Bitcoin is a virtual currency, a non-tangible good that can be bought with fiat currency and sold for a profit, or a loss. For that reason, it is similar to stocks or bonds but comes with much higher volatility. Virtual currency as Bitcoin is nothing new from the users’ standpoint. Wire transfer, for example, does not involve sending physical money. It’s simply an agreement among parties to debit or credit account balances. Bitcoin is based on the same principles and it works really well, basing its stability and efficiency on three fundamental pillars: security, speed, and low costs.
Beyond a market commodity, Bitcoin is a technical revolution powered by Blockchain, also known as distributed Ledgers. It is an innovation that is already shaking up the banking sector.
Financial institutions all over the world are very interested in the applications of Blockchain and distributed ledgers. A cryptocurrency and Fintech forum was recently co-organized by the UAE Banks Federation and Abu Dhabi Global Market, the country’s financial center, in the United Arab Emirates.
Entrepreneurs and professionals in Fintech and the Blockchain industry exchanged insights and debated on issues of mutual interest, such as government regulation on Blockchain and distributed ledgers, as well as innovations that improve procedural efficiency. On that front, big data collectors and machine learning are now employed to control and manage financial transactions, yet are controversial for many reasons.
Despite their differences, participants at the UAE forum shared a common vision: they embrace Blockchain and new financial technologies in hopes of growing the Emirates into an international financial hub. The conference addressed issues in an open manner, which helped institutions find the balance between regulation and innovation. It has been a great stride towards a better future for Blockchain and cryptocurrencies.
Read all the details in the original article in Italian.