The proponents of cryptocurrencies believe that they cryptos prevail in the future. But as we are seeing today, more than 2000 cryptocurrencies are floating around on CoinMarketCap. Almost everyone is experimenting with building their own cryptocurrencies. As we move forward in time with developments being made in this sector at a very rapid pace, will organizations tend to shift toward their own native cryptocurrencies or will bitcoin become a uniform cryptocurrency across different organizations?
Jason Anthony Williams, who is the co-founder and general partner at Morgan Creek Digital, recently shared his opinions regarding this matter summing up this topic pretty neatly. In reply to the question regarding whether the organizations will move toward their own coins or will bitcoin prevail, he said:
Jason: “No I think that organizations will build things that make sense for their organization and I think bitcoin will be a fundamental layer that some move into as the speed of transactions and the success of things like the Lightning Network occur. You’ll see that proliferate.”
It seems pretty natural organizations will adopt what’s best for their respective organizations. Maybe a company does not want to develop a coin specifically and just wants to avail the services of an already established blockchain. Or maybe, an organization might develop a profitable token economy and move towards building its own blockchain and its own ecosystem. The point is, the possibilities offered by blockchain are revolutionary. It’s just a matter of how it is adopted and in what niche it is adopted.
Regarding bitcoin, Jason also discussed the current issues such as scalability and shared his thoughts regarding how bitcoin might be pushed into the mainstream financial market. It only seems natural that in order to compete with current financial systems like VISA, the scalability aspect of bitcoin needs to be handled appropriately. Regarding this matter, he said:
Jason: “I mean to have bitcoin compete with the transaction speed of like Visa or your debit card right now, they’re working on a number of solutions. So again I brought up Lightning Network. You know I think off chain transactions are interesting and certainly speed up the whole process. From my perspective, we’re gonna solve all those situations. The speed to which transactions happen will get faster. This is early. Again I talked about 1992 1994 we’re probably there in the stage of the internet right now. When you look at the speed to which we innovate now compared to two decades ago, things will happen faster, These solutions will happen faster, but we’re not there yet. So will Lightning Network solve the transaction speed issue? Don’t know. Are they going to be able to have enough nodes displaced around the world to give us the computing transaction capabilities that we need to expedite transactions? I don’t know. I like the work they’re doing. I’m still waiting on my Casa Bitcoin node to hit the house.”
All in all, this world of bitcoin and cryptos is still pretty nascent. A lot of issues are there that need to be solved before it can be incorporated into the financial framework of the world. But the possibilities offered by this world sure seem game-changing. It will be interesting to see how things pan out from here on.