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Will Bitcoin Win the War with the Dollar? Is fiat tokenized? Will cash be used in the future? The ball for predictions is clearly powerless here, and therefore the journalists of the Coindesk edition turned to the leading experts in the world of cryptocurrencies with a request to share their predictions about what awaits money in the future.
Moreover, the very term “money” sounded in a general sense, without leading clarifications. Accordingly, the survey participants could interpret it at their own discretion. What did the experts answer?
How many people, so many opinions
Despite the general sphere of professional interests, we did not find a single duplicate among the answers received. Some look to the future with hope, others see it as downright sinister. Some are optimistic about the prospects for cryptocurrencies, others are skeptical, and still others say that the future world will be radically different from anything we’ve ever seen.
We invite you to independently assess the importance of experts’ opinions on possible options for the development of the global financial system and its main “fuel” – money.
KHASIB QURESHI, Managing Partner, Dragonfly Capital
Hasib Qureshi. Source – haseebq
Qureshi believes that stablecoins will replace the dollar in the future. In his opinion, countries with weak national currencies will gradually begin to switch to “stable coins” pegged to the American currency. If earlier they needed to bring in cash dollars for use in the internal financial system, now stablecoins will take their place. Central banks will strive to prevent such dollarization through cryptoassets in order to avoid hyperinflation of national currencies.
LEX SOKOLIN, Chief Economist and Head of DeFi / Fintech at Consensys
Lex Sokolin. Source – lexsokolin
Sokolin suggests that using digital currencies will soon become as commonplace as sending email. And coding skills are as important as reading and writing skills. The analyst says that in 5-10 years, people will create hundreds of different tokens a year – each with its own price and unique properties.
Skills of working with smart contracts will begin to be taught already in elementary school. This will allow almost everyone to become a full participant in the digital economy. Money will no longer be considered an abstract value – it will be directly tied to the results of labor.
BALAJI SRINIVASAN, Investor, General Partner of a16z and Former Coinbase STO
Balaji Srinivasan. Source – Techcrunch
This expert gave the most detailed answer to the question of the publication. He believes that in the future, the world will move to a “DeFi matrix”. According to Balaji, all assets (cryptocurrencies, tokens, CBDC, securities) will be stored in a single digital wallet. Moreover, they will all become interchangeable and will be traded on global asset exchanges.
The expert calls this entire set of transactions on existing trading pairs the “DeFi matrix”. Some of her cells will receive incredible liquidity (BTC / USD). Others, like NFTs, will only be assessed by automated market makers. All financial markets will become part of the global matrix. The traditional stock market is transforming into CBDC / crypto stock pairs. Fiat markets will acquire the status of a trading place for cryptocurrency / stablecoin pairs.
An economy based on the concept of a “DeFi matrix” will be a tough test of the viability of the CBDC. The digital currency of each of the central banks will compete in the market not only with existing counterparts from national regulators, but also with all other assets.
The future of money is an era of global competition between digital assets, the expert sums up.
ERIK WURHIS, ShapeShift Founder
Eric Voorhees. Source – CoinDesk
Voorhees believes that in 10 years, fiat currencies will be on the decline. And its main reason will be the process of self-liquidation of traditional money due to the loss in the competition with more reliable digital money.
BRETT SCOTT, economic columnist, journalist
Brett Scott… A source – Europa Press / Getty Images
Scott says it is fashionable among futurists to predict the coming end of cash now. However, the reality should also be assessed: digital assets have many disadvantages. And the fact that fiat has not died yet speaks of the high stability of the cash currency – much more than is commonly believed. And the influence of digital technologies is still greatly exaggerated, so traditional money will exist for a long time, the expert says.
It is worth taking into account that cryptocurrencies, in principle, do not seek to destroy the traditional financial system, because they are closely related to it. At a minimum, their value is determined in fiat currencies. It’s just that crypto-enthusiasts take for a new era of money not a revolutionary, but an evolutionary development of the economy.
SANDRA RO, CEO, Global Blockchain Business Council
Sandra Ro… A source – The Financial Times
The digitalization of microeconomics through the tokenization of everything is what awaits the financial system in the future, Sandra is sure. And the first sign was NFT.
