Uncertainty makes people do crazy things. Perception of today’s realities can easily change your mind.
Perception of reality is the reality itself. Some people are watching the crashing financial markets and the significant fall of the economic activities in conjunction with large state interference and come to the conclusion that we are to face hyperinflation and another Great Depression. At the same time others believe that the economy will face just a slight recession and relatively quick recovery. But both sides are wrong. If you purchase crypto expecting fiat or US dollar to fall to zero you are not different from those who buy silver, oil contracts and useless stocks. What if we never get inflation, and especially, hyperinflation? What if the economy survives? Will people still want Bitcoin when BRRRR mem becomes irrelevant? Or maybe this is just a game?
There comes a time for rejection. If all that bothers you is BTC price, do not bet on inflation that might never be real, or on economic crisis that will last for a year at most. But, again, that is all figurative. There are two kinds of people, rich and angry. Rich people like Paul Tudor Jones bought some crypto to protect his capital from devaluation of all world currencies.Angry people are mad at large corporations that “use exploit loopholes to reserve taxpayers’ money deceiving society”.
Imagine you’ve spent decades establishing your own business, retirement fund or something else, and finally you see the government reducing profitability. Or destroying careers and businesses with artificially created COVID-19 in order to make government inject enormous amounts of money into banks and corporations, still providing you a $1200 in a cheque or a rescheduled loan that does not cover all of your needs.
So you get furious, and you start searching for a “way out” that would not involve banks, governments or corporations. And you are not alone in this. Instead of buying stocks or getting loans you can switch to DeFi platforms adding Bitcoin or other cryptos to your investment portfolio. Entrepreneurs are able to launch their own cryptocurrencies or business chains instead of hanging around with banks or asking venture investors for money. Break-up of the obsolete system. Am I saying that today’s cryptocurrency industry may meet all of the society demands? Well, no. Nevertheless, the technology has come a long way in its development. Some companies are already providing their clients crypto services. Lightning Labs is developing a payment platform that can compete with Visa. Bakkt has attracted $300 million for launching trading services integrated into the global crypto market. Microsoft is working at a decentralized identification product on the basis of BTC chains.
Previously this year Ernst & Young presented their basis protocol for private business transactions on Ethereum blockchain.
As for IBM, it is still researching World Wire. ParagraphSome of national currencies now have their own stable coins. A lot of small projects and developers are working at improving their platforms and infrastructure. And some of the altcoins now offer real value. Crypto wins whatever happens. With the help of crypto you can develop a set of rules, protocols and governance on blockchain. The system works unless the calculations are running. As a result, you get an opportunity to make secure deals with millions of users you never met before as they are living in other countries with different laws and regulations. No government is involved in the process, and no Wall Street Firm would bother you. If you bet to get BTC, do not bet on inflation or global recession. Just bet on human factor.