The impact of cryptocurrencies on the modern banking system

Background: The main issues of This paper deals with is the analysis of contemporary monetary instruments, specifically digital currencies and cryptocurrencies as well as their impact on the monetary, financial and economic perspective around the world. As the central banks of the countries of the world are still the main followers of all the major global financial trends, we will pay special attention to their response to the challenge posed by the monetary constructs coming from the private sector. Finally, we will make a brief analysis of the legal framework of digital currencies and cryptocurrencies and examine the legislation approache of individual countries towards them.