PAUL BRODIE, Head of Global Blockchains, Ernst & Young
Paul Brody. Source – Fortune
Brody shares the view that money is just a reflection of global assets. Their future depends on how humanity uses the resources of our planet. Investing in blockchain, making it programmable, and enabling it to work with other services is the key to making the money of the future work for good.
Now there are many promising projects that are undeservedly forgotten due to the lack of investment. With the ability to “program” their capitals through the blockchain, anyone can make them work for the common good.
JEFF DORMAN, CIO Arca
Jeff Dorman. Source – CoinDesk
Dorman is confident that in the next 5-10 years, every company in the world will issue its own tokens. Moreover, they will have several functions:
- rewarding clients under the loyalty program;
- tokenized shares.
And in the consumer sphere, both multinational corporations (Starbucks, Delta Airlines, Netflix) and small businesses (hairdressers, gyms, street trading) will benefit from the introduction of tokens.
MARCELO PRATES, Lawyer, Central Bank of Brazil, Coindesk Columnist
Marcelo Prates. Source – CoinDesk
Prates believes that by 2031 more than 6 billion people will switch to using BTA, the digital currency of the consortium of 6 largest technology companies. They will be called “six sisters”. The cryptocurrency of the future is not backed by anything, but works within the network, which will be launched by 2024 by the 3 most influential central banks at that time.
Against the background of the massive spread of BTA, the national currencies of other countries are gradually self-liquidating – out of 200 existing today, only 20 will survive. Moreover, it will not be the most common dollar, euro or British pound today, but money of small states that will remain as a funny relic of the past.
BERIL LEE, co-founder of Yield Guild Games
Beryl Lee (right). Source – Twitter
Lee expects a new token economy to emerge on the planet in the next 10 years. Easy-to-use applications for storing and trading such assets will be developed. The world will move away from the dollar standard – it will be replaced by a basket of currencies. Moreover, it will be drawn up on the basis of both fiat money (USD, EUR) and cryptocurrencies (ВТС, ЕТН).
DOVI WAN, Founder of Primitive Crypto
Dovey Wan. Source – medium
Dovey expects the future proliferation of programmable monetary policy, which, combined with CBDC, will result in the ability to automatically seize accounts and irrevocably confiscate citizens’ funds within seconds.
During some transition period, we will see a “Great Concentration” of paper money with a simultaneous “Great Redistribution” and conversion of fiat to cryptocurrency.
TAYLOR MONAKHAN, CEO and Founder of MyCrypto
Taylor Monahan. Source – CoinDesk
According to Monahan, today money is used in three main ways:
- store of value;
- medium of exchange;
- means of calculation.
At the same time, money is often viewed as an indicator of how “valuable” its owner is for the world. Today banknotes are a value in themselves. However, in the future, the concepts of “money” and “value” will not be interconnected in any way, and the usual currency will remain the role of an artifact from the past, which has at least some meaning only from the point of view of archaeologists and historians.
SAM BANKMAN-FRIED, CEO of FTX
Sam Bankman-Freed. Source – Forbes
The financial system of the future, from the point of view of a billionaire, looks like a combination and coexistence of centralized and decentralized services connected to each other using the blockchain. People will be able to freely and quickly – literally in a few seconds – move assets from one service to another. Payments will become instant, not only in cryptocurrency, but also in tokenized assets. And everything will be tokenized.
LAURA SHEEN, host of The Unchained podcast
Laura Sheen. Source – Twitter
Laura believes that in the future, money will become an expression of a person’s individuality. In fact, everyone will have their own currency, and the talents of its owner will determine its value. This will lead to increased globalization and the unification of people with similar views, regardless of state borders. This situation will completely reformat the modern world with its governments, currencies and national jurisdictions. All of this will become unnecessary leftovers.
ALEXANDER GLADSHTEIN, CSO Human Rights Foundation
Alex Gladstein. Source – Thenewslens
Gladshtein briefly, succinctly and unambiguously described his vision of the evolution of money: “The future of money belongs to bitcoins. They will replace everything “…
Despite different – sometimes polar – views regarding the future of money, almost all the experts who took part in the survey say that in the next 10 years, fiat currencies will practically disappear from circulation.
They will be replaced by cryptocurrencies and tokens, and the digital economy will be on the rails of the blockchain. Do you think it’s time for us to get rid of pieces of paper that will soon become unnecessary and transfer our savings into digital assets? Or can you still wait?
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