During a debate that focused on the future of blockchain technology – the underlying tech of Bitcoin – a top investor in the digital currency space told CNBC that the value of Bitcoin (BTC) could nosedive to zero.
The digital currency market was controlled by the bear last year. The valuation of the entire market declined by more than $480 billion. After testing its all-time high, the world’s most dominant digital currency plunged dramatically.
Bitcoin (BTC) Could Decline Further
Some experts believe that the value of the digital currency could plunge further. While speaking at a panel hosted by CNBC in Davos, Switzerland, Jeff Schumacher said, “I do believe that Bitcoin (BTC) will go to zero. I think it is a great technology but I don’t believe it is a currency.” Jeff Schumacher is the founder of BCG Digital Ventures.
Jeff is a major investor in blockchain-based firms. During the debate, the chairman of North Island – Glenn Hutchins – said that the role of Bitcoin (BTC) in the future might just be a store of value.
He added that: “It might be that the role of the digital currency in the system could be to bring value back, to store your value there, while you also have tokens that have several use cases that you are not using at the moment.”
Other experts among the panelists include the CEO of Ripple Inc. – Brad Garlinghouse – and Edith Yeung – 500 Startups Partner. Hutchins and some other panelists said that their major focus as investors is on blockchain – which is the underlying technology of Bitcoin (BTC).
Hutchins said: “I have very little interest in investing around Bitcoin (BTC) as a currency equivalent or a currency unit or even the blockchain as an accounting ledger. I am much more interested in the protocols.”
The adoption of Blockchain Technology
Blockchain’s next generation is currently under development. Yeung said that she sees the adoption of blockchain technology increasing rapidly in the area of payments, especially in Asia. Yeung told CNBC that a lot of developing nations, where they don’t even have credit cards, there is no infrastructure, it is easier to see sort of blockchain-based payments.
The CEO of Ripple Inc. said that he expects more global adoption of the technology within the next five years. Whereas, Schumacher strongly believes that the technology will see widespread adoption within the next three years.
Nevertheless, Hutchins said that in the end, users won’t be talking about the blockchain being used. What they will be talking about is how good the use case of the product is. Hutchins added that when you send an email today, you don’t think about the technology behind the emailing platform. So you can hear us talk about what protocol, what technology solutions, what token, how many transactions can it process in a second. But ultimately, you’re going to put something of value in it, something of value is going to come out at the other end, and you will care less about the underlying technology.
Bitcoin (BTC) Price Today – BTC / USD
Bitcoin (BTC) is currently trading at $3,531 after a decrease of about two percent over the past twenty-four hours. The digital currency currently has a market cap of $61.77 billion and its trading volume over the past twenty-four hours is $2.61 billion.