Bitcoin could pave the way for a new financial order, according to one analyst who believes a change is currently underway.
One Year or 100 Years?
Making these comments was Marcus Swanepoel, co-founder of Luno, a Bitcoin company. Speaking to the Express, he said:
Money is not going to be the same forever and ever. I believe we happen to be sitting in the middle of one of these changes.
Yet, while he thinks a change is underway, Swanepoel doesn’t know if it’s going to be Bitcoin or Ethereum that produces the shift, or if it’ll happen in a year from now or 100. He added:
But the future of money will involve some kind of global currency that is completely interoperable.
He argues that while he’s not anti-bank or anti-government, he does believe that the finance sector will see disruption. He notes that while there’s nothing wrong with the existing financial system, it may be that it’s become “inefficient for the world we live in today.”
Changes can already be seen though.
In the early days of the crypto market, banks didn’t give two thoughts to it. Instead, figures like Jamie Dimon and Warren Buffett have called it out, saying it’s a “fraud” and that it’s “rat poison squared.”
Now, though, finance establishments are taking a closer look. So much so, that Goldman Sachs, JPMorgan, and Northern Trust are just a few institutions that are considering offering crypto custody solutions. Fidelity Investments has already launched its own crypto service for Bitcoin and Ether. The fact that it has highlights the seriousness big players are taking the market and how crypto assets are becoming a viable investment tool.
Market is Still Maturing
Yet, despite this, the industry is still working out its growing pains.
Not only that, but one issue that it needs to deal with is regulation. According to Jeremy Allaire, CEO of Goldman Sachs-backed crypto startup, Circle, there is a need for a global standard for cryptocurrency regulations. His remarks come at a time when the Paris-based Financial Action Task Force (FATF) stated that it will launch guidelines for crypto regulation by June 2019. Albania is also considering its own crypto regulations in a bid to attract investment to the country.
It remains to be seen how these guidelines could impact the market. Yet, it signals a shift from authorities who are quickly realizing that the industry is not going anywhere any time soon.
Do you think a new financial order is underway? Where does the crypto market fit in? Let us know in the comments below.
Images courtesy of Shutterstock.