Various opinions are floating around the world regarding the biggest cryptocurrency in terms of market capitalization, bitcoin. While its proponents believe it is the future with a potential of overthrowing the traditional monetary frameworks, its opponents are of the view that bitcoin is just ‘a big hype thing’ that will die out with time.
The connotation attached with bitcoin and other cryptocurrencies in the media and the general public is not very positive owing to the illegal activities attached to them. Illegal activities and scams are surely the things that make cryptos unattractive but that does not mean the potential carried by the technology lying underneath is nullified. If regulatory frameworks are put in place with negative elements separated out, bitcoin does possess the potential to revamp the entire financial framework of the world.
The bitcoin market has seen a lot of tough times in the recent past. Bull run of 2017 and then the bear run of 2018 are in front of everyone. But the people who have been involved in this world before the golden year of 2017, what do they think about this asset now in 2019?
Brandon Ackroyd, who is the founder of tigermobiles.com and a long-term bitcoin holder, recently got in touch with BlockPublisher as he expressed his insights regarding the bitcoin space overall. As per Brandon, he had purchased bitcoin back in 2012 and he has been through its highs and lows since then.
The following Q&A with Brandon gives one a clear perspective of the bitcoin world through his eyes.
- What is the future of Bitcoin?
Brandon: “The future of Bitcoin is as a store of value. It is essentially digital gold and we’ll see more investors using Bitcoin as a new asset class as part of their portfolio’s. It’s very rarely used a way of sending or receiving payments. Who accepts it? Not many people or businesses so in that regard it’s not working as a means of payment right now.
I prefer the digital gold aspect too, the gold market is significantly more than any payment processor like Western Union or PayPal. ”
- Will it replace fiat in the future?
Brandon: “Unlikely but you never know. It certainly has a chance of replacing fiat as it fulfills all the properties of money outlined by Aristotle – durable, portable, divisible and intrinsically valuable. However, I think it’s a long way off and it will take a massive change in the world for that to happen. If you look at the average life expectancy of a fiat currency is 27 years so the opportunity might be there as we head towards global de-dollarisation.”
- Is it safe to use?
Brandon: “Yes, it’s perfectly safe to use, but security is the biggest challenge. The online world is filled with scams, hackers and nefarious individuals who won’t think twice about taking your coins should the opportunity present itself. For example, it’s all too easy to buy a fake Trezor Wallet from a third party that will steal your coins as soon as you load them onto it. So you should only ever buy from Trezor directly. Phishing websites that clone popular crypto wallet websites are commonplace. They look identical to the real site, but underneath there is nothing there, just a scam to steal your coins.”
Some very important aspects are highlighted here by Brandon. Many experts in the crypto game are considering bitcoin as a store of value more than a currency because there aren’t many opportunities in the real world to use this asset. It seems pretty likely that only as time passes by we will get to know the true role of bitcoin in the financial world.
Brandon also pointed out the negative elements and scams that are percolating in this space. Being so new, the lack of official frameworks has allowed for illegal and fraudulent activities to seep into this space. If this world is to gain more mainstream adoption in the future, it seems only natural that developments need to be made regarding this asset in the regulatory space.
On the tech side of the crypto world, a lot of capital is already flooding in and despite the bear market of 2018, the innovation has not stopped. Many innovative ways are being devised to find out solutions to the issues like scalability. This signals a good sign for the crypto world as the frameworks lying underneath it are growing and getting better at a very rapid pace. It will be interesting to see how it all unfolds from here on.
Regarding the bear run of 2018, Brandon also said:
It wasn’t fun seeing a $20k Christmas in 2017 only to see the bear market hit in 2018.