Why Cryptocurrency will never replace fiat currency
Being that this is my first ever post on Steemit I would like to express an opinion that is not very supported in the crypto-currency community.
A little background about me is that I've graduated University with a degree in Economics and Finance. I'm at 22-year-old living in Canada always looking for that new opportunity to learn and discover which was my initial draw to crypto.
I've been invested in crypto and blockchain technology for years now but have always had this feeling that cryptocurrency( I will call it crypto for ease) will never really replace fiat currency.
Firstly, I believe that crypto will never replace fiat for the simple fact that such a push towards this would be very emphatically banned and outlawed by governments worldwide. Monetary policy which in the majority of the cases is controlled by some sort of monetary authority in each country is a very large tool on the tool belt of governments that they would never be inclined to let go of. For example, the ability to control inflation and interest rates are controlled by a said monetary authority vis-a-vis the supply of money, a world conquered by crypto would effectively mean the loss of a basic tool enjoyed by governments which I don't believe many people could imagine.
Secondly, if somehow a truly private untraceable crypto came to fruition with mass adoption (which I don't see happening in the developed world at least) such a crypto would lead to the avoidance of tax payments which would ultimately be severely punished by governments, and be frowned upon as it is the basic necessity that runs society. As the old saying goes there are two things that are unavoidable: death and taxes.
Thirdly, I believe inherently that blockchain technology will be used to support the current system in the developed world and build on top of the existing system to create a better future. One example of this that I believe deeply in a technology such as Ripple which adds onto the current exisiting system rather than trying to overthrow it.
This quick and brief post I feel outlined my belief on crypto very quickly. I would like to know what everyone in the community thinks. Let me know.
Crypto will never replace fiat. Crypto will be sucsessful but will never replace the essential foundations of the world which is fiat. Those bodies who control global fiat will simply use their power, which none of us can even begin to understand how large, to just axe any legitimate threat to the world of fiat.
Maybe fiat currency will become crypto; I’ve heard some governments are looking into adopting crypto currency
That's an interesting thought, but what would be the benefits of governments adopting crypto in such a way to replace crypto. The vast majority of fiat is not even physical to begin with.