The giant Bitcoin mining hardware Bitmain has announced that is planning to support numerous startups that work to design “private central banks” based on the blockchain technology.
The Co-founder Jihan Wu has disclosed the company’s future plans on 7 March 2018 during the DC Blockchain Summit held by Chamber of Digital Commerce and Georgetown University’s Center for Financial Markets and Policy. The event took place in Washington, between 6th and 8th March 2018. Jihan has accentuated in his presentation especially the differences between banks that operates with fiat money and those who accepted cryptocurrency.
Bitmain will invest in 20 to 30 startups
Wu concluded his presentation with a remark that the company he owns is planning to invest in 20 to 30 startups in order to equal the banks’ activities.
“We at Bitmain are very interested in private central bank startups that are going to use blockchain technology to issue private currencies and set it as a service, in a legal way. We would like to invest in 20 to 30 startups whose efforts are focused on this unique emerging economy.”, explained Wu.
Crypto market: 4 digital assets will dominate the world!
Wu has also mentioned in his presentation that the cryptocurrency market will continue to function and develop around four digital assets.
“The fact is that bitcoin’s dominance has been declining and we see that lots of other cryptocurrencies like ether and dash grow very fast, and you just cannot explain if you think the theory is right that the market will consolidate”, he stated.
The Co-founder of Bitmain believes that there is currently no “perfect” digital currency, as demand is divided into many options. “There’s no perfect cryptocurrencies on the market, so the market will require more cryptocurrencies”.
Being asked about his predictions related to the future of cryptocurrency, Wu replied that “Most tokens will very likely fall into the definition of a security and will be subject to the regulation of a security”.
That’s why, his argument stated that regulators must develop business innovations in order to keep the crypto market growing.