Bitcoin is the Pin to Pop the Bubble!

Bitcoin is the Pin to Pop the Bubble!

 Jon Matonis believes that contrary to the opinion of many experts from the central banking systems, Bitcoin IS the pin to pop their proverbial bubble. 

Jon Matonis believes that contrary to the opinion of many experts from the central banking systems, Bitcoin IS the pin to pop their proverbial bubble. 

Each time prices begin to slide off course for Bitcoin, the inevitable naysayers and indoctrinated financial pundits, are quick to restate the old rhetoric that, Bitcoin is a bubble, and it's about pop. Contrary to this platitude, the Bitcoin Foundation's Jon Matonis has this to say: 

To the people who say bitcoin’s a bubble, I would say bitcoin is the pin that’s going to pop the bubble.

Matonis is a researcher and crypto-economist with roots in traditional financial institutions. Matonis previously held senior positions with large institutions like Sumitomo Bank and Visa. He currently holds the position of Executive Director of the Bitcoin Foundation, whose mission is to "coordinate the efforts of the members of the Bitcoin community, helping to create awareness of the benefits of Bitcoin, how to use it and its related technology requirements, for technologists, regulators, the media and everyone else globally." Matonis is also a contributing editor to the major crypto-news publication, CoinDesk. Matonis' experience has led him to believe that the central banking system represents the true bubble

The bubble is the insane bond markets and the fake equity markets that are propped up by the central banks. Those are the bubbles.

Matonis argued, at the Innovate Finance conference in London, that the market is entering an age of 'post-legal tender', in which the central banks are NOT the driving force. Matonis believes it is cryptocurrencies, like Bitcoin, that will spearhead this shift. He pointed out an interesting note: 

Hard-coded into the original block zero, genesis block, of bitcoin was a headline from The Times of London saying, ‘Chancellor on the brink of second bailout for banks’...That headline epitomizes what bitcoin is about — that’s why it was hard-coded in there.

Surprisingly, Matonis is enthusiastic about the recent interest from Goldman Sachs, and other big banks, on entering the world of cryptocurrency, stating, "I think it's fabulous that they're getting into it because it brings in new liquidity.", adding further that this would help reduce volatility and ultimately help the market to mature. 

They’re going to develop futures markets, options markets — I even think you’re going to start to see interest-rate markets around bitcoin.

Despite his eagerness for the inclusion of centralized banks to the space, he is not of the belief that crypto currencies should be regulated.  

I think we should operate in an environment of caveat emptor: Let the buyer do his research...This hopefully has forced a lot of investors to do more research. No one is forcing them to invest in ICOs...If you’re worried about the risk, just walk away.

Matonis goes on to characterize Bitcoin as a "third model for a startup to raise funds", recognizing that "This is an entirely new model, and it doesn't fit in any of the regulator's boxes"

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