For a decade after the 2008 financial crises we saw the rise of the cryptocoins first as a bubble pumped up by the disbelief in the financial institutions than as a resurging force and a hedge against the new political instabilities of the world economy. The cryptoworld represents a technological revolution and as such an existential risk for the big players and the traditional banking system. When we think that a bank in essence is a very fragile business model based on the simple belief that the general public allocates to that bank, and to the monetary system in general we can understand the risk that bitcoin and other cryptos represent to this model. We as forex traders know that bitcoin doesn’t represent just a challenge to the financial institution on itself but also to the system of the USA dominance in world affairs as the dollar is just a tool that the USA uses to dominate the modern world. The fall of the dollar from global domination represents on itself the fall of the USA power on the global affairs and the monopoly that the USA has on the modern banking system where the US banks control every aspect of it. With the creation of the Bakkt traditional financial players are officially entering the game of the crypto world. And the price of Bitcoin immediately went down building the market structure for the future accumulation from the banks wich would not just pretend to be a normal player but would aim to create a total monopoly of the cryptoworld. But what can happened ? what to expect in the future ? There are some truths that are difficult to change: First : Technologies change the reality we live in and a technological revolution like blockchain is unstoppable. The US, China and Russia are unable to stop such a revolution, Wich country chooses to fight against it will surely loose. The future is with the country that would control all the aspects of this new technology without putting in doubt the control from the regular joe of this cryptocurrencies. Second : As long as the United States is the unique world superpower the dollar remains the KING. The true strength of the dollar is the military superiority of the United States not the politics of the fed or the strength of the US economy. This is why the USDT is so important because it represents the bridge between the new and the old world. We don’t now for sure what would happened with Bitcoin, Etherium or Litecoin we can only make educated guesses about them but what we can expect is that the USDT as the principal stablecoin or any other coin that in the future would be linked to the USD, can only rise.
@alanmasters, Thanks you my friend, i really value your opinion.
APLTD
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Nice article!
I have mentioned that whenever the opportunity of institutional money to enter crypto climate arrises, the more hype around it occurs, just like when CME futures were about launch or ICE Bakkt.
However, people are optimistic and ethusiastic about it so they tend forget that institutional funds are also sourced by banks, who are not really willing to share the pie with cryptocurrencies.
In the end, the futures platform opens (CME, ICE) and the price goes down despite any expectations.
Blockchain and crypto like any other pioneering technology is going through the challenging time, but it's just the path it must go through. "Per Aspera Ad Astra" I suppose.
Cheers!
ZoroCapital
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@APLTD, Good quote for Bitcoin :) - "through hardships to the stars", Cheers.