The Deutsche Bank published a report on Monday that cryptocurrencies, though only 10 years old, have already proven to have the potential to radically change the financial sector. It has shown to have the capabilities to change payments, banking, central banking and the balance of economic power.

Per the report, the bank believes that a new digital currency could become mainstream within the next two years. Considering the fact that both China’s digital Yen and Facebook’s Libra are expected to roll out this year. With the over 1.5 billion Chinese citizens and 2.5 billion Facebook users, digital currencies could be available to more than half of the world’s population.

The report noted that, cryptocurrencies, at its current adoption rate, are running shoulder-to-shoulder to the internet during its early years. If the trend continues like this, the number of blockchain wallets could increase from 50 million in 2020 to 200 million in 2030.

The researchers further noted that, digital currencies could combine the convenience of electronic payments with the privacy of cash payments. They claim central bank digital currencies (CDBCs) present new solutions for solving problems systemic in the global economy.

According to the researchers, if CBDCs (Central Bank Digital Currencies) were fully launched, central banks could make interest-bearing accounts available to every citizen. They claim that could solve many challenges caused by the fractional reserve banking system and commercial banks wouldn’t be vulnerable to bank runs. The governments wouldn’t also find themselves in a position where they have to bail out some giant institutions, like they did in 2018.

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