Paul Donovan, the chief economist of financial giant UBS is in today’s crypto news for reiterating his position about cryptocurrencies that he believes they have no future.
While talking to CNBC, Donovan explained that all cryptocurrencies are flawed and can’t really go mainstream. According to him, bitcoin and other cryptocurrencies increase to ridiculously high levels towards the end of 2017 and that should have been obvious that it would end badly.
The biggest flaw with cryptocurrencies is that they cannot become a store of value by saying:
‘’Every economist knows that a store of value is about balancing supply and demand. But with cryptocurrencies you cannot control that supply in response to a drop in demand.’’
He went on to that the only thing cryptocurrencies could achieve a widespread adoption in failed states. This conclusion comes as a response to the Federal Reserve Bank of St. Louis issuing a white paper suggesting that cryptocurrencies can prove to be useful in countries with a high devaluation of their fiat currencies.
‘’ If you don’t have a government, then society gets a little bit more anarchic and in that situation, something like cryptocurrency can be useful does still come true,’’ continued Donovan.
In the interview, Donovan claimed that all of the crypto creators lack general economic knowledge. He says that creators of cryptocurrencies are brilliant at math but still don’t know about economics. He says that real value comes from matching supply and demand and that crypto supply can go up but it cannot go down. However, crypto demand can go down and it was created by blind faith and not ‘’ real economics’’.
Telecom Giant AT&T Interested In A Blockchain-Based Social Media ‘Mapping’ System
“The social media history map platforms described herein may take advantage of the immutable and permanent nature of blockchain records to store, and provide access to, data representing online transactions that occur on multiple social media applications.”According to the filing, content creators would keep the ownership of their data on the "mapping" platform:
“However, instead of passing ownership of blocks or data between users, a social media account owner maintains primary ownership of his or her online transaction data. What passes from the social media account owner to other users of the social media history map service, such as followers of the social media account owner, is a notion of elevated visibility rights.”This is just one more patent application in the series that were submitted by companies such as Xerox, American Express, IBM and others - and a new milestone for AT&T overlooking its expansion in the field of blockchain.
Binance Labs Introduces Us To The ‘First Batch’ Of (Final) Blockchain Projects
TRON’s DApp Usage Jumps 48% To +1 Million Transactions Last Week
“This week, the 24-hour transaction number for Dapps reached 1.04M, a 48% increase compared with last week; the 24-hour trading volume hit 640M TRX, an 151% increase compared with last week. We have seen significant increases in both indexes […]”One of the most interesting projects built on Tron is Seedit which is a decentralized platform that lets users contribute funds to the content creators that they most appreciate. Project Atlas is also a well-known project which incentivizes people to seed content on the BitTorrent protocol, which was acquired by Tron back in July this year.
LinkedIn’s Largest Growing Job Sector Is Blockchain Development
“It’s no surprise that we’re seeing an explosion of machine learning roles and continuing growth of data science roles. In fact, we started to see glimmers of this in last year’s report; however, both fields are starting to see more specialized roles emerge. It also may not shock you that Blockchain Developer is topping the list following this year’s surge in interest around blockchain and cryptocurrency.”The great news for all of the people interested in a career in this sector is that there are plenty of universities now that adopt blockchain-related courses which help to boost the blockchain expertise in the following years.
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