The future of Fintech is a black hole of certainty. However, the invention of the next thing is happening today, and I'm excited to be part of it.
Most things with a link to history tend to repeat themselves at some point. If they didn’t, we wouldn’t have the phrase, “know your history, lest you repeat it.” And with the historical concept of cryptocurrency being relatively short, there’s little data available for any real financial history. So, we’re not going to talk about that. [I’m so kidding, of course, we are!]
It’s time to discuss a specific point of financial history and the potential for a life-altering future.
The second Great War (World War II) had ended in 1945, and America was still reaping the benefits of war-time profits (for the most part). Change was everywhere, and new was cool.
In 1946 the most forward-thinking idea of the financial sector came from a small bank that issued the Charg-It card. A “local” credit card. Over the next few years, several more banks did the same- leading us to where we are today.
Looking back at what was done to modernize the banking industry into a multi-trillion dollar “business,” it seems really simple: a card worth less than $2-ish in plastic moved mountains. So, it begs the question, what’s stopping the next change needed to alter the financial industry?
It’s the same
Many people will cite that change has already happened. For example, we can now use Apple Pay, Google Pay, or PayPal via our phones. But these are all just extensions of the current system, albeit with some extensive coding. Granted, PayPal is probably the most forward-leaning of these three- in our circle- for the simple fact that you can hold cryptocurrency within and even assigned it to be spent as your balance.
However, this is a far cry from what the future could look like. What we need is an idea that’s miles outside of any box.
PIVX’s future in Fintech
I tend to read and write a lot of science fiction, so I’m always thinking of how things could be/should be.
When you look at the landscape of cryptocurrency options, many of them are in the now. Even ETH is working towards a future that’s already available to many projects (i.e., Proof of Stake, alas PIVX!). Shrinking the pool to usable digital currencies in a banking environment, one is left with very few options.
Going off the rails for just a moment, imagine the (fin)tech behind PIVX as the backbone of a national currency. This is how I view PIVX today and how this project could shape our tomorrow. The encryption, privacy, and usability have already created one of the most secure- yet open- cryptocurrencies available today.
While many have tried, it’s hard to argue that PIVX isn’t at the top of its game. The team has been silently creating a codebase that, while perhaps one of the most secure, is also one that gives the most options for security (or openness).
Back on track
PIVX has done for the normalization of the cryptocurrency market/use case as the inventor of the Charg-It card did for personal credit. Less the fact that it’s not a pegged stable coin, PIVX has enabled a new means of worldwide currency transfer for fractions of a penny. And while it's not a means of credit, it will cost you less to move money around the world than today's credit card.
With the “out of the box” use of PIVX, you can keep everything you own- financially speaking- private, open, or a mix of both. Much like the current financial system does today, we want to keep our financials to ourselves and away from prying eyes.
The issue with the system we have now (credit cards, checking accounts, etc.) isn’t that it's not private; it’s just not private enough. The whole loan system aside, there is no reason for anyone to know how much liquidity I have available at any time. The system(s) in place now let everyone from credit monitoring services (TransUnion, etc.), the IRS, people finder services, or some employers see your financial facts. Again, this has nothing to do with loans or credit risk. This has everything to do with keeping your information private.
The Simple Use Cases
Keeping in line with creating something new and perhaps historically valuable, I’d like to think PIVX is primed for just that.
A significant obstacle for nearly every cryptocurrency project is the use case for both the coin and the technology. Many will tout that “I can by items with Bitcoin!” And while that is neat, you’re also going to pay for it in fees, and you should be thanking that business marketing department; that’s the only reason it’s a thing: A Marketing Stunt.
In the real world, the high fees of BTC and ETH right now make it a stupid form of payment. Akin to using the center of a tree to buy things (cut the tree, mill the tree, buy the item… at an exorbitant cost to your time/effort/environment).
The simplest use case has nothing to do with paying your taxes in crypto or even getting your salary in crypto (also marketing stunts, for the most part). No, the simplest use case is simply buying items from local businesses or peers using crypto. The idea of using PIVX (or any crypto) to purchase items in real life is a concept that can only get traction if you’re seen doing it. That’s it.
But these simple tasks are what cause change. One company says “we accept BTC,” and then another. In a few years, when ETH has moved to Proof of Stake, I think we’re going to see a surge of acceptance of other PoS projects. Given that, there’s only one that can provide the secure openness people want and the financial protections we all deserve- PIVX.
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