Rockaway Blockchain Fund chief Viktor Fischer says bitcoin is holding back blockchain adoption. What does he mean?
Rockaway’s managing partner thinks bitcoin is the biggest problem of blockchain in terms of PR.
“Often there are some fictions which are not true. Like, for example, it’s used a lot for like illicit transactions and other claims in the media, which don’t help us”, – Fischer said.
His venture capital firm invested $123 million in blockchain projects, and now he is rather afraid of the future adoption of this technology.
Obviously, bitcoin was used by some malware fraudsters, so it has its reputation as a financial instrument for criminals. Especially according to the different countries’ law enforcement.
But this reputation isn’t clearly true: Elliptic data shows that illicit activity in the crypto community is less than one percent in comparing with all transactions. And most financial crimes during the 2017-2020 period were committed with traditional financial instruments.
Still, most crypto transactions can be traced by the biggest crypto platforms, so they are capable of cracking down any illicit accounts or activities.
“It’s just so difficult for people to grasp. It’s actually how we all grew up. I was born many years ago when we all believed in a central authority – whether it’s a government or a bank – and bitcoin just puts all of that on its head and says there is no central authority”, – Rockaway Blockchain Fund chief explains.
Fischer believes that blockchain technology has much more prospects for it than bitcoin itself. He underlines the ability of 10 000 blockchain network computers to calculate and process transactions faster and more cheaply than traditional systems.
He assured such possibilities can provide massive benefits for cross-border transactions, smart contracts, insurance, etc.