Abdulaziz Al Jouf, CEO of the Saudi-based payment processing and fraud prevention company, PayTabs is not one to dismiss the cryptocurrency as a failed project. The crypto-market is still unregulated and volatile; however, Al Jouf is sure that digital currencies will continue to exist and gain popularity.
The reason for the longevity of cryptocurrency, as Al Jouf puts it, is that none of the reasons which triggered the creation of cryptocurrencies, like centralization and a lack of transparency in financial services, have been resolved.
In an interview with Arabian Business, Al Jouf said –
“There are different dimensions and different directions where this will go. Keep in mind that until today, central banks are trying hard to ban [cryptocurrency] because they feel it is out of [their] control. If you think bank to why cryptocurrency launched, it is because of the massive collapse in 2011…[it aimed] to make sure currencies and money is protected everywhere.”
Cryptocurrencies may not be regulated in all countries yet, but the traditional currency is not exactly regaining trust from the masses after the economic crisis. Traditional currencies, in fact, will never gain the trust inspired by cryptocurrencies. Cryptocurrencies are decentralized with all the power lies with the users and not a central entity.
Many companies, including Al Jouf’s, are working on stabilizing the crypto-market. As regulations turn towards favouring cryptocurrencies, the currencies will rise as a valuable means of investment.
Al Jouf says –
“People still use it for the fun of making extra bucks. Of course, it’s risky and anything new is risky. There’s a lot of hype on how to make money out of it. I’m sure you heard that if you had bought x amount of Bitcoin…You’re a billionaire today. But in reality, there’s a big issue on how to get this money out of the cryptocurrency industry.”
Al Jouf also believes that cryptocurrencies need to come up with more ways to be useful in real-world scenarios.
Blockchain technology, the underlying technology of cryptocurrencies, should be used in business management, for instance, and governments should provide a space for these activities to function freely.