It’s been a wild ride for Bitcoin and other crypto investors recently. At one point, the value of Bitcoin crashed through the floor leaving people panicking about whether they should buy, hold or sell. Who knows? I’m not Gordon Gekko!
But one person who is very confident in his Bitcoin investments is Twitter co-founder and CEO Jack Dorsey. In an interview with The Times, he predicted that the virtual money would become the only surviving currency in a matter of years.
He said: “The world ultimately will have a single currency, the internet will have a single currency. I personally believe that it will be Bitcoin… probably over ten years, but it could go faster.”
Dorsey, whose second company Square Inc. recently rolled out Bitcoin trading to almost all its cash app users, did however acknowledge that Bitcoin “does not have the capabilities right now to become an effective currency.”
“It’s slow and it’s costly, but as more and more people have it, those things go away. There are newer technologies that build off of blockchain and make it more approachable,” he added.
It seems pretty farfetched to think that Bitcoin could transform the entire world’s economy in such a short space of time. Plus, there are some major questions around cryptocurrency’s links to illegal activity.
Just yesterday, The Guardian reported how German researchers had discovered people using Bitcoin’s blockchain to store and link to child abuse imagery, potentially putting the cryptocurrency in jeopardy.
Anyway, Twitter has plenty of problems of its own to deal with around abuse and hateful content that Jack might want to look into first? Just a thought.
And Fiona Cincotta, senior market analyst at City Index, told ShortList: “I think any suggestion that Bitcoin is going to become the only currency in 10 years are wildly exaggerated. Bitcoin madness has fallen in parallel with the price of the crypto currency. To put a finer point on this, there was not a single Bitcoin question directed at New Federal Reserve Chair Jerome Powell in his first press conference as the helm of the US central bank, this week. This is symbolic of how little attention the crypto currency is demanding from the financial world right now.
“That doesn’t mean this can’t and won’t change, but a 10-year time frame is too tight for an asset which still faces so many issues before it becomes legitimate and mainstream.”