While the crypto industry was first thought to be a disruptive innovation for the financial sector only, the Bitcoin and the blockchain technology are impacting the way many other businesses are run in various activity sectors. Among the top three industries that Bitcoin is transforming, you can find the entertainment, the banking and the gambling industry.
If you haven’t invested in the crypto-market yet, and you want to take part in this monetary revolution – it’s not too late! And there are different ways you can take advantage of this market. You can either buy crypto-currencies through an exchange to own the tokens and keep them in a wallet, or you can take advantage of the market volatility through CFDs via a regulated broker like easyMarkets without owning the tokens.
Christine Lagarde’s views on the crypto-sphere could be a game changer for the development of the crypto-industry
The actual Managing Director of the International Monetary Fund (IMF), Christine Lagarde, will soon become the President of the European Central Bank (ECB). Many analysts and investors are therefore wondering if the ECB will support Bitcoin, as Lagarde is definitely bringing a different approach that could lead to a more Bitcoin and crypto-supportive legislation.
Unlike previous ECB president, Mario Draghi, Christine Lagarde had made several statements that were positively interpreted by the crypto community. Speaking to CNBC, the IMF Managing Director said that cryptocurrencies are “clearly shaking the system” and that the blockchain is an “exciting progress that could help revolutionize areas beyond finance”.
A blockchain provides a decentralized technology to share information and transfer digital assets in a quicker, safer and more transparent way. As the blockchain is a shared real-time database with confirmed and encrypted entries, it is impossible to change or delete any transactions that have been confirmed and added to a block.
Digital currencies are currently treated the way personal computers were before they were massively adopted
As the number of international companies showing interest in cryptocurrencies is growing (Facebook, JP Morgan, Fidelity, etc.), Christine Lagarde’s vast career experiences is providing her with fresh insights about the necessity to help multi-billion-dollar institutions to embrace cryptocurrencies in a more regulated and secure way.
It’s thus increasingly important for institutions like the ECB to provide a framework for these companies to interact with digital assets, as it is necessary to exploit crypto-assets potential, while ensuring that “they never become a refuge for illegal activities, or a source of financial vulnerability”.
Should companies, governments and international institutions completely ignore digital currencies? That would be a mistake according to Lagarde, as they are definitely part of our world. She even compares crypto-currencies potential success to personal computers’ one: “not so long ago, some experts argued that personal computers would never be adopted, and that tablets would only be used as expensive coffee trays. So I think it may not be wise to dismiss virtual currencies”.
In 2017, she declared that “the best response of central bankers [to this disruptive technology, as well as the rise of digital tokens and assets] is to continue to conduct an effective monetary policy, while remaining open to new ideas and demands as economies evolve”.
Largarde’s interest and openness to the blockchain technology and crypto-assets are definitely a positive aspect for the crypto-industry, as it could help crypto-currencies to be massively adopted.