- The research paper is titled “Imagine 2030,” and it addresses the next decade of the cryptocurrency industry.
- Many traditional financial institutions are welcoming the crypto industry, though others have banned employees from being involved.
Jim Reid, an analyst for Deutsche Bank, recently published a research paper titled “Imagine 2030,” examining the cryptocurrency industry for the next decade. The paper has a more bullish perspective for cryptocurrency’s future, as Reid expresses that the asset class could see major success in the 2020's as fiat money becomes more inflated and less secure, according to Bloomberg.
The fiat system is held together by “fragile” pieces now, and the research paper suggests that government-based currencies could be dwindling soon. The paper states, “The forces that have held the current fiat system together now look fragile and they could unravel in the 2020s.” Gold and cryptocurrency, which have been considered more of a safe haven for some consumers, could see an explosion, in the event that government-backed currencies fail and leave consumers demanding these asset classes.
Max Keiser, a TV host, recently pointed out that there’s been some all-time highs established for Bitcoin in many fiat currencies globally, leaving him to project values in the millions in USD. However, Ray Dalio – a hedge fund manager worth billions – pointed to the damage within the financial system, predicting that it will soon face “a paradigm shift.” His statements were taken by the cryptocurrency community as an endorsement for the original crypto asset.
While cryptocurrency was once seen as a passing fad by the traditional finance supporters, this view has changed through the last few years. In fact, many central banks – like the Bank of France – are dipping their toes into the industry with their own digital bank-issued currencies.
Herbert Scheidt, the chairman of the Swiss Bankers Association, recently claimed in October that financial institutions need to keep up with the changes that cryptocurrency has brought about, or they risk being pushed out by the competitors.
Still, despite this progress, there are still big banks in the industry that are steadfast in their abhorrence of cryptocurrency. On December 3rd, the Nordea Bank in Scandinavia recently won a court case to prevent employees from holding, purchasing, or even selling cryptocurrencies.