World Economic Forum Believes Crypto Will Remain Key Technology
According to the World Economic Forum (WEF), the 2022 disaster for the cryptocurrency industry could lead to recovery and growth.
An article by Dante, published by WEF’s weforum.org explains that, while the recent downfalls of FTX, and the demise by Terra blockchain had an impact on millions of consumers in 2022 – with the market losing $2 Trillion in that time – this has not affected the core of these technologies which are being tested by financial institutions around the globe.
Disparte offers this explanation:
Although the technology behind cryptography and blockchain can be applied to any industry and all coordinating activities (collectively, the building blocks of Web3) is universal, there has been no end of experimentation in financial services and other areas.
Disparte also cites JPMorgan, a company that has publicly flipped from being openly anti-crypto and blockchain to adopting it in several of their experimental products and offering crypto for select customers.
Crypto and the Internet
Disparte uses a common simile to compare crypto with other ubiquitous tech such as email and the internet, which have been illegally and criminally used by bad actors. According to Disparte, the key to this crypto period is to place the blame for the bad actions on those who use the tools and not the technology itself.
The WEF believes that the best way to preserve crypto and blockchain is to “net out their harmful effect by placing technologies (like any other tools) into the hands of responsible actors, and encouraging their responsible usage.”
The author feels that crypto is a key player in the financial industry. Regulation is a necessity but countries that are able to offer it while remaining competitive will help shape the industry’s future.
Disparte believes that these technologies will be continued to be used despite the immense harm they have caused by being misused irresponsibly.
The WEF has been active in crypto-related activities, launching Crypto Sustainability Coalition last September with the goal of using Web3 tech for combating climate change.
