Bitcoin has survived after the first coronavirus wave. In fact, the cryptocurrency market was much more resilient to the pandemic than other markets. It managed to avoid panic and swings in exchange rates. The general situation was quite stable.
Moreover, during the quarantine, cryptocurrencies gained in value and became safe-haven assets for some investors. During these financial disturbances, blockchain technology reached the state level and now it may replace commercial banks due to its transparency, security, and high speed. In other words, blockchain is a good solution for the global financial market.
The world’s largest regulators are actively promoting the idea of their own digital currencies (CBDC). “CBDCs will be the next revolution in finance,” global expert in blockchain and cryptocurrencies with the UN Alliance of Civilization Massimo Buonomo said. “Essentially CBDCs will be exactly the same as paper money but only in a digital form.”
However, since CBDCs are traceable, some libertarian-minded consumers may not like the fact that their central bank is recording every transaction they make. At the same time, authorities of almost all countries are dreaming of such absolute control.
A central bank that will succeed in this sphere earlier than its partners is likely to benefit from the situation more than others. Currently, the blockchain system does not need a regulator and functions thanks to participants of this payment system. That is why all regulators should offer a convenient platform to users of the centralized payment system as soon as possible.
