Speaking at the World Economic Forum (WEF) held in Switzerland Circle CEO Jeremy Allaire outlined some of the biggest issues the cryptocurrency industry is facing today and explained how it could learn a thing or two from the media and digital communications industry.
The World Economic Forum is an association of multiple public and private corporations and engages prominent business leaders and industry players in discussing topics that shape the future of global and regional economies.
Among the many renowned personalities from the virtual assets industry that were present during the opening day of the forum, one of them was Jeremy Allaire, CEO of Circle, provider of open crypto technologies for individuals, entities, and entrepreneurs looking to trade, invest, or raise capital through crypto.
The financial system is at an inflection point, Circle CEO
When addressing the ever-popular agenda “Shaping the Future of Financial and Monetary Systems”, Allaire said we must think of the introduction of digital transformation on an arc and then try to understand the existing economic scenarios when determining the challenges.
The financial system is at a crucial turning point right now where we are gradually making a shift from the peripheral use cases, such as enhancing accessibility, to the core of issues like making the lives of people better. The existing financial system is being reassessed to determine if there is a better way to distribute and utilize money, and change its nature to meet the current needs, Allaire explained.
Taking this argument a bit further, he added that in the last decade, the main trigger point that led to the rapid rise of the crypto industry was the credit crisis as people started to look for an alternative and more efficient and robust architecture, like blockchain and blockchain-based technologies like cryptocurrencies.
Crypto and media industry’s issues are alike
However, it is the regulation and policies that are limiting their potential. Using digital media channel YouTube’s analogy to demonstrate how media and crypto have similar hurdles to overcome, Allaire said that it is important to assume a tech-driven approach in handling these issues.
For example, the media industry has evolved tremendously since its inception, making us wonder how people even existed without being able to communicate or get a message across without interruption. We don’t want to go back to living lives like that but, at the same time, also accept the fact the ability to socialize freely comes with a trade-off, Allaire argued.
While it is true that YouTube has opened doors to a number of possibilities, it could also be used to incentivize terrorist activities. However, we are not going to terminate YouTube because of that possibility and the same goes for the crypto industry as well, said Allaire.
In the end, Allaire did acknowledge the fact that the existing landscapes for both industries are different, but also said that crypto could take a leaf out of the media industry to tackle these ever-troubling issues.
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