Crypto Boom: Legacy Financial Corporations To Become Crypto Companies

A recent prediction suggests that the world is about to experience a crypto boom. Morgan Creek Capital’s founder, Mark Yusko, believes that traditional finance corporations will eventually become digital asset businesses.

During an interview with Brian Rose on London Real, Yusko stated that digital assets will soon dominate the financial sector, similar to the rise of the Internet.

He believes that the blockchain technology and crypto are only in their early stages and that there will be more developments and mass adoption in the digital asset space.

According to Yusko, traditional finance organizations may spread untrue negative information about cryptocurrencies simply because it poses a threat to their existing business models.

However, if they had the opportunity to dominate the crypto industry, they would likely do so.

“Basically what [TradFi is] saying is [crypto] is destabilizing for the incumbents. But if the incumbents run crypto, then we are good. Okay, but that’s the way it always happens. Think about the 2000 [interent] boom. Webvan total failure.”

During his talk, he explained how Pets.com failed due to opposition from traditional pet food companies who didn’t want customers ordering online.

Despite this setback, Chewy.com, which is essentially the same company, is now worth $20 billion.

Yusko believes that other industries will follow suit, with digital assets eventually being used for almost all global transactions, which are currently valued at $700 trillion.

However, he also anticipates resistance from traditional financial systems when it comes to widespread adoption of crypto.

The speaker maintains that despite the challenges, digital assets will continue to be widely used for transactions. In the future, every type of asset, from stocks and bonds to real estate and fine art, will likely become tokens recorded on a blockchain ledger. This is a more efficient system than using databases that rely on COBOL, a dated business programming language.

For instance, when you use your Visa card, you are essentially relying on a COBOL-based database. However, this system has its downsides, as it requires specialized knowledge to maintain and repair. In contrast, blockchain-based systems are more secure and accessible.