One Jumps and the Rest Follow?

Facebook has access to billions of people, including their personal information, which will soon include their financial data! It makes sense for banks to feel threatened and seek innovative solutions in order to stay relevant ASAP!

The impact of technology in the geopolitical arena is something every investor should be aware of. Facebook’s attempt at entering the cryptocurrency sector not only compliments the potential of blockchain but also highlights how money 2.0 can alter the world we live in.

Ripple’s CEO said it himself, that thanks to Libra’s inception and launch, Ripple has benefitted from record-level sign-ups from financial institutions to their blockchain payment platform, “RippleNet.”

Our local, high-street banks are taking notice and are desperate to keep you dependent upon them!

Central banks will need to evolve if they wish to stay relevant. The Internet changed how we manage information, communicate, and learn.

Payments have stagnated while banks let down their users and abuse trust. If programmable money and tokenization power our daily routines, our entire perception of banks will change in the coming decades.

Libra, despite the controversy, gives us a glimpse of what could happen. It’s down to the people to use decentralized systems like Bitcoin or centralized alternatives like Libra and bank-run digital currencies.

CTS Newsletter Signup Banner

Nations Fighting Over Cryptocurrencies and Digital Resources?

Technology companies alone have changed our society in the last 20 years. Even our very way of communicating and how we exchange information has been deeply impacted.

Alongside that, JPMorgan’s new cryptocurrency is running on a network inspired and copied from Ethereum’s protocol. It’s clear that the world of finance will change, and what we are now witnessing is a snowball effect. More institutions scrambling to keep up prompts others to jump off the sidelines.

Humanity has gone to war over land, oil, and resources of different types. Iran, Venezuela, and Russia (to a certain extent) are all seeking ways to sidestep sanctions and the dollar-driven financial empire by exploring their own monetary systems backed by gold or a form of digital currency, all of which have not gone well with the Western governments.

Could it be possible that in a world governed by technology and/or digital resources, nations go to war over scarce digital resources and assets?

We have seen it happen with oil- and gold-rich countries that opted out of using the dollar. Economic unions building their own technological infrastructures that go against the popular narrative (BRICS nations de-dollarizing their economies) can create a form of tech-driven arms race.

Threatened governments may attempt to take action that goes beyond sanctions. “rogue” nations with disruptive technology destabilizing the balance of power can prompt calls for controls ranging from harsh new sanctions to outright confrontation, or at least a new type of warfare: cyber warfare.

The trade war between the U.S. and China is another subtle example of this. Both superpowers are competing and economically battling to control the 21st century. Simply add a technological element to the economic aspect of this trade war and suddenly everything mentioned above doesn’t sound so far-fetched!

This is not investment advice; please always do thorough research and only invest what you are willing to lose, especially in times of uncertainty.

CTS Newsletter Signup Banner