Chainlink $10.47 (LINK) founder Sergey Nazarov has stated that crypto adoption could increase exponentially. Speaking on The Defiant YouTube channel, Nazarov said that traditional finance (TradFi) institutions will drive the “next billion users” of cryptocurrencies.
The Role of Traditional Financial Institutions
“I think a lot of users will come from large asset managers and large banks, both in aggregate value and individually. Users who have accounts at these institutions will now be able to use those accounts to trade crypto.” A Prize Pool Worth 21 Million TL Awaits You from BinanceTR! Participating and winning has never been easier.. You can sign up to BinanceTR from this link. Get your first crypto!
Nazarov stated that both retail and capital markets participants will be riding a wave of crypto adoption driven by TradFi, noting that participants coming from the TradFi space may not even realize they are using blockchain to process their transactions.
Retail and Capital Markets Participants
“The first category is the retail consumer who is using more DeFi (decentralized finance) and more public chains. The user experience around private keys really needs to improve. The other group is the capital markets TradFi users. These users may not fully understand that they are using a blockchain-based asset or that they are getting their returns from a DeFi or regulated DeFi protocol, but they will use it.”
Nazarov said he can’t know for sure which of these two groups will bring in more users, but he thinks a significant percentage will come from both groups.
Total Value and Number of Users
“In terms of total numbers, you’re likely to get more individual people from the retail community. But in terms of total value, you’re likely to get more total value from fewer users. If I had to guess, that’s probably how this next billion user thing is going to play out.”
While making these comments, Nazarov emphasized that he believes the cryptocurrency world can reach wider audiences in the future. The adoption of cryptocurrencies can accelerate even more with the participation of traditional financial institutions.
Nazarov’s statements provide important clues about the future potential of cryptocurrencies. The wider use of cryptocurrencies could change the dynamics in the financial system and create new opportunities.
Disclaimer: The information contained in this article does not contain investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
