Swiss bank says Bitcoin is far from becoming the global currency

Swiss bank says Bitcoin is far from becoming the global currency.

Swiss investment bank UBS has recently stated that Bitcoin can not be considered money or a viable asset yet. In addition, it is believed that for Bitcoin to replace the US currency for the global domain, it will have to reach about $ 213,000. This seems to be a long way to go, since the price is currently around $ 7,000.

Bitcoin has not yet become the global currency that many early supporters have claimed would become, and left traditional banks scratching their heads about their official ranking.

Its current level of use and adoption is low due to several frequently discussed factors. At present, Bitcoin can only process a small part of the payment information that traditional banks can handle. This bottleneck is a huge limiting factor in Bitcoin's widespread adoption. In addition, UBS asserts that the unstable nature of Bitcoin makes it unlikely to replace the dollar as a universal currency.

In 2017, there was a kind of atomic explosion in the form of ICOs. However, the explosion was met with a mass extinction in the year. Despite the fact that a large amount of money was raised for crypto companies, a large part of them went away almost immediately due to fraud or poorly planned business plans. This prompted the Securities and Exchange Commission (SEC) to issue a warning against investing in ICOs.

Commercial use of Bitcoin has been declining since September, and the 70% change in the prices of the criptomoeda makes it difficult to see Bitcoin as a safe asset. While there seems to be a consensus that the underlying blockchain technology is vital for emerging markets, experts are divided on whether crypto-coins such as Bitcoin and Ethereum will drive this revolution.