Cryptocurrencies lack trust to compete with fiat currency says Swiss Banking group Julius Baer’s chief – Cryptocurrency News

The chief strategist at the Swiss private banking group Julius Baer believes that cryptocurrencies still lack the potential and trust that can ascend them into competition with the fiat currency. Christian Gautier Ericsson said that virtual coins are in the "Darwinian" stage, and no application is yet established to promote a wider acceptance of the currencies. In contrast to the cryptocurrencies, Ericsson accepts that blockchain has an entire diversity of dormant appliances.

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Christian Gautier Ericsson, the chief strategist and head of research and investment solutions at Swiss private banking group Julius Baer, holds the thought that cryptocurrencies still require trust to rise in competition with the traditional money. In his interview with Arabian Business, the chief stated, “Someone needs to be able to transfer the trust that is inherency in a currency, central banks and governments to put this into the virtual, decentralized world.”

According to the chief, the “killer” application of virtual coins is yet to be discovered that will pump their adoption on a global level, and says, “We are still in this Darwinian selection process where different business models get tried and tested, but we haven’t seen something that was a clear winner.”

Ericsson mentions that several cryptocurrencies continue to cope with the fact that they have limited or plateauing supply patterns, which make them more like metal gold rather than a currency. However, the strategist has contrasted opinions regarding the technology underlying. Gautier states that Blockchain holds a “whole variety of potential appliances” and can change the rules of the games.

He adds that Blockchain is yet being explored. “It’s like another frontier we are approaching.” Last year, Ericsson linked cryptocurrencies to gambling commenting that the coins involve immense volatility and speculations.

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Saloni Sheelwant
Saloni Sheelwant treasures to research and write about the new startups and technologies thriving at a very fast pace.

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