After experiencing crazy soaring, hype, horror bans and pressures, when will digital cryptocurrencies enter the mainstream public life?
Recently, the Litecoin Foundation, one of the mainstream cryptocurrencies, acquired the equity of German WEG Bank and set the first case for the acquisition of traditional financial institutions by mainstream currency. It opened up a new imagination space for cryptocurrency to enter the mass market. Will the Litecoin debit card and the Litecoin credit card come to the world soon?
In 2011, Charlie Lee was inspired by Bitcoin (bitcoin currency) during his tenure at Google, and developed Litecoin based on it. With the brotherhood of “Bitcoin is gold, Litecoin is silver”, Litecoin once was the second largest cryptocurrency in the total market value. Although the rise of other currencies such as Ethereum and Ripple has led to a decline in the ranking of Litecoin, it is still the seventh largest in more than one thousand cryptocurrencies worldwide as ltc market cap is $3,371,234,563 now, and it is one of the world’s most popular cryptocurrencies.
When Charlie Lee looks at the future development of cryptocurrencies, he believes that what is needed most is a breakthrough that allows cryptocurrencies to open up the mainstream market. And he believes that such a breakthrough is most likely to occur in three forms.
1.Traditional large financial institutions began to introduce cryptocurrency transactions.
As the cryptocurrency regulatory policies of governments have become clearer, some traditional financial institutions have begun to express their desire to introduce cryptocurrency services. Nasdaq (NASDAQ) CEO Adena Friedman said in an interview with CNBC in April, “There is no doubt that Nasdaq will consider setting up a cryptocurrency transaction in the future.”
Charlie Lee analyzed that the entry of large traditional institutions like Nasdaq will quickly open the cryptocurrency market into the mainstream market, and it will inevitably bring great competitive pressure on the existing cryptocurrency trading platform.
2.Technology giants acquire cryptocurrency platform
“Technologies such as Facebook and Google are coming in, which can bring cryptocurrencies to the mainstream market with immediate results,” Charlie Lee said. For example, the market has been rumored that Facebook intends to acquire Coinbase, the leader of the US cryptocurrency trading platform. With the current total of Facebook’s total users of nearly 2.2 billion people, even if only 10% of users are converted to cryptocurrency users, it will be an unimaginable breakthrough.
3.The cryptocurrency platform cooperates with the premium mainstream banks
“The cryptocurrency trading platform, including Coinbase, has been suffering from the inability to open the door to international mainstream banks such as Citigroup and Rich countries,” said Charlie Lee, who was the head of engineering at the leading US cryptocurrency trading platform. For a long time, these trading platforms can only cooperate with small and medium-sized or regional banks, which hinders the entry of cryptocurrencies into the mainstream.
“Bitcoin, Ethereum, Litecoin and Ripple have formed a network effect, and the popularity and liquidity are far superior to the new currency,” says Charlie Lee. Take Litecoin as an example, you don’t have to worry about where to buy Litecoin, almost all exchanges around the world are now available, and the litecoin price now is around $57. However, many new currencies are not easy to buy. He analyzed that if the new currency wants to rise, it must be significantly improved than the old currency to overcome this network effect. But in fact, 99% of the new currency is not even a small improvement.
Therefore, the breakthrough development of the global cryptocurrency has to rely on mainstream currencies. Looking forward the breakthrough of the cryptocurrency community.