“Bitcoin Cash will replace Visa and MasterCard,” CEO at nChain Jimmy Nguyen — about the prospects of cryptocurrencies
What are the advantages of Bitcoin Cash? How to make cryptocurrencies available to mass users? What approaches to the digital assets regulation to follow? These questions will be covered by CEO at a blockchain software company nChain, a speaker at Blockchain & Bitcoin Conference Philippines Jimmy Nguyen. (https://goo.gl/unRBS2)
Jimmy is a manager with a 21-year working experience in the legal sphere. Lawdragon described Jimmy as ‘dynamo talent.’ Moreover, for his diversity leadership, Jimmy has been named ‘a Top 100 under 50 diverse executive leaders’ by Diversity MBA magazine. Currently, Jimmy Nguyen is Head at nChain focused on blockchain researches and developments.
Bitcoin Cash will replace Visa and Master Card one day
In nChain, we believe that Bitcoin Cash has many advantages over both the legacy Bitcoin chain as well as over all other off-coins around there. The biggest advantages are:
- bigger blocks
- faster speed
- lower transaction fees
We think these are crucial advantages necessary to create a global fast payment transaction system that will replace Visa and MasterCard one day. In my opinion, this system can fully embody the idea of Satoshi Nakamoto: fast and cheap daily transactions. True peer-to-peer electronic cash.
The more examples: the faster people will get the idea of cryptocurrencies
But Bitcoin, together with other cryptocurrencies, is still not completely understandable and accessible to the general public. That’s why I spent a lot of time thinking about how we explain cryptocurrency to the normal population.
Is it really meant to be a payment system? Is it meant to be a place where you store value like gold? People, I think, are confused by all the different coins. My friends intended to invest in cryptocurrencies ask me how to understand a difference between Litecoin and this Ethereum business and different Bitcoin forks that have happened.
That is why we should make the meaning of cryptocurrencies clear to people: “Oh, it is not just something I buy to invest in, it’s gonna be something that will make it easier for me to transact every day: send money to my friends in different countries.” The more simple examples of the cryptocurrency practical usage we provide, the easier it will be for consumers to understand.
Regulation can be effective when it is reasonable
Different states start the step-by-step introduction of the cryptocurrencies regulation. As usual, cryptocurrency enthusiasts fear any legal steps. However, I think that regulation can be effective when it is reasonable.
For instance, in New York State, there is an opportunity to use BitLicense, a license to conduct entrepreneurship activities connected with cryptocurrencies. Notwithstanding, it is not obligatory that everybody who works with cryptocurrencies should obtain it. Say a company developing software for the cryptocurrency business doesn’t need to receive BitLicense. I reckon that such exceptions lead to the industry overall improvement.
If jurisdiction bans cryptocurrencies, don’t step out of the legal framework
But if you are living in a country, where cryptocurrency is completely banned, certainly I don’t want to recommend trying to screw around the laws of your particular country. I think you just might have to wait for the country to evolve and hopefully open its market to cryptocurrency.
So, my suggestion is to stay attentive to what is going on your market. If there are some options for investing in cryptocurrency, take advantage of those, but don’t invest in one, which your government not found of or banned.
Sometimes, lighter form of regulation is needed
If I were engaged in the establishing of the cryptocurrency regulation, I would look at, for example, whether someone, who provides a multi-sig wallet and operate it, needs a virtual currency license. Not all wallets and exchanges can be set to control the assets and maybe they don’t need a virtual currency license, or perhaps they need a lighter form of the license, something that’s little less burdensome to comply with.
Bitcoin futures demonstrate institutionalization of cryptocurrency
Recently, the launch of Bitcoin futures in the United States created a dramatic rise in the price of the legacy Bitcoin. There has been some volatility, and there are some people who think that particularly in January there could be attempts to shorten the price of the legacy Bitcoin and create a more bearish market.
I think that certainly possible in a long-term and I expect that we’ll see large swings in volatility of the price. But overall, I think, the introduction of the futures market is a good thing. It shows that there are vehicles for institutional money to come into Bitcoin and those who actually hold Bitcoins, they can buy futures contracts.
So now, I’m waiting for futures trading on Bitcoin Cash to come around one day soon.
Blockchain & Bitcoin Conference Philippines will bring together specialists in the cryptocurrency market and blockchain technologies along with other crypto enthusiasts from the Philippines and other countries on January 25th. To be held in the state capital Manila, the conference will allow participants to share their experiences in integrating the blockchain into the government control sector, banking system, trading, media, healthcare and other areas. Participants will discuss all aspects of developing innovative IT products: from the idea to launch.