Many people speculate about the future of cryptocurrency, often focusing on its market performance. However, cryptocurrency represents more than just a trading asset – it signifies a digital financial revolution that has the potential to significantly transform the world.
In the near future, cryptocurrency could lead to a nearly complete dismantling of financial borders. This international form of currency will enable instant transactions without the current geographical limitations and associated fees imposed by middlemen.
Governments and banks are closely monitoring this possible disruption. In a mid-July 2018 hearing, the U.S. House Financial Services Subcommittee on Monetary Policy and Trade discussed the importance of regulating cryptocurrency and the concept of government-created cryptocurrencies. While there are concerns about the loss of control over the flow of wealth and the potential for illegal activities, several governments are showing increased interest in issuing their digital currencies.
As for banks, they may gradually confront the reality of cryptocurrencies replacing traditional currency in various transactions. However, for this transition to occur smoothly, significant advancements in the ease and security of crypto wallets will be necessary.
Furthermore, the use of cryptocurrencies could provide significant benefits to the unbanked population worldwide. With over two billion people lacking access to traditional banking, the use of cryptocurrencies, accessible through mobile devices and the internet, could offer a practical solution.
Anticipating a shift towards broader acceptance and understanding of cryptocurrencies, I believe that in 10 years, both digital and traditional currencies will coexist harmoniously. While cryptocurrencies may not completely replace the traditional financial system, they are likely to become an integral part of it.
