A Prediction for the Future of Money

A CoinDesk columnist, J P Koning, has bravely made five predictions about the future of money.

1. Decentralised finance won’t eclipse centralised finance. Eventually, they’ll just blur together.

As the CEPR has argued, the ability of Decentralised Finance (DeFi) products to carry out automated programmable activities are already possible with today’s payment systems. No doubt DeFi will accelerated their development.

Equally, DeFi products will also emulate what regular finance does today, albeit this will require them to work within the regulatory framework in order to get acceptance and, therefore, scale, ie. they will choose to comply voluntarily. In time users won’t care, or even be aware, of whether their financial activity is on a DeFi or traditional banking platform.

2. El Salvador won’t be known as a watershed moment. It’ll be known as a reality check.