As per Cointelegraph, cryptocurrencies and digital assets have been experiencing a major shift in popular opinion, as traditional finance (TradFi) heavyweights begin changing their tune toward such assets. Just a few years back, critics such as Larry Fink, CEO of BlackRock, had cast cryptocurrencies as ‘indexes for money laundering.’ A statement now echoing into oblivion as Fink along with others in TradFi have begun viewing digital assets as a democratizing force in the investment world.
This shift in perspective however, isn’t without its bumps, as older generations accustomed to perceiving assets as tangible entities, find it challenging to accept digital commodities. To them, be it bonds, stocks, precious metals or even music and movies, all have traditionally held a physical form. A notion so ingrained in their psyche that even digital variants of these assets are subconsciously associated with their physical counterparts.
The younger generation, however, growing up in a digital age, sees no issue with assets being purely digital, making it easier for them to accept the concept. This acceptance has driven Fink and BlackRock to acknowledge that possibly, cryptocurrency could transcend any one currency.
While this shift is significant, it becomes crucial to recognize that the realization is simply another technological cycle that the world has experienced time and again – first with the airplane, then the automobile, and then the personal computer. New technology is adopted by a younger, more adventurous group, and then it eventually spreads to the rest of society.
On the other hand, with digital assets comes the question of security. While today’s technology allows for a digital piece of art to have its ownership transferred to the buyer with an assurance that there is only one copy, concerns arise about a valuable asset’s purely digital form.
In conclusion, while a paradigm shift is apparent in the acceptance of digital assets, the road forward is lined with both challenges and achievements. Cryptocurrencies still have skeptics among traditionalists who carry the ‘baggage of analog counterparts,’ yet as technological progress unfolds, it becomes crucial for everyone, irrespective of generation or background to move forward with an acceptance of the digital age.
Source: Cointelegraph
