The best bet for investors says one Wall Street trader. Bart Smith, a member of Susquehanna International Group, gave his opinions on CNBC this week. He said that Bitcoin is the currency of the internet and is still the best bet for crypto investors as people are “functionally using” it. By market cap, Bitcoin is the largest cryptocurrency but has been under pressure as regulators try to determine how it should be used.
Now the Noble Prize winner, Joseph Stiglitz said in an interview recently, that authorities will bring down the hammer on Bitcoin. Although we see the points that Mr Stiglitz brings to the table, we feel that his views are a bit dated, as he puts to much emphasis on the misuse of digital currencies.H His comment, “if you open up a hole like Bitcoin, then all the nefarious activity will go through that hole, and no government can allow that.”
We understand the different views on Bitcoin and other digital currencies, especially the growing concern about usage by organized crime and illicit drug merchants. However, the reason regulators have become more aggressive is to drive criminals out of this market, making way for a wide range of global investors who trade a variety of other products.
In other comments he said, “I`d like to see us move more toward an electronic payments (system) but you do not need Bitcoin to do that.” He also spoke of the advantages of the United States moving to a digital currency so that it would have the ability to trace certain kinds of corruption.
We at Classiarius are of the view that although some Nobel-winning economists take a view, they may be focused on short-term negative impact and coins that may fade out in coming years. And that brings us to the next generation coins or new blockchain platforms. We could see 1,000 of these coins collapse and a rotation of investments to more secure technologies.
The coins aside, the public ledger technology underneath – blockchain – will change our daily lives in ways we cannot imagine. We look at it this way – in 1993 and 1994, no one say Facebook and Twitter coming, right?
(we do not give trade ideas but enjoy identifying new 3 month trends and new technologies).