Do Kwon is facing Interpol arrest after a red notice was issued to locate him over Terraform Labs' collapse.
Tesla issued a recall for various EV models due to an issue with the power windows that may cause an injury.
Beyond Meat discards its chief supply chain officer role after Bernie Adcock decided to leave the company.
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Shinhan Bank and Naver jump into the food delivery biz to compete with the top 3 delivery brands in South Korea.
Macy's department store is hiring 41,000 workers as it prepares for the busy holiday shopping season.
China, the US, and India are expected to bear the brunt of the damage, with costs of $10 trillion, $2.5 trillion, and $850 billion.
Can Bitcoin Become the Global Reserve Currency?
Some Bitcoin experts and enthusiasts see a future where Bitcoin will become the global reserve currency. Find out whether this is likely to happen below.
A simple search on the internet yields many results making different predictions of Bitcoin. One of these predictions is that Bitcoin will eventually become a global reserve currency. Various articles raise arguments and factors to support this general view. It is good to try to predict the future of Bitcoin as it is now becoming a global phenomenon.
You are likely to be familiar with the term 'Bitcoin.' You may also be more conversant with the Bitcoin phenomenon. Whether or not you are well-versed in Bitcoin, you will appreciate that it is the largest cryptocurrency today. As a cryptocurrency, Bitcoin is a decentralized digital currency that you can use in typical transactions like buying, selling, and trading.
As a decentralized virtual currency, Bitcoin isn't subject to the control or governance of a central entity, whether it is the central government or individual users. To understand this, you first need to understand the centralized fiat currency like the U.S. dollar. A central authority controls fiat currency, mainly central banks or other commercial banks. For example, they can determine the amount of U.S. dollars in circulation. And this is not the case with Bitcoin.
Understanding Reserve Currency
Central banks and other major monetary institutions hold a reserve currency in large quantities. These financial and economic institutions have a particular reserve currency for international transactions and investments. An excellent example of a reserve currency is the U.S. dollar. If you want to read about bitcoin financial reviews, news, and crypto comparisons, you may visit stockhax.com website.
For a currency to become a reserve currency, it has to be available in large amounts. Otherwise, the central banks and other monetary institutions will not have enough of it to hold. Additionally, the reserve currency must be internationally acceptable and usable for international transactions and investments.
Bitcoin Becoming Global Reserve Currency
So, can Bitcoin become the global reserve currency having considered the basics?
The obvious answer is that Bitcoin can become the global reserve currency. Bitcoin is globally available, used, and accepted. And this means that it has the international appeal or mandate to become the global reserve currency. Although Bitcoin is not available or used in some countries for various reasons, this does not undermine its worldwide reach and stature.
Countries like China have demonstrated the possibility of the world accepting and adopting cryptocurrencies as good assets and currency. China recently introduced its digitized version of the national currency. The digital Yuan is now a reality that has drawn much from crypto technology. The example of the digital Yuan shows that with some more regulations, Bitcoin can become more globally accepted as a reserve currency.
One of the main issues challenging the possibility of Bitcoin becoming the global reserve currency is its decentralized and unregulated nature. A global reserve currency should have some degree of control and governance system. But this argument fails to consider the increasing trend in regulations for Bitcoin use by different governments. These regulations will not interfere with the Bitcoin protocol but will probably check how people use Bitcoin.
Some Steps Already in Place
A recent announcement by Terraform Labs, a crypto platform based in Seoul, that it intends to accumulate $10 billion in Bitcoin to support its stablecoin clearly shows the possibility of Bitcoin becoming the global reserve currency. So far, Terraform Labs has amassed about $1.7 billion worth of Bitcoin. With such steps, Bitcoin becoming the global reserve currency is a matter of time.
Bitcoin can become the global reserve currency. If the recent developments and increasing popularity of Bitcoin are anything to go by, then it is only a matter of wait-and-see.
This article does not necessarily reflect the opinions of the editors or management of EconoTimes
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