The Tell: Here’s what everyone is getting wrong about the cryptocurrencies craze
Are you scratching your head over the cryptocurrencies craze?
A few players in the growing industry around digital currencies are trying to help, as bitcoin BTCUSD, +8.16% keeps setting records.
They were asked to sound off on what people are getting wrong, while taking part in a “Making Sense of the Crypto Frenzy” panel discussion on Nov. 15 at the Finance Magnates London Summit 2017.
Below are some responses that panelists gave:
• “If you just take a quick look across the news, you will find lots of things about people using bitcoin and these other currencies for illicit means. There’s obviously a bit of a problem with that still going on today, but I think it’s changing very, very quickly. … There’s a lot of really smart people and a lot of very sophisticated players and institutional people from established industries that are coming into the space to legitimize it. It’s happening now. It’s happening a lot quicker than I think people realize.” —Matthew Miller, COO of Shift Markets
• “One of the biggest things we see is people fail to disconnect the blockchain-technology piece from the actual cryptocurrency. I think it’s very important to make that distinction.” —Rosario Ingargiola, CEO of OTC Exchange Network
• “I think that people are treating cryptocurrencies as a currency. They’re used to the USD DXY, -0.03% , the euro EURUSD, +0.1351% and other currencies. … Yes, it can be traded, but the blockchain technology is something that can be used for many, many other areas. It’s not just about the currencies. It’s a new way of doing finances.” —Carolina May, strategic adviser for NewsBTC
Similar comments emphasizing blockchain have been made before, with UBS analysts recently saying it is “likely to have a significant impact in industries ranging from finance to manufacturing, health care and utilities.”
Read more: Here’s why UBS is bullish on blockchain, but not bitcoin
And see: How blockchain can revolutionize government
Blockchain is the technology that cryptocurrencies run on, and it basically functions as a decentralized ledger used to record and verify transactions.
Don’t miss: How to talk to your family about bitcoin over the holidays
This article was first published on Nov. 21, 2017.