Facebook’s Libra would act a test for social media companies, suggests ING report

While the crypto-community strives to initiate mass adoption of cryptocurrencies by developing better use cases, Dutch-based banking group ING, asserted in a recently released report that cash is here to stay and mass adoption of crypto is highly unlikely.

ING released a report titled “From cash to crypto: the money revolution”. The report revealed that in spite of several crypto enthusiasts speculating that the future of the monetary world is cryptocurrency, elimination of cash isn’t possible.

Certain aspects of digital assets like fast cross-border payments, large or international transactions push it to the spotlight. However, high volatility and lack of acceptability do not pose as beneficial for everyday payments or investments. Cryptocurrencies are largely speculative assets and the report suggests that they might not stay this way forever. ING further wrote,

“We see uptake of all payment and investment options as they prove relevant and useful continuing. Diversification is therefore more likely…. at least for now.”

Teunis Brosens, lead economist for digital finance and regulation at ING believes that mainstream adoption of cryptocurrencies is possible if it manifests itself to possible users from within the current financial framework.

Additionally, the report revealed that Turkey generated the highest index of positive attitude towards crypto, while Austria lagged behind with the least percentage.

Another survey from the report suggested that not a lot of people trusted social media for transactions as 66% of Europeans were against the idea. However, Turkey seemed to be fintech friendly as 43% were ready to use social media for transactions while 40% were against it. Brosens believes that Facebook’s Libra would act as the “first major tests in the field of social media companies.”