- The collapse of the current financial system could give rise to more blockchain and crypto adoption
Yu Jianig, Huobi University Principal, declared that the current financial crisis could lead to a blockchain boom. Specifically, he said: “Without the financial crisis of 2008, there would be no birth of bitcoin and again without the financial crisis of 2020, there will be no prosperity of blockchain.”
Essentially, if the current global recession leads to a total financial collapse and depression, there will be numerous opportunities for new financial companies to grow, and crypto and blockchain technology could give those new companies a competitive advantage. Therefore, the current financial crisis could greatly enhance the long-term adoption of blockchain and crypto.
Indeed, this is similar to how forest fires work. A forest fire burns down all of the big trees and the thick undergrowth in the forest, paving the way for brand new trees and plants to start growing. In the same way, the financial system ‘burning down’ opens the door for new technologies like crypto and blockchain to flourish.
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