Are National Currencies Headed To The Blockchain?
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Regulatory hurdles still need to be cleared.
Before governments can make the leap with national currencies, a huge degree of regulation, coordination and clarity on how blockchain payments are designed, verified, implemented and enforced will be required, which may take quite some time. I think there is a parallel to be drawn with the automotive industry. Now, almost all car manufacturers produce hybrids and are slowly adapting to a new way of building cars, building a new business model around it. In the future, we will likely all drive in 100% electric cars (or cars with other alternative types of engines) as well as use a digital version of our national currencies.
The mainstream adoption of national blockchain-based currencies will be facilitated by changes in the regulatory space of payments, changes in consumer behavior, and increasing interest from banks and governments. National currencies on the blockchain will open up new opportunities for transaction processing systems, personal identification and programmed money controls. This innovation will also help eradicate corruption and create high-tech infrastructure, particularly in developing countries that today can only use cash and commodities for payments, vastly improving the quality of life for individuals.