Ravi Menon, the President of the Monetary Authority of Singapore, the Singapore’s central bank, said he hopes the eventual collapse of the cryptocurrency market would not weaken the blockchain technology.
The Monetary Authority of Singapore is enthusiastic about the blockchain technology and it seems Menon talked about the collapse of the crypto market as if it was certain to happen in the near future.
Menon said: “When the rush passes, when the collapse happens, I hope the blockchain technology behind the cryptocurrencies will not be undermined significantly.”
This statement was made during a speech gave by Menon during a meeting of the banking industry of Singapore. Singapore declared itself as very enthusiastic about the blockchain technology, but the country also expressed concerns when it comes to investing in bitcoin and other cryptocurrencies.
The Menon’s statement convey a message of an imminent collapse of the cryptocurrency market, but he did not talk about the reasons for the collapse. Furthermore, in a statement for Reuters, the President of the Monetary Authority of Singapore did not take a clear stance in the discussion whether or not the cryptocurrencies are a bubble.
We have heard people many times talking about the inevitable collapse of the cryptocurrency market. Some people think the cryptocurrencies are a big bubble that will inevitably burst at some point, while others consider them to be a social transformation. For example, BNP Paribas, a famous banking group, said bitcoin is a financial bubble, but that doesn’t mean it would explode anytime soon.
Moreover, Joseph Lubin, the co-founder of Ethereum, was one of the first developers from the cryptocurrency ecosystem to say the cryptocurrency market is functioning as a financial bubble, but he also said that in the case of the market collapsing, the cryptocurrencies are autoregulated.
Despite different opinions regarding the cryptocurrencies, it seems that the majority of the people agree the blockchain technology supporting them is valuable and could bring numerous benefits.
No one can predict with certainty what will happen with the cryptocurrency market in the years to come. At the moment, we have seen a 20% drop in prices on the market. The crypto community thinks the reason for this might be the proposed regulations for the cryptocurrencies in South Korea and China, but the market seems to be recovering again.