In a panel discussion at Token2049, the founders of Real Vision, Pantera Capital and Ex Uno Pluses talk about the world’s changing towards crypto amid accumulating global debt and economic uncertainty.
On April 30 at Token2049 in Dubai, founder and managing partner of Pantera Capital, Dan Morehead explained how the global trading system is currently in turmoil. He compared the macroeconomic phenomenon to the spherical shaking of snow. This means that traditional investments like stocks and bonds can no longer bear economic uncertainty.
Although direct citations were not permitted at the event, Crypto.News can be present and see that participants discussed the role of Crypto in navigating today’s increasingly complex macro environment.
Furthermore, as Morehead pointed out, the contradiction of high stock prices and high bond yields at the same time suggests market uncertainty. Currently, as of April 30th, the US 10-year Treasury bond yield is 4.18%, and the US 30-year financial obligation yield is 4.71%.
Plus, Morehead said that of all the economic uncertainties happening in the world, it considers crypto as the safest bet. This is mainly because crypto is largely disconnected from traditional financial markets. He believes there will be a new separation between crypto and more traditional assets such as stocks and real estate.
Historically, when traditional assets plummet, investors flock to secure shelter assets such as gold and cryptocurrency. Over the weekend, Crypto Assets surged, breaking the $3 trillion market cap threshold amid rising US bond yields and public debt services.
You might like it too: Brock Pierce and Charles Hoskinson will speak from 2025 onwards where future Crypto will be led
Zoltan Pozsar, founder and CEO of Ex Uno Pluses, reflects Morehead’s sentiment. He said that even though the Trump administration focuses on strengthening the dollar’s status as a global reserve currency, it is ultimately just an invoice used to buy other assets.
Even if a trader purchases gold or cryptocurrency, assets are valued mostly in dollars. Therefore, he argued that the world was heading towards a more balanced and constrained framework. This framework may include changes to the way the US handles fiscal policy.
Ultimately, the focus is on how that surplus is stored and used, with more alternative assets like crypto being considered to be justified and supported by the government.
Raul Pal, co-founder and CEO of Real Vision, said the traditional financial system has always benefited the elite as printed money has become a rare asset. What makes Crypto a game-changer is how it essentially democratizes investment due to its partial nature that allows everyone to participate even in a non-banked population.
You might like it too: Gold hits the new ATH for $3,390, but is Bitcoin coming?
