In 2050 Bitcoin Will Become The World's Main Currency, This Is What The Survey Says

JAKARTA - Bitcoin, the world's most traded cryptocurrency, will surpass central bank-issued money as the dominant form of finance worldwide in less than 30 years. This statement came during a panel discussion on fintech specialists conducted by Finder.com on Friday, July 16.

Finder.com, a personal finance comparison site, said 54 percent of the 42 crypto experts surveyed predict the so-called hyperbitcoinization, or when bitcoin overtakes global finance, is expected to occur in 2050. Even 29 respondents, said if it could happen sooner, in 2035.

The projection comes at a time of growing interest in the cryptocurrency market among institutional and retail investors. Especially since most central banks are making efforts to create digital currencies, from research to pilot programs.

“Some countries will use BTC as their primary currency of choice. With the steady circulation, the ease of transfer, it will help them well to shift to the “bankless” model inherent in this ecosystem”, Joseph Raczynski, future tech expert, told Finder.com. He expects by 2025 bitcoin can overtake fiat currencies and, by then, its price could be USD 150.000.

El Salvador is now making a breakthrough to become the first country to adopt bitcoin as a legal tender. The use will begin in September 2021 after being approved by lawmakers in June.

As many as 55% of the panelists also predict bitcoin will be the currency of choice in developing countries. This came when Finder.com asked panelists about the use of bitcoin in these countries especially in light of the actions of El Salvador and Venezuela which started using bitcoin as a way to tackle hyperinflation.

However, 44% of 41 respondents predict hyperbitcoinization will not happen at all. Among these panelists was Lee Smalles, a professor at the University of Western Australia.

“Ultimately I think Bitcoin (and many other cryptocurrency assets) will lose out to central bank digital currencies, many of which will go live by the end of the decade”, Smales said.

Federal Reserve Chair Jerome Powell told US lawmakers this week that cryptocurrencies have failed to become a viable payment method and that official US digital currencies could undermine the need for cryptocurrencies or stablecoins.

Powell said in a research paper on whether the Fed should set a digital currency likely to be published in September.

Meanwhile, according to a 2020 survey by the Bank for International Settlements, 86% of central banks are also exploring the benefits and drawbacks of central bank digital currencies or CBDCs.

Looking at bitcoin prices in 2021, 61% of a Finder.com panel said bitcoin is currently undervalued. On average, the panel expects bitcoin to rise to USD 66.284 by the end of the year. Bitcoin last Friday traded below USD 32.000 and showed its worst weekly performance for more than a month.