According to research put out by the Bank of England, if a central bank were to issue new currency based on the blockchain, it could provide a boost to the economy. They found that an introduction of digital currency worth 30 per cent of the pre-crisis USA would have permanently increased GDP by 3%.
There are now two companies that are striving to launch a Bitcoin ETF: The Winklevoss twins and SolidX. However, EtherIndex LLC filed to launched an Ether-based ETF, which would track the price of Ether. While it is nowhere near ready to launch, it's interesting to see these new products launching.
What will happen to the price of bitcoin when the next financial crisis occurs? As more people learn about its ability to be a store of value, it should move in the opposite direction of where the economy is going during bad times. But because of its other use cases, it can move in a positive direction even during good times.
With halving now behind us, there is debate as to where the price of bitcoin is going to go. With a reduction in new available supply, there is some belief that it could go up. And with Japan preparing monetary easing, that could send people to bitcoin. Further, if the block scaling debate can be solved, that would be a serious positive for the network.
Andrew Lee is CEO of Purse and he believes that Bitcoin will be the primary cryptocurrency. However, for that to happen, it needs to continue gaining adoption. As that adoption occurs, new use cases will show themselves, which creates a real chicken & egg sort of problem.