Cryptocurrencies set to compete with or replace fiat currencies
The audit firm Deloitte, a member of the “Big Four”, has just published the results of its annual study on blockchain. As part of this survey, the British multinational interviewed more than 1,000 finance professionals residing in different countries, including the United States, China and the United Kingdom. The survey was conducted between March 24 and April 10, 2021.
76% of financial professionals surveyed believed that cryptocurrencies, like the staple Bitcoin (BTC), will emerge as “a solid alternative or outright replacement for fiat currencies over the next 5-10 years.”
A recent study by Finder.com supports the same point. According to the panel of cryptocurrency experts interviewed, Bitcoin will replace fiat currencies in the next 20 years.
For 81% of those contacted by Deloitte, blockchain technology and digital assets have already become mainstream. Experts believe that cryptocurrencies have already been widely adopted by the general public.
Digital currencies are considered a real asset for most professionals in the financial industry. 73% of respondents assure that “their company will lose a competitive advantage if it does not adopt blockchain and digital assets”. In addition, 80% of experts expect cryptoassets to generate new revenue streams in their respective industries.
A survey carried out by the agency Fidelity Digital Assets corroborates the attractiveness of investors for digital currencies. According to the survey, 90% of institutional investors plan to own cryptocurrency by 2026. In addition, 98% of hedge funds aspire to invest in cryptocurrencies, shows a survey by Intertrust Group, a management company Dutch.
👉 Read also: Deloitte unveils its new “Blockchain in a Box” platform
The risk of hacking is one of the main obstacles to the adoption of cryptocurrencies
Deloitte also questioned financial professionals about the barriers to the adoption of cryptocurrencies. According to 71% of respondents, the risk of hacking is one of the biggest obstacles to the massive use of digital currencies.
Indeed, it is not uncommon for hackers to manage to steal assets by exploiting a security flaw in a protocol. Recently, a hacker stole more than $ 600 million in cryptocurrency from Poly Network.
Fortunately, he agreed to return the funds. This is not the case with the hacker who attacked Popsicle Finance. By exploiting a bug, the hacker stole $ 20 million from the decentralized yield farming platform.
Computer security is not the only obstacle mentioned in the study. 62% of respondents say that the existing financial infrastructure is also blocking the adoption of cryptocurrencies. Finally, 63% of the individuals questioned point to the barriers put in place by the regulators.
👉 Also read: Study reveals the most common mistakes of cryptocurrency investors
Receive a recap of crypto news every Sunday 👌 And that’s it.
What to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliate. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and cannot be held responsible, directly or indirectly, for any damage or loss caused as a result of the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers should do their own research before taking any action and invest only within the limits of their financial capacity. This article does not constitute investment advice.
About the author: Florian Bayard