Cryptocurrency News

Bitcoin will likely not completely replace the current financial system, says the director of the Coin Center

According to Coin Center research director Peter Van Valkenburg, bitcoin may not mean the end of traditional currency and banking.

“I think there are people in the bitcoin community who probably make a lot of noise about how bitcoin is going to dominate all economic systems and no one will use dollars anymore, and no one will use banks anymore. Won’t, and I think it’s actually a bit silly Van Valkenburg said In a Friday interview with the Washington Journal on C-SPAN.

“The fact of the matter is that there are going to be times when a bitcoin transaction will be exactly what you want. Certainly if you are in a repressive state like Nigeria or Belarus then you might find using bitcoin more useful. . In the US, we have a fairly stable banking system. We have the rule of law, we have a fairly well-functioning government. ”

The way bitcoins are used depends on the geographical location of the users. in some countries, Bitcoin (B T c) Is seen as a speculative asset, which is used for trade and investment.

In other areas, Bitcoin can serve as a vehicle of greater freedom, providing users with more flexibility and faster payments, as well as a way out of inflationary problems compared to traditional finance and currency.

“Normally, here in the US, you would probably still use credit cards and Venmo and things like that, but maybe you would like to buy some bitcoins because it would be a way to balance your investment portfolio against the risk of inflation. May., Van Valkenburg later said, referring to the equality of gold in terms of limited supply.

“So maybe, you know, as part of a balanced portfolio that includes other safe investments, you might have a little bitcoin to hedge against inflation,” he said.