Last week in an effort to become more involved within the crypto space, the Coinbase CEO, Brian Armstrong took to YouTube, undertaking one if his first in what is possibly ask me anything’s (AMA). Among the popular topics broached, Armstrong answered the one question on the minds of many crypto enthusiasts: When mainstream adoption?
As reported last week, the live session dealt with much of Coinbases’ plans for the future, including their relatively ambitious plans to spread adoption by gifting people in Venezuela “a little bit of crypto,” thus sowing the seed of use throughout the world, and perhaps even overthrowing “some corrupt dictators” along the way… one step at a time, Brian.
I did a live AMA yesterday answering people’s questions on Twitter/YouTube https://t.co/Ifq7naVlA6
Let me know what you think. Maybe next time can add someone else from the Coinbase team, make it more conversational. Or just walk around the office and chat with folks!
— Brian Armstrong (@brian_armstrong) April 4, 2019
Interestingly on the topic of mass adoption, the Coinbase CEO hinted as to what he believes might usher in a critical mass for crypto, relaying 3 possible catalysts:
volatility, scalability, and usability.
Firstly, Armstrong notes the wild swings of the crypto market, specifically citing that these pose an issue when it comes to using crypto as a formal medium of exchange, adding that one solution may be stablecoins:
“The other thing that’s going to help with that is more and more real uses in the real world happening so that these crazy bubbles that go up and down and all the speculation in crypto will kind of get dampened out if we drive the utility phase.”
Next, and speaking of utility the Coinbase CEO looks to the challenges of usability within crypto, and the necessity of making crypto as user friendly as possible:
“You can imagine in a lot of these apps that are out there… It’s still too complicated to go there, be able to sign in… It should work like WeChat or something like that where when you go to the app, it already knows who you are and it has your payment method already attached and with one tap, you can then complete an action or complete a payment…”
Finally, Armstrong turns his sights to the #1 issue facing most blockchain based projects, Scalability.
Armstrong addresses the layer 2 technology currently being developed and tested by multiple “well funded” teams, specifically noting the Lightning Network, relaying that increasing transaction throughput will be fundamental for user adoption:
“A lot of these are going to be coming out and continuing to grow in the next 6-12 months. I think once we do that, we need crypto be not just, you know, 5-10 transactions a second, but in the order of 500-5000 a second to be like PayPal or Visa levels. That would allow us to get an app with 100 million people using crypto.”
So there we have it, interestingly almost all of those issues, are being dealt with in some way, shape, or form; meaning that, provided Armstrong is right, we could see mainstream adoption far sooner than expected.
Chepicap is now LIVE in Blockfolio! This is how you receive our latest news in your portfolio tracker!