In the investment bank UBS they guess that in current moment Bitcoin is neither a form of money, nor a viable asset class.
The Swiss bank has presented its understanding of this question in the research report, which tells about cryptocurrency the largest by capitalization.
In the report published by the UBS strategist is said that BTC “lacks criteria, which are necessary for receiving money status.” “On account of limited emission and unusual demand dynamics, the system is subject to hi gh price volatility. As a result, it`s difficult for Bitcoin to become high-grade money or be a viable asset class,” – he writes.
Bitcoin doubler 2x informs that, at the same time, the author doesn`t exclude that one day Bitcoin can get necessary features. He claims that if BTC reaches significant scalability and is supported by regulators, cryptocurrency will become “the viable mechanism for making payments and/or full asset class, which will be used even by the most conservative and traditional investors.”
UBS Report About Bitcoin`s Future
According to the report, the study has been conducted by the banking giant as an answer on clients` numerous questions, who are increasingly interested in cryptocurrency sphere. “We receive many questions concerning this theme, and we hope to answer all of them in this educational document”, – in the report is written.
The conclusions of the report are based on “Bitcoin macro-variables and their comparison with other asset classes.” The author time and again draws the parallels between Bitcoin and payment recourse PayPal, and he concludes that cryptocurrency “scattering” can go by the way of established trends in the space of online-payments.
In 2017 UBS called cryptocurrencies being a “speculative bubble” because of rapid growth of their prices. Notwithstanding, the bank speaks positively about blockchain and informs investors that this technology “will probably have significant impact” on major fields of activity.