Cryptocurrencies have not made it to the mainstream in the real sense. And, in the current scenario we are able to see that there is nothing called a safe haven asset. For now, it is good to have cryptocurrency a part of being a diversification element in the investment portfolio.
Frisco d’Anconia, President, Africa Blockchain University tweeted an open concern: “Will cryptocurrencies be a safe haven asset post-pandemic?”
Sydney Ifergan responded stating: “The world will need cash for the post-pandemic… from my point of view we are doing a back step with crypto and getting a bit away from the real mass adoption.”
To speak the truth, it seems like “Bread” is the safe haven for now. Post pandemic, there will be a need to establish an overall cooperation between government, taxes, and businesses to set the business sail well past the storm and getting back to normal.
Managing a pandemic using decentralized blockchain technology can enhance the richness and reliability of information like contact tracing and other stuff. However, when it comes to distributing funds, we are truly wondering because neither complete decentralization nor complete centralization would help. It just needs to be a mix of both. There is nothing called a one fit solution for all and we will forever need to tweak solutions and bridge solutions from two different worlds.
Sydney Ifergan opined, “Cryptocurrency is going to make it to places and nations. We need to recollect how Nicolas Maduro rolled out the first cryptocurrency that is functioning and state backed. However, it is not going to happen during the Covid-19 pandemic for other nations.”
Cryptocurrency A Free Market Thing
Cryptocurrency cannot be called a completely free market thing. It is meant to lower the cost of transactions and to improve the speed of cross border transactions.
There needs to be a control system in place to ensure bad actors don’t dominate the race. However, the control system should not be that which eats up the users themselves and that is the reason for why we need things decentralized and immutable. The decentralized and immutable situations are not about control, but are about true facts sustained as is. Any kind of manipulation is recorded and therefore we will be able to work with true data.
Some things like the pandemic need central control and a strategized approach. No system is completely fool proof. We need to strike a balance between the best of both worlds. We need to see if Venezuela survives with crypto despite the sanctions! That might be the first ever use case we are looking at if it wins with Venezuela- the story begins.
