Hello my fellow bloggers! We like to say crypto will be the biggest wealth transfer in history. How close are we to this event? Let’s dive in and investigate!
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Crypto is actively changing the world. Some of us feel this stronger than others. People how use Hive and Steem to pay for their bills on weekly basis definitely can agree crypto has already changed their life. Yet for those of us who live in the developed part of the world, crypto is just an opportunity for the future. We may believe in crypto, but it steel feels like a distant perspective. Today I came across on this twit:
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This opinion not only reminded me of this topic, but also set a timeline for “greatest wealth transfer” to take effect. $200k for Bitcoin mark sets a picture where every second billionaire in the world would emerge from crypto market. This sounds crazy, but it is actually correct. If we extrapolate BTC price growth to best altcoins and check blockchain stats for biggest holders, we will actually find quite a few potential billionaires. This reminds me of .com boom happened 20 years ago. Before the internet era, billionaires list was formed by oil barons and folks from the Wall Street. Then a new global market emerged from technology advancement. Google, Apple, Amazon, Netflix, Facebook and many other companies filled the Forbes top list, making their stockholders the new elite. Can crypto now do the same?
I believe this is not that easy. Crypto technology must achieve mass adoption before this. We still have a very long road to this. I remember January 2018. 3 years ago, XRP token price reached its all-time high at $3.40. At this point Ripple labs and three founders held more than half of 100 billion XRP supply. In other words, the company became the richest (or at least close to this) corporation in the world. As you know, all this wealth vanished in less than a month. This example makes me think that before crypto can really transfer the world wealth to new hands, it must become stable. The only way for crypto market to get away from a bubble state is to achieve the true mass adoption.
We need DeFi to replace a part of world banking system, crypto to be used for cross-boarder payments, central banks to hold BTC in reserve along side with bitcoin, people to use crypto backed cards on daily basis. I believe this will happen at some point in future. I don’t see this happening soon. The good side of it, we still have much time to board the leaving train to better future. Have you reserved your ticket yet?
Disclaimer
I’m not a financial of any kind. I encourage you to check all information yourself and make decision only based on your own opinion. All articles are created for solely entertainment purpose.
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