Crypto is 'not a fad' says Morgan Stanley CEO Gorman, 'It's not going away'

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MarketWatch 14 October, 2021 - 02:11pm

Morgan Stanley CEO: Bitcoin Is Not Going Away

Bitcoin Magazine 14 October, 2021 - 02:12pm

Gorman realizes that Bitcoin will not die, contrary to JPMorgan CEO Jamie Dimon, who recently reiterated his past skepticism of BTC. "It's got no intrinsic value. And regulators are going to regulate the hell out of it," Dimon said.

"I don't think crypto is a fad. I don't think it's going to go away," Gorman said on the bank's third-quarter earnings call with analysts Thursday morning. "I don't know what the value of Bitcoin should or shouldn't be. But these things aren't going away, and the blockchain technology supporting it is obviously very real and powerful."

Like other executives in his line of business, Gorman believes in the fallacious argument "blockchain, not Bitcoin."

Contrary to common assumptions, blockchain technology is not the ground-breaking innovation that Satoshi Nakamoto brought to the world. Without bitcoin, the currency, blockchain is rendered useless. As Parker Lewis articulates, the innovation is Bitcoin, not blockchain.

"Ultimately, a blockchain is only useful in the application of money because it is dependent on a native currency for security," Lewis wrote. "Bitcoin represents the most secure blockchain by orders of magnitude. Because all other blockchains are competing for the same fundamental use case of money and because bitcoin's network effects only continue to increase its security and liquidity advantage over the field, no other digital currency can compete with bitcoin.

Liquidity begets liquidity and monetary systems tend to one medium as a derivative function. Bitcoin's security and liquidity obsoleted any other cryptocurrencies before they left the proverbial gates."

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