The novelty that has fueled the debate in the area of monetary sovereignty in recent years is the emergence and development of numerous cryptocurrencies. They are digital money and have all the features of real currency with one important difference - they are not backed by the authority of the state and exist only in electronic form. In this paper, the concept and development of cryptocurrencies is analyzed, in order to better understand their current characteristics, advantages and disadvantages, as well as the methods of acquisition, which are also described. In order to draw conclusions about the development trend of this new monetary phenomenon, the development of cryptocurrencies is also described, the movement of the value of selected cryptocurrencies is analyzed and the possibilities of their use are presented. Trends in society and the financial sector indicated that in the future cryptocurrencies could partially or even completely replace fiat money. For this reason, research questions were formed: What are the efforts regarding the adoption of legal regulations for trading and payment in cryptocurrencies? Can an adequate legal framework be expected in the future that could eventually lead to the acceptance of cryptocurrency as a monetary instrument? Research has determined that in the event that the legal framework related to cryptocurrencies is regulated and stability of their value is achieved in terms of reducing oscillations over a longer period of time, the perspective of further development of cryptocurrencies, as well as the possibility of replacing fiat money, can be very good. In order for this to happen, it is crucial to solve the main shortcomings and challenges of cryptocurrencies, which mostly relate to the lack of universal legal regulation, and significant volatility and oscillations in prices and values. The movement of values and the wide application of cryptocurrencies recently represent an imperative for the adoption of universal legal regulation.