The report published by Deutsche Bank underlines that, over the next ten years, cryptocurrencies could replace cash. According to the “Image 2030” analysis, Deutsche Bank believes that cryptocurrencies are now “additions” rather than “substitutes” in the finance world. Once the regulations in the field are clarified, the situation may change in the next decade.
“If one of GAFA – Google, Apple, Facebook and Amazon – or their Chinese counterparts BATX – Baidu, Alibaba, Tencent and Xiaomi, for example, are able to overcome regulatory hurdles … this would extend the attractiveness of cryptocurrencies, speeding up adoption. and giving them the potential to eventually replace the money. ”
is mentioned in the report.
The current fiat system looks “fragile”, especially because of “decades of low labor costs” and inflation. In the next decade, things could change
“Demand for alternative currencies, from gold to cryptocurrencies, could record an explosion”,
is shown in the report.
The benefits of cryptocurrencies are visible
The benefits of cryptocurrencies, such as security, speed, minimum transaction fees, ease of storage, and “relevance in the digital age” could help mass adoption in the coming years.
Another reason why cryptocurrencies could become “21st century cash” is the confidentiality it offers.
“Almost two thirds of consumers prefer the dematerialization of cash payments and one third are concerned about anonymity. These are the two things that cryptocurrencies do best ”,
pointed out Jim Reid, global head of fundamental lending and thematic research at Deutsche Bank.
In order to fulfill their potential, cryptocurrencies must become legal in the eyes of governments and regulators. This would lead to price stability, allow for global expansion and increase the interest of payment industry companies.
Many analysts have predicted the disappearance of cash in the coming years. Deutsche Bank believes that even plastic cards may disappear, as smartphones and payment applications make them useless.
Based on current trends, Deutsche Bank’s research report also said that the number of blockchain wallet users will increase to 200 million by 2030.