Crypto assets and block chains have long had ambiguous uses.
Some say that this industry is well suited to replace traditional institutions such as governments and financial service providers. Others say that the sole purpose of blockchain is to increase the efficiency of modern companies, which may or may not need to accelerate their supply chains.
Unfortunately, many of these applications have not been used for crypto money bulls.
The protocols for decentralized financing (DeFi) are exposed to many hacks every year, while public block chain technology has so far been used only to a limited extent in the business world. This is despite many pilot projects by large companies.
Related reading: Crypto delicacies: Bitcoin nears $10,000, Goldman Sachs speaks crypto currency, Chinese yuan falls
Although a prominent investor says that a use case for cryptotechnology has never been stronger than now.
Twitter & social media are coming under fire – and that’s good for Crypto
The last few days have been tough for Twitter and other social media platforms.
Twitter recently identified an election-related tweet from President Trump as something that should be checked for its facts. Some have praised this move, while others have denied it.
However, President Trump saw this as a sign that Twitter and other platforms have “uncontrolled power”.
He then signed an implementing regulation for social media sites, which aims to lift some of the legal immunities that these platforms enjoy as a medium of free expression.
According to Su Zhu, this is a trend that will dramatically help the Web 3.0 use case of Crypto, which was popular in 2017/2018. The CIO of Three Arrows Capital commented on this topic:
“With the recent politicization of Facebook, Google and other Bigtech social media giants, the Web3 thesis for cryptography has never been so underestimated as it is now.
With the recent politicization of Facebook, Google and other Bigtech social media giants, the Web3 thesis for cryptography has never been so underestimated as it is today.
– Su Zhu (@zhusu) May 29, 2020
It is assumed that the introduction of decentralized mechanisms of value and software transfer in block chains could lead to an increase in decentralized social media platforms that are not managed by a central actor.
Not the only geopolitical trend showing crypto-currency makes sense
The ongoing dispute between social media platforms and the White House is not the only geopolitical and macroeconomic trend that shows that crypto makes sense.
Raoul Pal – CEO of Real Vision and former CEO of Goldman Sachs – has recently started to postulate that the ongoing recession may be the last of the Fiat system.
He explained that due to structural risks in the fiat currency system and the way the global economy deals with debt, the US dollar could “break”.
For him, Bitcoin and crypto assets are the logical progression from a world in which the power of fiat currencies is dwindling. He explained this in a recent newsletter:
“When I look into the future, I only see the potential risk of failure of our monetary system itself or, less dramatically, of the current financial architecture. Bitcoin is the call option in the future system.”
Related reading: This eerily accurate fractal predicts that Bitcoin will shoot up to $20,000 in 2020
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