Adena Friedman, President and CEO of Nasdaq on January 20 made a publication titled “New chapters in innovation and disruption will be written in 2019”. The CEO’s opinion based on the details of the document is that cryptocurrencies will have a role in the future. Moreover, they have the potential to become the global currency in some years to come.
Comments Made Towards World Economic Forum
In preparation for the World Economic Forum at Davos, Switzerland which was scheduled for today, Friedman like many others has made comments towards the future of modern technologies in the global economy. Among these are virtual currencies which she says, have the potential of becoming the global currency in the future.
Friedman also acknowledged that Bitcoin has taken the world by storm and generally, the invention of virtual assets is remarkable. That being the case, the CEO said they deserve to find a sustainable future in the economy. She also revealed that 2019 will be another year for cryptocurrencies to prove their worth.
CEO Says Bitcoin is in its First Invention Lifecycle
Furthermore, Friedman noted that digital assets are in the first phase of the invention lifecycle. This is lifecycle with stages like the early pioneers, the hype, rapid increase in the number of new investors, and finally having to deal with reality. In the case of the latter, the CEO said there are two possible outcomes.
The first, in her opinion, is the possibility for these currencies to get a real-life application and “sustainable commercial progress and integration into the economic fabric”. The second likelihood is a failure of this invention leading to the limited adoption of cryptocurrencies as a medium of exchange.
Regulations are Required to Bring About Practical Use
On the other hand, Nasdaq’s CEO believes for these assets to have a practical use, governance and regulations may be required. The same is said about their level of impact which will be dependent on the evolution of regulations. But then, these may go against the aim of developing them in the first place, which is to make them decentralized without central control or regulations.
Focus has also been given to virtual currency exchanges. According to Freidman, they require transparency and fairness in order to foster trust among investors. She also outlined that this trust can only be brought about by “some level of oversight and regulation.”
While many like Huw van Steenis, the Senior Adviser to Bank of England’s (BOE) Governor are pessimistic about Bitcoin’s future, others like Friedman are optimistic about its future. An instance of this was reported by BTCNN on January 22, that the United Nations believes Blockchain and cryptocurrencies are frontier technologies that can bring about sustainable development.