The mainstream media have not been flattered by Bitcoin and cryptocurrency in recent years. Vitriol and FUD are making headlines, but it's largely based on ignorance of technology and its ethos. The industry giant Bloomberg will finally warm up on Bitcoin, but others will follow.
Bloomberg Bigs Up Bitcoin
Bitcoin seems to have begun its correction after a rally that has contributed nearly 270% to its price since the beginning of the year. The big names in the mainstream media devote larger slots to BTC and his brothers than the crypto-winter has thawed. Finally, in a recent Bloomberg opinion article, the outlet admitted that crypto will stay here.
The obvious question is: If Bitcoin was just a bubble at first, why did it jump back in this way? The answer is that some kind of cryptocurrency will probably stay here.
The report further suggests that the recent US trade war in the US may have been linked to epic but volatile bitcoin over the past couple of months. In addition, China will not liberalize and continue its capital controls. These could be factors that cause people to use Bitcoin, which is still technically prohibited in the People's Republic.
The second reason that Bloomberg believes Bitcoin is here today has something to do with the stringent tax laws in the US. With the proposed wealth taxes, the rich will look for offshore deals whose value can not be touched by gluttonous governments, and BTC fits in perfectly with that bill.
Facebook's Libra project was also cited as an incentive for Bitcoin. Of course, a billionaire and a bunch of US technology monopolies controlling a global currency is not a good scenario, but it will introduce the concept of crypto transfer to millions of people who might otherwise have never tried.
Escalating economic tensions
An increase in populism and a worsening of geopolitical and economic tensions around the world could cause people to look for safeguards against their own, looking for heavily manipulated fiat currencies. Again Bitcoin is the clear solution. Gold prices are a clear example, as they have reached a six-year high as the greenback loses value around the world.
What the author did not add was the heightened interest of institutional investors. Big investment companies like Fidelity and Grayscale have just started, and Bakkt is also on the way to making it safe to enter the scene. These funds will be recharged with Bitcoin and Krypto to provide their institutional customers with liquidity and competitive products.
Rounding off the article once again confirms that the financial space is changing and crypto will be a very large part of the future.
If we have found it hard to recognize the reliability of the crypto space, it is because we are not used to thinking of a future that is fundamentally different from the present. But these futures – at least for financial institutions – now seem to be closer than ever.
Will Bitcoin ever make it as a global currency? Add your thoughts below.
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