Here is an 84 page letter from Deutsche Bank Research predicting the decade to come. Of interest to my readers are two sections in particular, The end of fiat money? (pg 10) and Cryptocurrencies: the 21st century cash (pg 58).
The end of fiat money?
The forces that hold the fiat money system together look fragile, particularly decades of low labour costs. Over the next decade, some of these forces could begin to unravel and demand for alternative currencies, from gold to crypto, could take off.
Cryptocurrencies: the 21st century cash
Until now, cryptocurrencies have been additions, rather than substitutes, to the global inventory of money. Over the next decade, this may change. Overcoming regulatory hurdles will broaden their appeal and raise the potential to eventually replace cash.
While decade ahead predictions are seldom accurate, DB as a company is ‘one sick puppy’ (h/t @TruthGundlach), and DB’s assessment of cryptocurrency is basic and lacking, all of which doesn’t lend much credence to their research, what I want to highlight here is the fact that institutions at the upper echelons of the financial world are seriously discussing two things I frequently talk about in this blog: the end of the current monetary system and cryptocurrencies. And more importantly, they are acknowledging latter as a potential solution to the former.
Like a black hole, Bitcoin has gravity so strong that nothing can escape from it. Eventually all institutions will accept Bitcoin as the bedrock of the new financial system, the answer to the coming paradigm shift. Resistance is futile.