Logo
Cardano Ecosystem

Paribus

05/20/2023

·

178 views


Paribus The Real World

Cryptocurrency, despite facing some criticism, holds immense potential for real-world utility. While critics argue about its lack of adoption, it’s important to remember that mainstream acceptance requires a solid proof of concept.

Paribus The Real World

Cryptocurrency, despite facing some criticism, holds immense potential for real-world utility. While critics argue about its lack of adoption, it’s important to remember that mainstream acceptance requires a solid proof of concept.

It’s akin to the chicken and egg scenario, you can’t have mainstream adoption without demonstrating a robust proof of concept, and according to detractors, you can’t have genuine utility if only a fraction of the population is using the technology. It’s unfair to expect crypto to have the same infrastructure and widespread use as Visa or Swift.

At present, crypto is a nascent technology. It’s at the start of its development, just as the internet was in the 1990s. In this stage of life, the main focus isn’t widespread adoption, rather, it’s about building solid foundations.

Although the ongoing bear market has been difficult, it serves the purpose of filtering out bad actors and reinforcing proper foundations. Each crisis reveals the true intentions of those seeking to exploit the space, while allowing genuine builders to continue progressing.

An excellent example of the potential benefits of non-fungible tokens (NFTs) is found in the Cardano ecosystem, where projects like Empowa leverage the technology to improve lives with real utility. However, it’s important to distinguish such projects from those that merely copy artwork from successful Ethereum projects to reap personal gains.

The future of NFTs, however, extends far beyond artwork. They enable the secure representation of real-world assets in the digital realm, which offers unique opportunities. Just as cryptocurrencies enable digital storage and exchange of value, NFTs facilitate the same for one-of-a-kind physical goods and assets.

As Deniz, our CEO, describes, “The integration of cryptocurrencies, web3, and tokenization of real-world assets is set to democratize finance, enhance global liquidity, and foster innovative financial products. These technologies will allow for more inclusive investment opportunities, smoother cross-border transactions, and the creation of novel financial instruments.”

Adding, “The transparency and decentralization offered by blockchain could increase trust and resilience in financial systems. However, navigating regulatory, technological, and public understanding challenges are essential for this promising future to become a reality. This revolution in finance could reshape global economic structures, marking a significant shift in how we understand and interact with economic systems.”

Revolutions are always accompanied by challenges, and blockchain’s impact on traditional finance is no exception. US regulators, for instance, seem inclined to take a hostile approach towards crypto, as demonstrated by the SEC’s reluctance to provide regulatory clarity. Opposition from entrenched politicians, such as Senator Elizabeth Warren’s introduction of the Digital Asset Anti-Money Laundering Act, further highlights the problems faced by the industry.

Simon, our CTO, explains the difficulty of tokenizing real-world assets in such a challenging climate: “One of the main complexities would involve creating the right mechanisms to prevent people from restricted countries or restricted people themselves from acquiring tokenized real-world assets.”

He continues, “This would mean having an on-chain whitelisting and KYC system in place to make sure you comply with the regulations. A great deal of thought would need to go into this system to make sure it is implemented in a way that still aligns with the true values of decentralized blockchain technology.”

As the space becomes increasingly intricate and regulations more stringent, having the right advisors becomes paramount. It’s a topic close to Wilson, our COO’s heart, “Even the very best teams and projects seek external assistance for specific answers or information.”

He adds, “Having the right set of advisors is fundamental to having a full understanding of the landscape in which we operate. Leveraging specialists in various niches has helped Paribus become better prepared for uncertainties, broadened our network and helped ensure timely completion of tasks.”

In addition to ensuring we have an optimal blend of advisors and developers, keeping a tight reign on our finances to make the best use of our runway is essential. As readers know, this was impacted recently, and we’re pleased to announce that we’ve secured additional funding of $700,000, which extends it a further 24 months.

We also hope to share some exciting news next week about a notable addition to the team. Although the past month has been deeply challenging, we’re emerging in a stronger position to drive forward the next stages of our development.


 

AD

SNEKbot by DexHunter on CARDANO

Cardano's Telegram Trading Bot live on Cardano mainnet!TRADE NOW!


Read Original Article on Paribus

ORIGINAL SOURCE

https://blog.paribus.io/the-real-world-f...

Disclaimer: Cardano Feed is a Decentralized News Aggregator that enables journalists, influencers, editors, publishers, websites and community members to share news about the Cardano Ecosystem. User must always do their own research and none of those articles are financial advices. The content is for informational purposes only and does not necessarily reflect our opinion.


Genius Yields DEX Launched!

More from Paribus

See more
From Axie to Assets
Paribus
From Axie to Assets

01/29/2024

·

137 views

Related News

See more
Genius Yields DEX Launched!

Featured News

See more



    DEFAULTENGLISH (EN)SPANISH (ES)RUSSIAN (RU)GERMAN (DE)ITALIAN (IT)POLISH (PL)HUNGARIAN (HU)JAPANESE (JA)THAI (TH)ARABIC (AR)VIETNAMESE (VI)PERSIAN (FA)GREEK (EL)INDONESIAN (ID)ROMANIAN (RO)KOREAN (KO)FRENCH (FR)CZECH (CS)PORTUGUESE (PT)TURKISH (TR)