Bitcoin may have retreated back to its $3,700 position after getting above $4,000. Bitcoin went back up to $4,000 after news that the Samsung S10 will have a crypto wallet. In addition to this, JP Morgan announced that it is going to have its own cryptocurrency. What made JP Morgan’s decision such a big deal is due to the fact that the bank used to have a completely opposite opinion on cryptos.
Now, the crypto industry has an ally in Elon Musk. The man behind Tesla, and sometimes even referred to as the real-life Tony Stark, Elon Musk made a recent comment that the crypto community quickly capitalized on. Musk mentioned that Bitcoin is “quite brilliant”. However, the Tesla chief executive mentioned that he “literally owns zero cryptocurrency”. And more recently, he said that he only owns 0.25 Bitcoin (BTC) sent to him by a friend. It was during the time when Bitcoin was only around $2,500.
Paper Money is Going Away?
Could it actually be the case that money is eventually going away? Cryptocurrencies have struggled adoption over the last months. In fact, a lot of observers are still waiting for the involvement of institutional investors. However, regulatory challenges are still keeping this reality far from reality.
The US Securities and Exchange Commission is even hesitant to approve a Bitcoin ETF, something that is believed by many that could increase the adoption of cryptocurrencies. Could it actually be possible that cryptocurrencies are going to replace paper money in the future?
It isn’t the first time that Elon Musk took notice of the crypto market. In fact, he thinks that crypto scammers have “mad skillz”. And also, he recruited Jackson Palmer, the man behind Dogecoin to fight scambot epidemic.
Binance’s Changpeng Zhao joked that he would like to have a Tesla car in exchange for crypto. There were also other industry leaders who hinted the same comment.
Bitcoin Structure was Quite Brilliant
Musk mentioned when he guested in a podcast that the “Bitcoin structure was (is) quite brilliant”. He also mentioned that “maybe some of the others” are also good. However, when it comes to the Bitcoin’s Proof of Work, it seems that Musk isn’t exactly excited about it.
However, he believes that the ability of cryptocurrencies to bypass the government is certainly what makes the technology special. He even noted that it is even more applicable in places like Venezuela that is already suffering from economic crisis.
In Venezuela, there is an increasing number of businesses and individuals using cryptocurrencies. The reason is because of hyperinflation. Businesses started using Dash while there are people today who are already mining Bitcoin. The Maduro administration also resorted to blockchain as the administration announced the Petro, a cryptocurrency that is supposedly backed by oil.
Musk isn’t the only one who recently gave a positive comment about the crypto world. Jack Dorsey of Twitter expressed pro-Bitcoin comments as well as it praised the Lightning Network. Could these comments have an effect on Bitcoin? Or is the crypto industry now turning tech leaders into believers themselves?