Crypto currencies will have no choice but to rise, rise and rise in value. How can I be so sure? Well, just look no further than the condition of the global banking system and sovereign debt.
Deutsche Bank was just down graded again by credit agencies. S&P in April, placed Deutsche Bank on "credit watch" for a possible downgrade. Well on June 1st, 2018 Deutsche Bank was downgraded to a BBB+ rating. This is actually a generous rating which should be a BB+ at best. Deutsche is the largest bank in Europe and also has the largest derivatives book in the world of $50 Trillion Dollars. Remember, Deutsche bank was forced to buy Bankers Trust Corporation back in 1998 by the United States Federal Reserve for $10.1 Billion Dollars. Bankers Trust was insolvent and had the largest derivatives book in the world at that time. Deutsche bank never recovered from that forced purchase.
Deutsche Bank holds too much of the global counter bets of the derivative market. Deutsche Bank will not be able to make good on the $50 Trillion Dollars worth of insurance obligations to the rest of the world's financial institutions. As goes Deutsche Bank, so goes the rest of the global banks.
Government sovereign debt has never been higher in mankind's history. Governments owe a record $237 + Trillion Dollars of debt. This is a number that CAN NEVER be paid back. Are you starting to see the picture? Banks and Governments are bankrupt. Their Fiat money is worthless. When the Bond bubble pops and people run to economic 'Safety" there are few options.
Physical precious metals and crypto currencies will be the only liquid assets remaining. The biggest problems of crypto currencies at the moment, is their ability to meet the upcoming demand. By this time next year there could easily be over 300,000 people a day rushing into crypto currencies. Can the exchanges keep up? Are there enough quality crypto currencies to meet the demand? Will atomic swaps be in place to handle the explosion of demand? These are questions that the Fin Tech industry are rushing to answer. Most of the world's developing programming talent are already working in the blockchain industry. Fin Tech is the fastest growing industry in the world at the moment. Universities are rushing to add blockchain development into their curriculum.
Any and all who own and hold crypto currencies and tokens are the early innovators. Early adopters will be those getting involved next year. If you hold onto your cryptos and steadily accumulate, you will become the new 10% of the wealthiest people in the world. Think of the big picture. The entire world's monetary system is going to convert to digital blockchain assets utilizing the blockchain. If you have a crypto portfolio, you will become rich. Do not let anyone scare you out of your holdings.
Hang tight, you will be handsomely rewarded for seeing the future of Fin Tech and being an early innovator. The old monetary system is collapsing right before our eyes. Look at the economic woes of Venezuela, Zimbabwe, Brazil, Argentina, Italy, Greece, Spain, Canada and more. Each month it is getting more dire. This can only mean that precious metals and cryptos will be the last man standing very soon. Hopefully you have some.
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