Unstoppable Domains CEO, Matthew Gould, believes Bitcoin will not return to its all-time high of $ 64,000 for at least a year.
The stablecoin market will grow parabolically in the next 4 years, despite the existing regulatory uncertainty, says Matthew Gould.
In an interview on Thursday with Business Insider, Gould predicted that the stablecoin market would reach a trillion dollars ($ 1,000,000,000,000) by 2025, which would be more than a 10-fold increase from approximately $ 115 billion at the time of writing this article.
“We can do it even faster,” the CEO noted, adding that global stablecoin adoption will be partly fueled by the growing acceptance of decentralized financial applications. “The more people have stablecoins in their pockets, the more people can participate in decentralized finance (DeFi),” said Gould.
Despite optimism about the future of stablecoins, Gould continued to insist that the rapid growth of this type of digital asset carries some financial risk, including concerns about the volatility of stablecoins and their one-to-one support with fixed assets such as the US dollar.
However, Gould remains convinced that greater regulatory transparency and increasing competition in the stablecoin market will gradually eliminate this risk.
“Groups like Circle and their USDC stablecoin have taken the most conservative and safest approach to building stable tokens. And they were really actively involved in working with US authorities to ensure compliance” added the CEO.
In addition to forecasting strong growth in the stablecoin market, Gould is also generally optimistic about the cryptocurrency market, expecting the industry to continue consolidating over the long term. However, he doesn’t expect Bitcoin (BTC) to come close to its all-time record (ATH) for at least a year after hitting $ 64,000 in April, stating:
“I think BitCoin will be in consolidation for the rest of 2021. My guess is based on past experience, usually when the market collapses by 50% or more, it takes a year or two to consolidate. “
Gould’s remarks come as global financial regulators turn their attention to stablecoins such as Tether (USDT) and USD Coin (USDC) amid greater concern about the rapid growth of stablecoins as the market rose from less than $ 1 billion in 2019 to over $ 100 billion in 2021.
In mid-July, US Treasury Secretary, Janet Yellen, called on the financial authorities to quickly establish an appropriate regulatory framework for stablecoins. Earlier, the Japanese Ministry of Finance revealed plans to develop stricter global rules for digital currencies, in particular stablecoins, i.e. tokens linked 1 to 1 with traditional FIAT currencies.
12-08-2021, Mr Advice TEAM