There is a growing link between academia and cryptocurrencies
, not just from a technical standpoint but also from a theoretical one too. We see more and more scholars and academics speak out about cryptocurrencies as both a financial and a cultural phenomenon. We generally see these academics speak positively with regards to cryptocurrencies, that’s because I assume the majority of those researching cryptocurrencies on an academic level also invest
in them too, so really, it is within their best interest to speak positively to the media.
According to recent reports, Professor Dragan Boscovic of Arizona State University has spoken out about Bitcoin, referring to Bitcoin as a ‘valued investment opportunity’.
You can see the full coverage of this story by Bitcoinist.com for yourself, here-
Here’s what Professor Boscovic had to say:
“The vulnerability of a digital currency is based on demand, and it is not open to influence by additional supply. A government can bootstrap an economy by introducing a new supply of traditional currency to influence borrowing. That can’t happen with cryptocurrency.”
“Institutional investors are recognizing this new asset as a valued investment opportunity; this will encourage individual investors. It will also encourage consumers and small shops to start trading in cryptocurrency. It’s an encouraging development. Consumers do develop confidence when they see a large institution such as the stock exchange backing and selling cryptocurrencies.”
The latter statement here is especially poignant with regards to cryptocurrency
adoption and is one which rings true with many theories. As soon as the commercial customer discovers Bitcoin and other cryptocurrencies, as a result of mainstream stock exchanges paying an interest, Bitcoin will show its worth as an investment opportunity. Or words to that effect at least.
Of course, there are many other big influencing factors that will in turn drive cryptocurrency adoption forward. Adoption by major stock exchanges is certainly one way in which cryptocurrencies will receive mainstream media attention but likewise, as Boscovic mentions, adoption by small shops will be a key factor as it is only through this that we will see cryptocurrency offered as a realistic payment option, to regular and lay customers.
Therefore, the potential for adoption carried by Bitcoin and other cryptocurrencies, is what makes the industry a valuable investment opportunity. That, at least is what I think we should deduce from what Professor Boscovic is saying here.