- Double-digit gains in top altcoins like Ethereum, Binance Coin and XRP have led to an increase of $1.1 trillion in the overall crypto market capitalization.
- A recent poll taken mainly by banking executives revealed that Bitcoin and altcoins could replace fiat currencies in the next five years.
- Greece’s former finance minister, Yanis Varoufakis, recently stated that Bitcoin cannot and will not replace fiat money.
A large majority of banking executives think that Bitcoin and altcoins are broadly scalable and have reached mass adoption.
“Hyperbitcoinization” expected within next five to ten years
Cryptocurrencies made a significant comeback from the drop observed in May 2021. A trillion dollars were added to the cryptocurrency market capitalization in just July 2021.
The second leg of the bull run is being led by Bitcoin, with its price above $50,000 once again. Altcoins like Ethereum (ETH), Binance Coin (BNB), Cardano (ADA) and Ripple (XRP) have followed Bitcoin in a race to the top, sparking talks of “Hyperbitcoinization” among traders and the crypto community.
A poll of mostly banking executives revealed that most of them think that Bitcoin and digital assets like Ether, BNB, ADA and XRP hold the potential to replace fiat currencies like the US dollar within the next five to ten years. The shift is described as “seismic.”
Linda Pawczuk, leader of Deloitte Global Cloud, states:
We uncovered several findings that illustrate a seismic shift in financial services resulting from the evolution of blockchain-based digital assets.
In their recent report, Deloitte revealed that 76% of finance professionals think that Bitcoin and crypto could serve as a replacement for fiat currencies in the next five to ten years. The report reads further:
The future is happening right now; participation in the age of digital assets is not an option; it is inevitable.
Against the bullish outlook of banking executives that Deloitte interviewed, Greece’s former finance minister, Yanis Varoufakis, said,
Given its fixed supply and given the fact that there is no democratic mechanism to determine who gets [what] and how many Bitcoins, it creates a kind of feudalism run by the early adopters of Bitcoin. Central bank cryptocurrencies, digital money is the way to go. That would kill more than two birds with one stone.
Varoufakis’s views are similar to those of the International Monetary Fund (IMF); however, recent developments and polls have revealed that banking executives have accepted that “Hyperbitcoinization” is coming and are waiting for their organizations to embrace it.