One in Six People in Australia Now Owns Crypto
One in Six People in Australia Now Owns Crypto
- Governments across the world are turning towards blockchain technology, Australia being one of them
- People are believing that cryptocurrencies despite their flaws like volatility can be a factor of stability in the financial space
- Bridging traditional financial systems and crypto through technology is the way forward
What is Australia doing to respond to this growing interest in cryptocurrencies in their country?
Well, they’re trying to develop a cryptocurrency of their own, which is in truth, a little bit misleading. They’re not actually making their own version of Bitcoin or any other cryptocurrency for that matter, they’re basically using the disruptive blockchain technologies and leveraging them in order to digitize their fiat currency.
All that means that they’re essentially staying within their old economic model, or I guess you could call it a legacy model. It’s a known fact that governments aren’t very good at creating and scaling disruptive technologies. Would you rather get picked up at the airport from Uber, or the Department of Transportation’s mobile ride-sharing app? If you’ve ever visited the DMV website, you would know that tech isn’t one of government’s strong suits, so when you hear about a government creating its own cryptocurrency, most people are immediately skeptical of the value that this offers to the emerging space.
Australia is becoming aware of the increased interest in blockchain and cryptocurrency and luckily, developers are light years ahead of governments. It goes without saying that Uber is going to be much better than the Department of Transportation’s mobile ride-sharing app and so you can trust that the marketplace is creating the solutions that the governments are going to try and copy, time and time again.
What’s the most interesting is people’s response to volatility and how in Australia a lot of people are moving away from traditional money because they’re afraid it won’t support them and they’re afraid of its depreciation and unreliability.
Then why would anyone want to move from unreliable and volatile fiat to cryptocurrency if they want to avoid volatility? Cryptocurrency markets are the most volatile markets ever, where, you know, any coin could go 1000x in four hours and then drop to zero an hour later. So when it comes to avoiding volatility it’s really fascinating that people would be moving to cryptocurrencies at all.
The key takeaway is that even though the markets are very unstable and volatile in the cryptocurrency space, there’s also a lot of stability that is built into the technology that people believe in, and that stability and reliability of the technology is going to outperform and prove valuable in the long run compared to the technology that the fiat systems are built on and that the traditional money that we use every day is built on.
That divide in the public consciousness is quite fascinating to watch and especially right now with the emerging DeFi sector, all of the money being pumped into this universe, roughly 9 billion dollars in that market. The volatile nature of DeFi right now is just being accepted and people know that they are risking their money and a question that comes to mind is, “Is there anything ensuring stability in DeFi?” and of course whenever there is a problem that needs to be solved, the private market is incentivized to help solve those problems and innovations follow.
A cool project worth taking a look at is CyberFi. They have their own decks, as well as their own trading platform that mirrors a centralized exchange in a way that is aiming to address a lot of the volatility issues that exist in the decentralized exchanges like Uniswap. They’re also tackling the problem from a few different angles. CyberFi offers automation when it comes to staking and farming as well as different liquidity features, but they’re also bridging this divide between the stability of the centralized exchanges and the features of decentralized exchanges with oracle bridge being the most important thing they currently offer. Basically securing what they call the Best Trade Value and reducing the volatility risk of trading in a DEX.
So when you combine a user-friendly DEX and an automated trading system and have multi-chain access like CyberFi does, you can go between Polygon and Ethereum as well as the different DEXes that are built on top of these platforms. The bottom line is that it’s all coming down to finding stability in a chaotic world and humans always find ways to make themselves feel safe, and when we don’t feel safe we will drop everything else to ensure that we ensure that safety. People are wanting to make sure their assets, the things that they own, will be secure and they are wanting to find more ways to profit, freely trade, exchange, and invest.
As we look at these different projects that are looking to bring stability to volatility and are looking to bring safety to an unsafe universe (especially in cryptocurrency, but more precisely in DeFi) there are some really interesting investment opportunities there, some really fascinating and important work being done by these startups!
Link to the original YouTube Video: https://www.youtube.com/watch?v=WHh7MxJMIa8
Featured CoinDesk Article: https://www.coindesk.com/crypto-adoption-in-australia-grows-along-with-concern-over-volatility
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