During a recent debate at CNBC, a top investor in the cryptocurrency space claimed that the price of bitcoin could nosedive to zero, with only the underlying technology is known as blockchain being the lone survivor.
Bitcoin, the largest cryptocurrency by market capitalization faced a massive drop in the latter stages of 2018 after hitting a record high in 2017. As per Coinmarketcap nearly $480 billion of value was wiped off from the entire market.
Recently, several experts claim that Bitcoin could drop even further.
During a CNBC-hosted panel in Davos, Switzerland, Jeff Schumacher, founder of BCG Digital Ventures said, “I do believe it will go to zero. I think it’s a great technology but I don’t believe it’s a currency. It’s not based on anything.”
Schumacher is well known as a major investor in blockchain-focused companies.
According to Glenn Hutchins, chairman of North Island, in the debate, he said that in the future bitcoin’s role could possibly be more focused on being a store of value.
Glenn Hutchins statement reads as follows, “It might be that the role of bitcoin in the system could be to bring value back, to hold your value there while you have tokens that have other use cases that you aren’t using at the moment.”
The Chairman of North Island further added, “I am much less interested in investing around bitcoin as a currency unit or a currency equivalent, or even the blockchain as an accounting ledger. I am thinking much more about the protocols. In other words, what is the underlying protocol going to do as a consequence of which, which tokens are valuable or not.”
According to Schumacher, the industry is currently trying to develop “open decentralized systems.” That could possibly turn out to be next-generation infrastructure or protocols that businesses could run on, showing similarities to today’s cloud computing.
Sources close to the matter say that the next generation of blockchain technology has already started being developed.
In an interview with CNBC, Yeung said, “Many developing countries, where just to start with they don’t even have credit cards, there’s no particular infrastructure, it’s almost easier to see sort of blockchain-enabled payments, to see in Asia, you will see more action happening in Asia more than U.S. and Europe.”
According to Ripple CEO Garlinghouse, he firmly believes that blockchain will get a largescale adoption by the next five years, as Schumacher says it shall take three.
Hutchins concluded the interview by saying, “When you send an email out today, you don’t think about the underlying technology you are using … So you can hear us talk about … what protocol, what token, what technology solutions, how many transactions per second, but eventually what’s going to happen if you are going to put something of value in, something of value will come out the other side and you are not going to care what the underlying technology is.”
