The pandemic has put us all into a phase of transition. We are no longer in a familiar world. The established ideas of the old world are giving way to a new one which will be built by us, and our convictions. “Today, we are forced not just to think of our individual growth and transformation, but are called upon to participate in the collective growth and transformation of the world, more than ever,” says entrepreneur and crypto expert Alois Köhle. Here, he shares three points of view on the rise of the decentralized crypto economy as the pandemic rages on.
The good
The background cacophony of doubt over the established economic system is not a phenomenon caused by the pandemic. It is a well etched motif throughout modern history. The pandemic has only lent credibility to many such doubts in the minds of the people. That is, the noise of doubt in people’s minds has gone up a notch or two. Naturally, many fence-sitters (the ones who couldn’t make up their mind about the credibility of the crypto economy) are taking the plunge. Since the crypto economy framework depends on the people (a decentralized structure), there is a good opportunity for the new framework to take root.
The bad
Any sudden change brings with it the perils of instability. And instability is the worst enemy of the common man. The rate at which people are joining the crypto economy could, ironically, prove to be bad for the crypto world. It is like chopping off the branch you’re sitting on. Panic in a large group causes great destruction. If people are taking the plunge, then, it is very important that they have the maturity and the patience to weather the turbulence (this, of course, is wishful thinking).
The need
The crypto economy has a long way to go before it gains the trust of both the common man and the governments worldwide that are eyeing the crypto economy with suspicion. The digital world is a risky world. With privacy out the window, most people are unwilling to take their money into this unsecured world. The crypto economy will truly gain momentum only when the current system invests in building a secure framework. For crypto to grow, collaboration between the old and the new is critical.
As the world is going through a mad scramble with the pandemic, Alois Köhle’s measured outlook is both refreshing and calming. It is indeed true that the old and new must work together to build the foundations of the new world. And we hope his view would become a reality.