Cryptocurrencies Vs Fiat money

Cryptocurrencies will replace fiat by 2030, according to a study by Germany’s largest financial conglomerate Deutsche Bank.

One of the reasons for the emergence of cryptocurrencies was the presence of intermediaries between the sender and the recipient. Financial institutions control all fiat transfer nodes from sending and forwarding to delivery to final hands.

Cryptocurrencies are global, decentralized currencies that are mined primarily through mining. There are no geographical or political boundaries for them. The first and largest digital currency today is bitcoin.

Cryptocurrencies are not currently legal tender. Moreover, the regulators of most countries are still wondering which side to approach them and how to consider them: currency, securities or goods.

Increased public demand for dematerialized means of payment and anonymity will contribute to the spread of digital money, the author of the report, Jim Reid, is sure. According to him, the massive introduction of cryptocurrency will face a number of obstacles. The expert called the legalization of digital money by the government of the countries the first of them.

According to Reid, this problem can be solved if crypto projects are partnered with large companies, so virtual currencies will begin to appear on the mass market through, for example, mobile applications.

Reid also mentioned the dependence of the crypto industry on electricity. As digital money spreads, the need for mining will increase. Since countries have different conditions and prices for electricity, the adoption of virtual currencies will slow down, the expert noted.

Another obstacle is the vulnerability of cryptocurrencies to cyber attacks, says Raid. He suggested that states would not legalize digital assets while they threatened the financial system. This was one of the reasons why the European Union banned the use of stablecoins on its territory yesterday, December 5th. The EU Council explained that approval of the turnover of such currencies is possible only after the identification and elimination of all legal and regulatory risks.

Such prominent figures of modern business as Jack Dorsey, the head of Twitter, as well as co-founder of Apple Corporation, Steve Wozniak, express the hope that in the next decade, Bitcoin has every chance of becoming, if not the only global payment instrument, then the native currency of the Internet for sure.

Benua Kere, a member of the board of the European Central Bank, also spoke about replacing traditional money with virtual. According to him, cash is rapidly losing popularity, but the solution to this problem will be the launch of a single digital system by the European Union, scheduled for the end of 2021.

At the moment, there is a kind of compromise — hybrid currencies, where the cryptocurrency is tied to the fiat exchange rate.

MTCore Hybrid Currency

By creating a form of Hybrid Stablecoin linked directly to a fiat currency, MTCore can assure investors that not only their digital currency has pure economic value, but that any future investment in real estate projects remains viable in the long term.”

MTCore operated and further supported by a financial investment equity portfolio to maintain real worth and financial growth.”

To ensure absolute fairness in coin value, MTCore as a company does not hold any reserves and therefore cannot manipulate price or create any form of pump ‘n dump or lobbying among users to create sharp price increase or devaluation.

The most innovative use of mining through software using a democratic system means that everyone utilising the MTCore has the same advantages and user protection.