Cryptocurrency Dapat Memunculkan Krisis Keuangan Baru
Metalla Royalty Streaming CEO said that the massive introduction of new technologies in the world of finance is guaranteed to lead to a massive collapse and called digital currencies "the license through which the private sector prints cash".
Brett Heath's company has faced a financial crisis more than once. For example, in 2000, during the collapse of the dot-com bubble, and in 2008, when the lease crisis hit the world. He himself is convinced that all "collapses" connected with finances have one thing in common. As soon as people introduced innovative technology, which at one time was not thoroughly studied, and economic institutions accepted it, the market collapsed.
The director of Metalla Royalty Streaming said that a picture would be formed on the crypto market, reminiscent of the situation among technology companies. It has its counterparts Apple, Amazon, and Google, which turned into corporate giants after the technological collapse. But even reaching their scale, the largest cryptocurrencies in the market will continue to crash.
Brett also noted that in fact, Bitcoin's “limited supply” of 21M coins does not guarantee that it will become a “safe haven” for investors around the world. Heath cites the parallel existence of “10,000 other digital currencies” as one of the main reasons for this. In addition, some of them have meaningful advantages over Bitcoin. As an additional factor for doubt, he mentioned the example of the capitalisation of the crypto market, saying that it is growing “too fast” in such a short period of time, which causes even more suspicion.
Heath warned institutions that when investing in cryptocurrency, they must be clearly aware of the serious financial implications of losing billions of dollars from the balances of their digital wallets.