We all remember the global financial crisis of 2008, which successfully exposed the current flaws in the banking world. Today, in the age of the global COVID-19 pad, financial analysts around the world have noticed a similar trend in recent months. No one has any doubt that the coronavirus, which is devastating global economies, has contributed to the so-called quantitative easing, which central banks began to use.
Bitcoin to the rescue
According to publicly available data, the US Federal Reserve’s balance sheet at April 24, 2020 was less than $ 6 trillion. Almost immediately, these funds were intended to help small businesses. This phenomenon, combined with an unprecedented low unemployment rate, has started a discussion that Bitcoin can change this, that BTC can be a solution to current problems.
COVID-19 was the reason that banks significantly reduced their cash payments, thus people all over the world opted for electronic payments. Many of them also looked for alternatives, including cryptocurrency for payments and investing your own savings, including fiat currencies.
47% of respondents trust Bitcoin more than banks
As we read in The Tokenist’s latest industry report, trust in Bitcoin is constantly growing. In the study, which was conducted on a group of 5000 respondents from 17 countries, the oldest cryptocurrency has an upward trend in 2017-2020. Of all respondents, as many as 47% trust Bitcoin more than banks. This is certainly due to the volatility of assets held by large banks. In turn, the growing popularity and professionalization of the crypto industry tip the balance in favor of digital currencies. Bitcoin is one of the major investment assets in the world so far this year.
Despite the trend in question, it should be added that the banking sector enjoys enormous support from governments and financial institutions. Positive sentiment means that society continues to trust traditional markets more. It should also be noted that the generation of the 80s and 90s of the last century is more oriented towards the world’s largest cryptocurrency, perceiving Bitcoin now as the main source of investment and a positive trend in the field of finance. There is also a lot of opinion that Bitcoin’s total market capitalization will increase sharply as soon as the millennium finishes raising its own capital.