More than half of experts in recent crypto survey said bitcoin will replace fiat currency by 2050 | Currency News | Financial and business news

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A local business in El Salvador that accepts bitcoin payments.

Agence Alex Pena / Anadolu via Getty Images

54% of fintech experts surveyed expect bitcoin to overtake currencies issued by central banks in global finance by 2050. This move could also take place by 2035, according to 29% of those surveyed. The majority of the panel consider that bitcoin is currently undervalued and that the price is increasing this year to $ 66,284. See more stories on the Insider business page.

Bitcoin, the world’s most traded cryptocurrency, will overtake money issued by central banks as the world’s dominant form of funding in less than 30 years, according to a panel of fintech experts.

54% of 42 crypto experts surveyed predict what’s called hyperbitcoinization – or when bitcoin will overtake global finance – by 2050, according to a report released Friday by Finder.com, a finance comparison site. personal. This event could take place even earlier, by 2035, according to 29% of respondents.

The projection comes at a time of growing interest in the cryptocurrency market among institutional and retail investors and as the majority of central banks are carrying out work on digital currencies, ranging from research to pilot programs.

“Some countries will take advantage of BTC as their primary currency of choice. With fixed circulation, ease of transfer, it will be very helpful for them to move to a ‘bankless’ model inherent in this ecosystem,” said Joseph Raczynski, technologist and Thomson Reuters futurist, said in the Finder.com report. He expects that by 2025, bitcoin will overtake fiat currencies and by then its price will be $ 150,000.

El Salvador innovates by becoming the first country to adopt bitcoin as legal tender. Use will begin in September after approval by lawmakers in June. 55% of the panelists believe that bitcoin will become the currency of choice in developing countries, with Finder.com asking them about the use of bitcoin in these countries in particular in light of El Salvador’s action and as Venezuelans are using bitcoin as a way to fight hyperinflation.

But 44% of the 41 respondents don’t think hyperbitcoinization will happen at all. Among them is Lee Smales, associate professor at the University of Western Australia.

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

Federal Reserve Chairman Jerome Powell this week told U.S. lawmakers that cryptocurrencies have not become a viable payment method and that an official U.S. digital currency could reduce the need for cryptocurrencies or stable parts. Powell said a research paper on whether the Fed should establish a digital currency will likely be released in September.

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

Looking at the price of bitcoin in 2021, 61% of the Finder.com panel said bitcoin is currently undervalued. On average, the panel expects bitcoin to climb to $ 66,284 by the end of the year. Bitcoin traded below $ 32,000 on Friday and was heading for its worst weekly performance in over a month.

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