The head of Binance Changpen Zhao, the largest cryptocurrency exchange , shared his opinion on two conflicting cryptocurrency projects. According to him, the future cryptocurrencies of JP Morgan and Facebook have every right to exist along with other decentralized projects, although not everyone agrees with this idea.
“Unpopular opinion about JPM and FB coins. In a decentralized world, everyone can do whatever he pleases, unless it hurts others. The more people accept cryptocurrencies, the better. Acceptance of crypto must occur. Welcome! How successful will they be? Wait and see".
Unpopular opinion: JPM / FB coins.
Please contact us (within the limits of the world). The more people adopt #crypto , the better.
Adoption is #adoption . Welcome!
How well will they do? Well, let's wait and see. https://t.co/ke3wYhsexI
– CZ Binance (@cz_binance) March 9, 2019
Contradictions
Both projects – JPM Coin and FB Coin – are rather contradictory. JPM Coin is the future stableblock for conducting mutual settlements between banks and financial institutions; Relationship with traditional finance can help him gain recognition. JPM Coin is now seen by many as a more limited and centralized version of the Ripple digital coin. Brad Garlinghouse, CEO Ripple, criticized this project.
It is also assumed that Facebook is working on a cryptocurrency project for making payments between users of the WhatsApp application. The Facebook coin causes a lot of controversy, as it seems to many that it “will resemble a centralized cryptocurrency version of PayPal” rather than a decentralized free cryptocurrency.
Interestingly, both companies in the past opposed cryptocurrencies: JP Morgan CEO Jamie Dimon called Bitcoin fraud, and Facebook still prohibits advertising ICO. Thus, both companies support cryptocurrency only when it is profitable for them.
Protection of centralized crypto assets
JP Morgan and Facebook coins have their defenders. Money institutional investors and the organization of payments – these are two ways by which the blockchain technology can get into the mainstream. Both companies have a good market position, which can significantly contribute to the adoption of cryptocurrencies in this way. Apparently, Zhao does not lose sight of exactly this.
CZ also believes that no one or anyone forces anyone to buy coins that they don’t like. At the same time, the Facebook coin is likely to be initially targeted only to users from India. JPM Coin also does not immediately become a “coin for consumers,” although Dimon does not rule out this in the end.
Binance cryptobirth itself seems to be balancing between centralization and decentralization. Its main platform is centralized, like most ordinary crypto-burg; and in addition, the company is conducting tests of its own decentralized Binance Chain platform for trading cryptocurrencies.
For now, it seems, CZ has chosen a very democratic policy in relation to the upcoming coins of two large companies, and it is possible that in the future we will see the listing of JPM Coin and FB Coin on this popular stock exchange.
Publication date 12.03.2019
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