It has been over a decade since Bitcoin erupted out on the global scale. While its proponents claim it can even replace fiat in the future, its opponents are of the view that it is just a tidal wave that will die out with time. Various experts have various opinions regarding the asset.
BlockPublisher recently got in touch with the founder and chief investment officer of Tapestry Capital, Evan Feng, as he shared his views regarding bitcoin and the world of cryptos overall. The following Q&A shows the opinions presented forward by Evan regarding this space.
Will bitcoin replace fiat or act as a reserve currency in the future?
Evan: Whatever best fits the idea of bitcoin will initially augment instead of replacing fiat, and will start to act like a reserve currency for smaller / less stable countries at first, but without threatening the USD for a long time.
Is it the digital gold?
Evan: Yes, bitcoin will retain some store-of-value properties for a few years, but will be eclipsed as digital gold by better alternatives.
Should this market be regulated?
Evan: The market is already regulated in that it falls under the jurisdiction of many regulatory bodies in many countries. We will see more enforcement actions and governments providing clarity on how much power governments want to take.
What can governments do to curb out the negative elements linked with bitcoin?
Evan: Encouraging self-regulatory organizations (SROs) to be formed and recognizing their power (similar to FINRA with broker-dealers in the US) would be a good start. Japan and the UK already have crypto-based SROs.
The world of crypto and blockchain is still pretty nascent overall. A lot of problems and issues are linked to it and a lot of developments need to be made. While some consider bitcoin as a global digital currency, others consider it as a digital gold. On the other end, the opponents believe this world will die out soon. But at this stage, nothing can be said with complete guarantee.
The future as of now seems pretty fluid. Nothing concrete can be predicted. Lack of clear regulatory frameworks, the prevalence of illegal activities and scam make the general public question the credibility of this world as of now. Official acceptance is also on the lower side. But with more and more interest developing from the institutional side and advancements being made in the arenas of blockchain technology and crypto regulation, it will be interesting to see how things pan out for bitcoin and the crypto world overall moving into the future.
Edited On: 1/15/2019 9:54 PM PKT