- Telecommunications Giant Vodafone Leaves the Libra Association
- Group of Central Banks Assesses Developing Central Bank Digital Currencies
- South Korea Might Impose 20 Percent Tax on Cryptocurrency Profits
- Report: Terrorists Increasingly Use Crypto to Raise Funds Anonymously
- Canadian Securities Administrators Subject Crypto Exchanges to Securities Laws
In a pretty lengthy yet enlightening research dubbed ‘Imagine 2030 – The Decade Ahead,’ a research team of Deutsche Bank predicts the imminent doom of fiat currencies as crypto takes over if the current trend is left unchecked.
Jim Reid, the strategist behind this forecast took his time to point out some of the shortcomings – or ‘forces’ as he put it – that may eventually lead to the end of traditional fiat currency in the coming decade.
Blaming it on the fragile nature of the ‘forces’ that happen to hold the fiat money system together, Deutsche Bank’s research team categorically states that “over the next decade, some of these forces could begin to unravel and demand for alternative currencies, from gold to crypto, could take off.”
Shifting away from the forces, Reid highlights the increasing labor cost and inflation as some other reasons why people would readily switch to digital assets in the coming decade. According to Reid, a rise in labor costs will lead to a difficult environment for policymakers. The resultant effect would be compulsory inflation.
Summing up his worried with a multi-billion dollar question, Reid asks:
“Will fiat currencies survive the policy dilemma that authorities will experience as they try to balance higher yields with record levels of debt? That’s the multi-trillion-dollar (or Bitcoin) question for the decade ahead.”
Just a Crypto Prediction
Of course, every decade has its predictions, prophesies and whatnot; and in many of these cases, they do not turn out to be true. However, Deutsche Bank believes this could actually occur despite the link between the future and the present is almost impossible to draw or that these so-called ‘fortune tellers’ overblow current well-known trends.
The banking giant insists that its team put in a lot of time and research to ensure the link between the future and the present, in this case, is as clear as can be.
Not Just a Crypto Prediction
In any case, as this prediction shows just by affirming that the possibility of crypto domination exists, it is a good time for the global crypto industry. Besides cybersecurity companies working hard to keep the crypto space safe and governments working tirelessly to see a concrete regulatory framework in the space, it seems virtual assets could eventually win the ongoing superiority fight.
If a time machine actually existed, I am positive that a crowd of crypto enthusiasts will readily fast forward to 2030 to see if these predictions will actually come to pass. Oh, well, there is only one way to find out; we’ll just have to wait for 2030 to arrive.