German bank sees digital currencies going mainstream in two years


As we dive into this new decade, so many dramatic events already occurred in the world.
Central Banks are starting to act as a united front analyzing the idea of a Central Bank Digital Currency (CBDC) that could slowly replace fiat money while attracting the younger generations who are known to prefer the digital alternatives.
Further on, ideas such as stablecoins backed by gold came along and now the prospect of a digital currency that could go into mainstream is on people’s minds.
Deutsche Bank has been making several reports to examine how cryptocurrencies can be beneficial for our present-day societies.
The last report issued, being the third one so far, is working around the idea that even though cryptocurrencies have been around for a decade, they could have the potential of entering the mainstream audience soon.
This would mean that the traditional financial space and the banking environment could totally change into something else taking some power from the banks and giving more control to the final user.
The German bank’s report examines the fact that with China’s initiative to issue a digital yuan and Facebook’s Libra project, more than half of the world’s population will then have access to digital currencies making them available to 1.5 billion Chinese and 2.5 billion Facebook users.
Although the first two reports highlighted points that indicate cryptocurrencies may be too volatile to be used as viable means of payment or as real stores of value, digital currencies will soon become accepted payment methods since they can bring together the convenience of electronic payments with the privacy of cash.
What is now 50 million blockchain wallets could become more than 200 in the next decade if cryptocurrencies continue to be adopted by more and more people. 3,600 bank clients were surveyed as part of Deutsche Bank’s research and many members of the older generations expressed they never held cryptocurrencies, nor they understood their purpose.
On the other hand, members of the younger generations that were surveyed mentioned that they’ve already traded cryptocurrencies and they do believe that digital currencies can be beneficial for the economy. Will digital currencies go into mainstream in the following years?

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