Indian Journal of Science and Technology

Abstract

The article considers the current issues of the nature of money, the state and development prospects of money circulation. The author conducted the comparative analysis of Russian and foreign researchers’ opinions on the nature of money today. Besides, the article defines the place and role of electronic money in the total money turnover and considers the issues regarding the transformation of the global financial credit system. The author proposes the position according to which the phenomenon of electronic money demonstrates that the nature of money is not limited to their material form, but, more importantly, is characterized by its ability to perform certain functions. The article advises on developing international standards for the regulation of the electronic money circulation since its use is a relatively new practice – a prototype of a fundamentally new monetary system. The article emphasizes that the development of electronic payment systems should be subject to financial regulation. In countries with a developed economy and stable monetary system electronic money will occupy its niche, where it can be used most effectively, while its implementation should be more strictly regulated in developing countries.
Keywords: Bitcoins, Cash and Non-Cash Money, Cryptocurrencies, Full Bodied and Token Money, Money Turnover