Please write down your thoughts after reading the paragraphs ie. agree or disagr
ID: 2820734 • Letter: P
Question
Please write down your thoughts after reading the paragraphs ie. agree or disagree and why? (Min 5 sentences 150 words + )
The one thing that has definitely changed is that the price of Bitcoin has gone up, showing that the speaker was at least partially correct. I don't think that the current financial institutions will dissolve just because of cryptocurrency, but rather that they'll co-opt the concept. Finance is too big of an institution to fail that quickly, but I have no doubt that business will come up with novel ways to use bitcoin. The concept simply has too much promise to be ignored. The possibility of truly independent currency has the possibility to expand financial services to people who have no access to them right now.
Aside from that, cryptocurrency has the possibility to provide anonymous transactions in a world where privacy is being invaded on every side. Ignoring the common person, I'm certain that there will be a lot of Bitcoin usage by criminals. Rather than trusting the financial system with their money, the average person will be able to rule their own money, and use it as they see fit. Bitcoin can be transferred for free, and sent to anyone in the world. In addition to that, everyone can create their own cryptocurrency, further speeding adoption.
Explanation / Answer
I agree with the notion being presented here. Going forward the use of cryptocurrencies and bitcoins will only rise but this rise will not negatively affect the present day financial institutions and banking institutions in any manner. The conventional financial and banking institutions are a crucial part of any economic system and people and organizations will always be dependent on these institutions. People will continue to use banks to make deposits, take car loans, home loans etc. Companies and organizations will continue to use banks to take corporate loans to fund their expansion.
While banks and financial institutions will continue to hold their fort alternative currencies and payment modes will also emerge and witness increased acceptability and usage. These alternative methods are more convenient and easy to use and hence will witness increased usage going forward especially in areas where people do not have access to conventional banking services. But these new technologies, currencies and payment modes will not (in fact never) dissolve current financial institutions.
(166 words)