles in depth and assisted by
the Nvivo application. Then the articles were coded and coded in Nvivo 12 Pro software and
classified into nodes.
To answer the research question, this study conducted a synthesis process including:
(I) extracting themes and concepts from relevant studies, (II) the extraction results were
organized into key findings, (III) grouping the findings into categories, (IV) the categories
were then synthesized. Afterwards, the relationship between the impact of cryptocurrency
innovation and monetary impact was found as shown in Table 1.
Potential Impact of Cryptocurrency on Economic
The positive impact of cryptocurrency innovation on economic activity has been
found to boost a country's economy. This is because there are three positive impacts on the
functioning of an integrated monetary system. First, easy access to financial services
(Aleksandrovna, 2017; Ashimbayev and Tashenova, 2018; Claeys et al., 2018; Karau, 2021;
Leblanc, 2016; Mandeng, 2018; Nakamoto, 2008; Rao, 2017; Swanda, 2015; Vinokurova,
2018). According to Davis, Bagozzi, and Warshaw (1989), the ease of access to financial
services can be caused by five main causes, namely because it can shorten payments,
facilitate payment transactions, provide benefits when making transactions, security when
making transactions, and increase efficiency in making transactions. Meanwhile, according
to Adiwijaya (2018), ease of access has the characteristics of being easy to understand and
easy to operate. Rahim (2017) argues The condition of easy access to finance is closely
related to the condition of financial system stability and can significantly affect the interest
in transactions which causes economic activity to be high. According to Darmawan and
Kamlet (2020) cryptocurrencies are revolutionizing the cross-border remittance system and
changing the view of the high cost of shipping and the length of time it takes to send money,
cryptocurrencies can make transactions directly without going through intermediaries
around the world safely, quickly and cheaper, thus encouraging economic growth in
developing countries. Darmawan and Kamlet's (2020) argument is supported by Dinar's
(2020) study which states that remittances from and out of the country have the potential to
increase state revenue and increase financial sector development so as to boost a country's
economic growth.
The Negative Impact of Cryptocurrency on the Economy
The negative impact of cryptocurrency innovations on economic activity can actually
hinder the growth of a country's economy. This is because there are two negative impacts on
the monetary system that are integrated with each other. The first negative impact is the
threat of cybercrime (Cadizza and Yusandy, 2021; Peters et al., 2015; Pieters, 2016; Rao,
2017; Rasul, 2018; Singh and Kant, 2019). Singh and Rajput (2019) argue that some of the
main factors that encourage the rapid development of cybercrime are tools, cybercrime
media that are very easy to access and learn on the internet, technological improvements in
processing speed, data processing and analysis, internet bandwidth and other internet
network activities accessibility for manual access to sources or servers. Cybercrime is any
criminal activity carried out in cyberspace (Saragih et al., 2019). According to Irfan et al.
(2018) the threat of cybercrime commonly carried out by perpetrators in digital transactions
is by damaging institutional networks by stealing and misusing valuable data and
documents, fraud, hacking bank accounts and transferring money to their accounts. The
emergence of cybercrime that threatens the defense and security of the country so that it has
the potential to disrupt the rate of economic growth (Simbolon, Kesuma, and Wibowo,
2021). According to Gañán, Ciere, and Van Eeten (2017), the reduced level of security
caused by cybercrime can lead to quality deterioration and loss of user trust. This can result
in the loss of users of the financial system which will lead to a decrease in national income
and will hinder the economic growth of a country.
The second negative impact is the risk of financial system stability (Ashimbayev and
Tashenova, 2018; Benigno, 2021; Fama et al., 2019; Mandeng, 2018; Tomić et al., 2020).
According to Wahyudi, Nabella, and Badriyah (2019), financial instability can result in the
risk of disruption to financial system stability. Meanwhile, according to Carmassi, Gros, and
Micossi (2009), basically crises and financial system instability can be caused by loose
monetary policy, misapplication of the regulatory system can exacerbate financial system
instability. Korohama (2012) argues that the development of financial sector activities can
be seen from the increasing variety of financial products being traded. Financial products
that are increasingly innovative and increasingly integrated in financial sector activities can
increase the risk of causing financial system instability. According to the Financial Services
Authority (2017) financial system instability can be caused by various causes, one of which
is market failure. Financial system stability is a very important aspect in designing and
maintaining a sustainable economy. An unstable financial system is very sensitive to various
shocks that can disrupt the rotation of the economy. If the financial system is unstable and
not running well, then the distribution of funds will not run efficiently so that it can hamper
economic growth.
Conclusion
Based on the results of a systematic review of the literature related to the impact of
cryptocurrency development on the functioning of the monetary system, it can be concluded
that there are five main impacts consisting of three positive impacts and two negative
impacts. The three positive impacts of cryptocurrency on the monetary system can facilitate
financial system stability which in turn can accelerate the pace of economic growth.
Conversely, the two negative impacts caused by cryptocurrency can actually hinder the
economic growth of a country. Based on these findings, there are two implications. First,
central authorities need to make regulations involving cryptocurrency innovation
infrastructure and build virtual currency system infrastructure with rules that focus on
stablecoins to be able to involve cryptocurrencies into systems and policies to strengthen the
financial ecosystem and facilitate economic activities that can accelerate the rate of
economic growth. Second, to minimize the negative impact, the central authority can tighten
the prohibition policy on the use of cryptocurrencies developed by private parties as legal
tender, because it can cause cybercrime and threaten the stability of the financial system
which in turn can hamper economic activity. Suggestions that can be given for further
research are to take research variables on central bank digital money with the technology
used by cryptocurrency as legal tender to involve cryptocurrency in the monetary system
and anticipate negative impacts on the functioning of the monetary system and the economy.
