The head of one of America’s leading centralized crypto exchanges, Coinbase, explained that bitcoin could become the new global gold standard. He believes the digital asset could improve America’s chances of fighting the looming challenge from China.
Brian Armstrong, CEO and founder of crypto exchange Coinbase, spoke about the wider crypto market during months of price declines and the firm’s future plans.
Armstrong also shared his take on Ray Dylo’s theory, explaining that the rise of cryptocurrencies could spur a new world order. Thus, the decentralized West can properly fight the centralized East.
Using Crypto as a Hedging
Armstrong spoke about the ongoing bear market compared to previous ones in a recent interview with our sources. However, he stressed that the current market trend this time has pronounced features. The main reason could be that digital assets are now more popular and have more use cases than previous bear market cycles, he said.
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However, unfortunately, there was no jump in the prices of coins. It also means that over 85% of the tokens may never reach their all-time high prices again.
He also said that this difference in the state of the current cycle was partly a result of the macroeconomic environment, which intensified the crypto bear market. But more importantly, investors and traders see digital assets as volatile as risky tech stocks.
On the other hand, Armstrong explained that he believes the entire DeFi market cap needs to grow more than 5 to 10 times its current value before it can act as a hedge against inflation. Apart from the CEO of Coinbase, many crypto experts also share the same view.
Super App Wallet Implementation
Amid the ongoing bear market, the head of Coinbase said his firm will strive to innovate and create new products. More importantly, the centralized exchange is developing a more sophisticated decentralized wallet with many advanced features, including a profile page, personal identity, and even reputation points.
Apart from a financial solution, the wallet can also be a social platform with sections for status and social channels. Also, musicians and artists will not be left out as the wallet will allow them to showcase their work. He added that this next-generation super app wallet capability explains why Web3 is the future of the web.
Centralized and decentralized battle
Ray Dalio, the famous hedge fund manager, has often argued that the current world order is controlled by the West. Or rather, America. However, he noted that there is a possibility of change with the growth in the achievements of countries such as China.
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Agreeing that the US is in decline and China is rising, Armstrong said that the future world order may no longer be “country-centric.” Armstrong believes that as Bitcoin becomes a contender for the new global gold standard, it could skyrocket in the Western decentralized hemisphere.
Featured image from Pixabay, chart from TradingView.com
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