POSSIBLE FUTURE OF CRYPTOCURRENCIES
With RMB bank announcing it’s withdrawal from services to crypto asset company bank accounts, what’s the contingency should this move by one bank snowball into a move by more. One bank should not be a cause for concern, it should rather serve as an indicator as to how the financial climate may be changing. Without centralized banks, how can an Exchange, exchange virtual currency for legal tender? If you have say £500,000.00 worth of bitcoin in your wallet, without a centralized bank: 1. How does one withdraw the funds? 2. If the resource that backs the cryptocurrency is actually legal tender, how then will the exchange pay you without access to cash? 3. The £500,000.00 is worthless unless you can trade peer to peer. Most commercial stores do not accept cryptocurrency as a form of payment due to the risks and volatility involved. Example, There is only one GBP and one USD however, there are many cryptocurrencies. Now consider if the government were t