A five-year crypto plan: here’s what we can expect
Mike Rymanov, DSX Technologies: fintechs must stop squabbling with the regulators
Since its inception in 2009 crypto has had a turbulent but lucrative existence.
Its $200 billion valuation and evident success is partly due to the bolshy fintech firms uprooting this legacy sector with shiny new initiatives. And, while the advent of crypto has caused conflicts along the way, cryptocurrency remains an enticing investment option.
So what exactly does the future hold for crypto? Here’s my thoughts:
- Tech brands will try their luck at crypto
This year alone we’ve already seen two tech giants eyeing up the sector. Samsung is set to launch a crypto wallet and Facebook is reportedly developing crypto services.
Over the coming years, more consumer-facing tech giants will follow suit as they attempt their hand at crypto. Their interest in crypto signals a wider shift in consumer perceptions from it being a scary unknown to a viable investment option.
However, whether these firms can succeed in entering the space is yet to be seen. They will have to get past the regulator’s close guard and prove their involvement is legitimate before we can see any real progress.
- Industry collaboration won’t be far fetched
While I’m aware this may sound very optimistic, I believe we will also see collaboration between regulators and those who understand the market best: developers, investors and cryptocurrency entrepreneurs.
Stubborn fintechs are currently under the assumption that playing nice with regulators will slow down their progress. But they’ll soon realise that dragging their feet will actually do more harm than good, preventing any real long-term industry change. This will lead to their cooperation with regulators to create a more level playing field that still benefits them, just not at the expense of everyone else.
- Bitcoin will become an increasingly enticing investment option
Due to its infancy Bitcoin doesn’t yet have the same recognition as traditional fiat currencies. This means that it’s at the helm of the broader financial market and inevitably suffers from big swings in its value.
But as it matures over the next few years it will gain greater recognition. Its swings in value will be replaced with consistency. This will change the face of crypto – making it an accessible and enticing option for both corporates and consumers.
Ironing out existing conflicts first
No one can dispute the lucrativeness of cryptocurrency when it has a $200 billion price tag attached. And with tech giants already looking to make their mark on the sector, there’s no doubt that more brands and consumers will want to stake their claim in the market.
But fintechs must stop squabbling with the regulators for real progress to be made. They must take stock and consider how they can collaborate so that future success is guaranteed. Only then can we take crypto to the next level.
By Mike Rymanov, founder of Digital Securities Exchange (DSX)
