November 26, 2020

Deutsche Bank predicts cryptocurrencies will replace fiat by 2030

Deutsche Bank predicts cryptocurrencies will replace fiat by 2030

According to a study by Deutsche Bank, in the next decade the demand for digital currencies will grow steadily, and as a result, they will completely replace cash.

A report by bank strategist Jim Reed describesserious problems faced by the current monetary system, which became more apparent with the advent of bitcoin. In his view, increasing demand for electronic means of payment and anonymity are stimulating citizens to use digital currencies.

Reed points out that in order to be universally recognized, cryptocurrencies need to overcome three main obstacles: adoption by governments and regulators, stabilization of the course and global coverage in the payment market. Collaboration with payment systems and mobile leading mobile applications will further contribute to development.

Despite the overall positive outlook, the strategistnoted that with the transition to a new type of money, new problems will arise. Among the main threats, he attributed the dependence on electricity, cyber attacks and digital wars. Reed also believes that as cryptocurrencies are adopted, the line between the public and private sectors may blur.

Earlier, Deutsche Bank also pointed out that the aggressiveness of central banks makes Bitcoin more attractive.

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