With the pandemic accelerating the move to a cashless society, the move towards global cryptocurrency becomes ever closer.
The threat in which crypto has on larger banks is increasing- this is because crypto is decentralised and could eventually be used anywhere in the world as an alternative currency. The idea is that there will be one single global currency rather than several currencies owned by individual countries. Whilst this could help poorer countries and eliminate financial corruption by governments it could also help to cancel out inflation and debt which would allow some countries to finally be more self-reliant – surely this has to be a positive!
Why is global cryptocurrency still so widely unaccepted?
The worry is that there is no compliance and financial regulation attached to the cryptocurrency which to some financiers feels like a very volatile position. It is still seen as an unknown territory and whilst banks are used to taking risks this isn’t an area that traditional financial institutions are familiar with.
So, what next?
Whilst the adoption of global cryptocurrency may have been slow to begin with, more companies are recognising its potential and researching into how the technology could work for them – the major influence will be how the leading banks embrace the currency through their own institutions. Whilst us and our parents are maybe familiar with leading high street bank brands, it is the next generation of younger people who are already tech-savvy and used to trading ‘pretend’ digital currency through online games and apps who will be more fully willing and prepared to adopt global cryptocurrency.
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