Brian Brooks: Cryptocurrencies will not replace the US dollar, and it does not need to

The former comptroller under the American administration said that digital currencies still have a long way to go.

Brian Brooks, CEO of the blockchain company Bitfury Group, said at the recent Aspen Ideas festival that digital currencies should be viewed more like Internet shares than as a currency. And the biggest misconception about cryptocurrencies is the idea that they can replace the US dollar.

However, it should not be assumed that if cryptocurrencies cannot replace the US dollar, then they are not doing their job well:

“A lot of the crypto industry is about trying to replace a centralized banking system that would allow customers to control their finances without having to outsource it to banks. It’s not that Ethereum or Ripple are trying to replace the US dollar, and with it the traditional banking system, but that they are trying to instill certain values, according to which you should be the owner of your assets.

Brooks recalled that even amid the collapse in the value of bitcoin, BTC is still five times ahead of the S&P 500 and the Aspen Ideas festival is more about cryptocurrencies than the future of US stocks. This means, says Brooks, that digital currencies still have a long way to go.

The expert is sure that the value of crypto assets is directly related to the speed of their acceptance by society. Tens of millions of people make transactions with bitcoins and therefore its value will grow. According to the head of the Bitfury Group, the first cryptocurrency will not stay at $20,000 for long as more and more people use it.

Previously, Brian Brooks served as Acting Comptroller of the administration of former US President Donaln Trump. At the end of last year, a former official said that the cryptocurrency market does not need separate regulation, since digital currencies should be integrated into the existing economic system.