With skyrocketing prices, cryptocurrencies Bitcoin and Ethereum are poised for more record-breaking levels, soaring price predictions, and being a legit threat to fiat currencies such as the U.S. dollar.
Bitcoin has recently breached the $50,000 mark, while Ethereum stood strong above $3,200 on Monday, as other major cryptocurrencies also got a major boost to bring the entire crypto market value to over $2.1 trillion--a near 100 percent rise from July, Forbes reported.
Bitcoin's giant leap is the highest level the token reached since February 16, based on Coindesk data. It last hit above the $50,000 level in March before setting its all-time high of above $60,000 in April, Time noted. Since then, however, the coin took hard tumbles and crashed to below $30,000due primarily to China's crackdown and Tesla CEO Elon Musk's disheartening remarks on Twitter.
Bitcoin, Ethereum Surge to Cause 'Seismic' Shift from Fiat Currencies to Crypto
Its current surge has emboldened banking executives to forecast a "seismic" shift in the financial markets. Bitcoin and other cryptocurrencies could replace our traditional fiat currencies within the next five to 10 years, a Forbes poll revealed.
Deloitte consultants released a report saying that 76 percent of finance professionals consider Bitcoin, Ethereum, and other crypto as a replacement or alternative for the U.S. dollar and other fiat money in the next five to 10 years.
Eighty-one percent of the 1,300 executives surveyed consider the blockchain as broadly scalable and widely adopted in the mainstream market. The Forbes poll further revealed that 73 percent of the respondents believe that companies should embrace cryptocurrencies and blockchain to maintain their competitiveness.
Deloitte global blockchain and digital assets practice head Linda Pawczuk urged finance industry players to "redefine themselves and find innovative ways" to achieve growth in the future of currencies, particularly in the wider adoption of digital assets into the mainstream.
Global Central Banks Scrambling With Digital Versions of Fiat Currencies
This year, top brick-and-mortar banks Goldman Sachs and JP Morgan have started unveiling Bitcoin and crypto services to clients as global central banks toy around with central bank digital currencies (CBDCs).
China has begun to experiment with its digital yuan, while the U.S. and Europe are on the early stages of actual, decisive moves into CBDCs.
Facebook Seeks to Create Own Cryptocurrency, Twitter to Expand Bitcoin Use
Social media giants Facebook and Twitter are likewise entering the crypto space, with Facebook seeking to create its own cryptocurrency, diem. Twitter, on the other hand, is expanding the use of Bitcoin, with CEO Jack Dorsey leading the way.
Use cases of cryptocurrencies have grown in recent months, with more establishments accepting digital coins as a payment option for actual products and services.
Deloitte emphasized in a report that cryptocurrencies is not merely a wave of the future, but is "happening right now." As such, using digital assets is "not an option-it is inevitable."
Of course, cryptocurrency remains a risky investment. However, there is no doubt it is growing in popularity.