World Economic Forum Believes Crypto Will Remain Key Technology – The World Economic Forum (WEF) believes that the disastrous year experienced by the cryptocurrency industry in 2022 can lead to ecosystem growth and recovery. An article written by Dante Disparte and published on WEF’s weforum.org explains that while the recent collapse of FTX and the demise of the Terra blockchain affected millions of consumers in 2022 — with the market losing $2 trillion during that time — this has not altered the core of these technologies, which are currently being tested by financial institutions around the world.
On this subject, Disparte explains: “While the underlying technology of cryptography and blockchain is generalizable to all industries and coordinating activities (collectively the building blocks of Web3), experimentation at the core of financial services, among other sectors, continues unabated.” Furthermore, Disparte cites JPMorgan as an example of this, being a company that publicly has pivoted from being clearly oppositional to crypto and blockchain, to adopting the tech in several of its experimental products and offering crypto to select customers.
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Disparte uses a commonly used simile, equating crypto to other ubiquitous technologies like the internet and email, which have similarly been exploited for illicit and criminal reasons. According to Disparte, in this era of cryptocurrency, it is crucial to place the responsibility for malicious actions on the users, not the technology itself. According to the World Economic Forum, the best way to sustain crypto and blockchain is to “net out their harmful effects by placing technologies (like all tools) in the hands of responsible actors and encouraging their responsible use.”
In this regard, the author believes that crypto, no matter what, will continue to play a leading role in the financial sector, and that while regulation is necessary, the future of the industry will be shaped by countries that can provide it while keeping a competitive approach. Disparte concludes that these technologies will continue to be adopted despite what he considers their irresponsible use to have caused. The WEF has been an active organization when it comes to crypto, launching the Crypto Sustainability Coalition in September last year, with the objective of using Web3 tech to fight climate change.
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