In five years’ time, fiat is no longer going to be of any use Bitcoin and other cryptocurrencies replace it. That is according to one of the renowned Bitcoin millionaires and venture capital investor Tim Draper who was talking with Forbes at the WebSummit conference in Lisbon.
Communicating his perspectives on where he sees the crypto market, he stated:
“People will laugh at you if you are still using fiat in 5 years. cryptocurrencies, Bitcoin particularly will become so relevant that fiat will be no longer of any use.”
This is clear by the fact that he acquired 30,000 bitcoins amid a government auction of assets seized from a darknet market Silk Road in 2014. At the time, those coins were worth $20 million. Today, they are esteemed at over $214 million.
Bitcoin has gained unprecedented highs in 2017. Over the last couple of weeks, the money has surged to above $7,000. It was within touching distance of $8,000 at the news that the SegWit2x had been suspended.
Staying positive about the fate of digital money, Draper trusts that the fiat framework will, in the long run, vanish as individuals look toward coins like Bitcoin or Ethereum. As indicated by him, they remain reliable stores of significant worth compared to fiat. His thinking behind this is that fiat monetary standards are bound by national borders. For instance, he refers to the Nigerian Naira, which drops 30 percent when a man crosses the border.
While this might be the situation, there are countless altcoins in the cryptocurrency market. CoinMarketCap puts that figure at 986 which have a market esteem. New ones are continuously being made, which are all claiming to give another answer for out daily life payment solutions. Regardless of this, however, the extensive number of digital money in the market isn’t stressing Draper. Actually, he conceives that they will inevitably all cooperate at some stage.
They’re all going to interrelate … and there will be trade rates for every one of them. My figure is that it will unify around a wallet that you have, and when you pay for that Starbucks, your wallet will advance to whichever cash has the most value.
It remains to be checked whether and when that happens, however from somebody who has been involved in cryptocurrency trading and has led interests in prosperous organizations, for example, Twitter, Skype, and Tesla, Draper might be on to something.