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Umar Farouk, head of the cryptocurrency division of JPMorgan Onyx, compared the current level of development of the cryptocurrency market with the music streaming industry in the 90s.
“In the 90s there was a thing called Napster. She was clumsy. Not everyone could use it. And 20 years later, you have Apple Music and Spotify. I don’t think we would have made it without Napster. We live in the era of Napster. We just don’t know what Spotify looks like. So I think cryptocurrencies will remain. I just don’t know in what form,” said Umar Farooq.
He noted that the rate of innovation in the field of cryptocurrencies is “dizzying”. Onyx is constantly contacted by clients who are interested in working with cryptocurrencies. According to Farouk, the industry has already survived the era of the “Wild West” and has now become an established industry, attracting more and more users.
“Bitcoin has been around for a little over a decade. The first few years dragged on for a long time, then the industry began to catch up. Companies are constantly creating new blockchains and solutions that shape ecosystems,” Farouk added.
The head of Onyx believes that in 2022, cryptocurrency technologies will become more and more relevant for financial services. Earlier, a JPMorgan analyst expressed the opinion that a decrease in volatility will enable bitcoin to reach $73,000 in 2022, and in the long term, $146,000 “promised” at the beginning of last year.
Former CEO and co-founder of Bitmain Technologies Jihan Wu believes that only 5% of cryptocurrencies may remain on the market, but they will show significant growth. He believes that the capitalization of the cryptocurrency market will reach tens of trillions of dollars.
According to the payment service Mercuryo, more than 50% of British companies see cryptocurrencies as a competitive advantage – customers of more than a third of the firms surveyed wanted to pay for goods or services with cryptocurrencies. Analyst firm Fitch Ratings believes that stablecoin issuers will face many risks before integrating into the financial system.
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