Dan Morehead, the CEO of Pantera Capital, one of the first cryptocurrency hedge funds in the US, spoke about Bitcoin and its use case during an interview with BNN Bloomberg. He also spoke the current problems prevalent in the financial system which can be solved by the Bitcoin and other cryptocurrencies.
Morehead started off by speaking about why the cryptocurrency industry is still worth the attention. He stated that the a disruptive technology is categorized as a killer and that “Bitcoin is a serial killer”. Nonetheless, the CEO stated that the cryptocurrency is not “very good” at the moment, but it is great for cross-border money movements. He added:
“It’s great to storing your wealth, especially if you live in a country with a depreciating currency or capital controls very popular. So it’s very good at some things. Now, in over the next decades, it will get into things like buying a cup of coffee, right now, it’s very good at cross border money movement.”
Morehead went on to say that the main use case of Bitcoin was for immigrants working in some other country who want to send money back to their family. He added that using the cryptocurrency is “essentially free” and instant, which is contrary to typical remittance fees.
He further spoke about the problems in the current financial system that Bitcoin and other digital currencies are going to solve. The CEO said that there is a huge friction when it comes to sending money from one place to another, claiming that it is very slow. He added that it would be easier to grab a suitcase of cash and fly to the place as that would be a quicker way to transfer money. However, with Bitcoin, it can be sent within a few second and “essentially” for free.
Morehead continued to say:
“And so that is essentially routing around the payment rails that are very slow and expensive. And that is one way to think about it is the rest of protocols the internet, disrupted commerce, communication, almost everything else in our lives. They didn’t touch banking didn’t touch credit cards, they didn’t touch remittance. That’s what Bitcoin is doing”
Subscribe to AMBCrypto’s Newsletter
Bitcoin’s censorship resistance, freedom make it a game changer in the economic industry
Over the years, the global economic industry has witnessed significant changes. However, no change has been more significant or essential than the one introduced by the concept of virtual assets or Bitcoin. Today, Bitcoin and other virtual currencies are almost as essential as fiat money and despite the fact that digital assets have not reached worldwide adoption, the pace of growth has been substantial.
In a recent panel discussion, Jedidiah Taylor, CEO and Founder of Decent.Bet, the smart contract-based sports betting platform, stated that the idea of Bitcoin and blockchain technology projected a perspective of freedom and honesty which allowed individuals to have direct control over their own capital, without any oversight supervision from financial institutions.
The sentiment was followed by Nico De Jonghe, Founder and CEO of NDJ Investment Group, who added that the threat of decentralized assets loomed the largest over centralized institutions like banks, who were worried of the future prospects offered by Bitcoin and its impact on the long-term financial situation.
Tone Vays, a reputable analyst and Bitcoin proponent, opined and stated that Bitcoin’s biggest strength was the fact that it was completely “unconfiscatable” and that one’s BTC is completely safe if it is protected and secured with attention. The characteristic of censorship-resistant value transfer is also an absolute game-changer for Bitcoin, allowing it to competitively exist in the financial system.
The value of Bitcoin has often been criticized in the past, but its valuation has consistently proven its worth. In fact, Bitcoin has grown by more than 150 percent in 2019.
At press time, Bitcoin was priced at $11,371, with a market capitalization of over $202.18 billion. The staggering valuation of an asset that was unheard of 10 years ago, further underlines the potential of Bitcoin in the current market scenario and for the future economies.
Subscribe to AMBCrypto’s Newsletter