Cryptocurrencies lack trust so far to compete with fiat money. This opinion was expressed by Christian Gattiker-Ericsson, chief strategist of the Swiss banking group Julius Baer, in an interview with Arabian Business .

He believes that the use of cryptocurrencies attractive to the general public has not yet been found, and the assets themselves are at the stage of natural selection.

“We are still in this Darwinian selection process when various business models are tried and tested, but we did not see something that would be a clear winner, ” said Gatiker-Ericsson.

According to him, many crypto assets are struggling with the fact that their emissions are limited, which makes them more like gold than currency.

“This is still a key topic. Someone must be able to transfer the trust inherent in the currency to central banks and governments in order to bring it into a virtual, decentralized world, ”said strategist Julius Baer.

More broadly, blockchain technology has “a number of potential uses” and can “change the rules of the game,” Gattiker-Ericsson believes. However, it is also at the experimental stage, he added.

Earlier, the head of Julius Baer, Markets, Peter Gerlach, stated that the bank believes in the future of digital assets, as a full and sustainable class of investment assets. The comments followed Julius Baer's plans to enter the cryptocurrency industry.

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