Britcoin, a UK-based crypto currency is climbing back to prominence in 2021, two years after it was delisted from most crypto exchanges in 2019. According to Nigel Green, CEO and founder of deVere Group, Britcoin will push the cryptocurrency’s price higher. It was affirmed by Nigel, the CEO of one of the world’s largest independent financial advisory, asset manager and fintech organizations. This insights comes after it was reported that the UK central bank is planning to launch a direct digital equivalent – dubbed ‘Britcoin’ – to physical money.
Bitcoin is expected to hit its previous all-time highs again by the end of the year. These prices are driven higher by the “carefully considered arguments” and “new measured tone” being put forward by the likes of Elon Musk, Jack Dorsey and Cathie Wood.
Yes, it’s true that the Bitcoin prices are up by 10-12%.
In a recent interaction on Fintech trends Changpeng Zhao, CEO, Binance spoke to us. Changpeng said, “I don’t give out investment advice as it’s anyone’s guess where the market will go in the short term, but I’m always bullish in the long-term about the value of Bitcoin as a store of value and its potential to change the world for the better.”
Avinash Shekhar, Co-CEO, ZebPay, says:
“We are always bullish on the fundamentals of Bitcoin. Price fluctuations like this are just a sign of an early market and it’ll be stabilized once the market matures. When you look at bitcoin, you are looking at an asset with innovative technologies like triple entry bookkeeping, decentralization, and a public ledger. The best part is that more upgrades are coming to this network to make it more efficient.”
Avinash added, “When we say we are bullish on bitcoin, we are looking at the future potential of this asset and the strong fundamentals it holds. Also, if you look at the larger time frame, these small price fluctuations would be invisible and that’s why we recommend investing in bitcoin for the long run. For the short term, we’re looking at the bitcoin price of above $42k to confirm a bull market based on the technical analysis by our traded desk.”
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Recently, Dogecoin, launched in 2013, garnered massive traction. According to Nigel, Dogecoin has become the new GameStop, with frenzied trading potentially going to deliver a bloody nose to novice investors, warns the CEO of one of the world’s largest independent financial advisory and fintech organizations. Britcoin is not that far!
Green says: “Revealing just how worried they are about the ongoing epic rise and influence of Bitcoin, and other cryptocurrencies, the Bank of England is reportedly set to establish its own digital currency – which they have previously routinely dismissed.
“If the Bank and government officials believe Britcoin will supersede Bitcoin, they are mistaken. In fact, it will have the opposite effect.”
He continues: “It can be expected that Britcoin will push Bitcoin prices higher for three key reasons.”
“First, in what will be a masterclass in the law of unintended consequences, by jumping on the bandwagon, central banks are validating the concept of Bitcoin and its inherent values of being digital, global, borderless, quicker and more cost-effective than traditional money.
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“By adding further legitimacy to the market, it’s likely that innovation and development will increase, the crypto ecosystem will become even more robust, and the pace of mass adoption will be accelerated.
“Second, whilst Britcoin will have many of the plusses of Bitcoin, it will still be controlled and manipulated by the Bank of England, meaning they can adjust supply and therefore its value. With Bitcoin, there is no single authority and a progressively limited supply.
“Furthermore, in the increasingly digitalised and globalised economy, why would businesses, such as Amazon for example, in the longer-term favour a currency that is digital but not borderless in the same way as cryptocurrencies are?”
“Third, there’s a growing mistrust of the traditional bank system by the younger, ‘digital-native’ generations who are becoming the beneficiaries of the largest transfer of wealth in history as baby boomers pass on their assets.
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“They’ve been influenced by the enormous surge in tech as they came into adulthood – which came around the same time as the global financial crash that hit in 2008.
“Britcoin will be controlled by a handful of people from the Bank who have conversations and make decisions behind closed doors.
“Bitcoin is controlled by no one and discussions are held out in the open and decisions are transparent and community-based. Which one do you think is the future of money?”
Mentioning the surge in bitcoin price trends, Shivam Thakral, CEO, BuyUcoin, said, “The recent jump in bitcoin price was expected as there has been a huge demand from institutional investors during the price drop. Bitcoin, the flag bearer of the crypto industry around the globe has seen the biggest one-day hike in six weeks, a recent announcement from the e-commerce giant, Amazon, supporting cryptocurrencies may have also contributed to the jump in bitcoin price.”
Shivam added, “We are witnessing a growing acceptance of digital assets with some of the biggest names in the business backing cryptocurrencies and we expect similar enthusiasm from Indian regulators around digital assets.”
The UK is not the only country said to be working on plans for digital currencies. China hopes to become the first major central bank to issue a Central Bank Digital Currency (CBDC). The European Central Bank is exploring the launch within the next five years of a digital euro. The U.S. Federal Reserve has said it will not rush any digital dollar. This year will, however, be critical in getting the ball rolling, its chairman Jerome Powell has recently said.
The deVere CEO concludes: “The Bank of England’s reported move to set-up Britcoin highlights that digital currencies are the inevitable future of money.”
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