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- Coins.ph CEO, Wei Zhou, believes that stablecoins will be the key to crypto mass adoption rather than Bitcoin.
- He argues that stablecoins are more feasible for transacting as they provide price stability, unlike Bitcoin’s volatility and price appreciation aspect.
- Zhou predicts that “hyper-tokenization,” referring to tokens other than Bitcoin, will fulfill transactability through price stability, and that the stablecoin market is a growing sector.
Wei Zhou, the CEO of digital wallet provider and crypto exchange platform Coins.ph, claimed that instead of Bitcoin, the leading cryptocurrency, stablecoins will be the key for crypto mass adoption–which will also lead to “back door” Bitcoin growth.
Zhou, the former Binance Chief Finance Officer (CFO), took over Coins.ph as its CEO in April last year.
In an interview with Kitco News, explained that mass adoption will come through stablecoins as hyper-tokenization is much more feasible than hyper-Bitcoinization–refers to BTC becoming the default value system.
He then stated that despite Bitcoin being the leading and largest crypto, is it not viable for it to be a stable currency to bridge transactions as its volatility and price appreciation aspect is the main reason why people are investing in it in the first place.
Zhou also argued that transacting requires price stability and pointed out that “hyper-tokenization” –tokens other than Bitcoin—can fulfill transactability through price stability.
“When we’re signing a deal for $10, we need to know, even if it’s nominated in pesos or Sing dollars or Thai baht, whatever the value we sign exchange in, both sides need to have an agreement that this is the value of exchange,” he explained.
Accordingly, he stressed that the stablecoin market is a growing sector and even pointed out the as the concerted push to rollout Central Bank Digital Currencies (CBDCs) “which are essentially stablecoins nominated in local currencies.”
“You’re going to see more and more stablecoin-like tokens that firm up the value of exchange in different countries,” Zhou added.
In the Philippines, the Bangko Sentral ng Pilipinas (BSP) confirmed last month that it is continuing its pilot test of CBDC between financial institutions, businesses, and government entities. The CBDC project is part of the Central Bank’s initiative to shift 50% of all financial transactions to electronic channels. (Read more: For Wholesale Transactions Only: BSP Confirms Continuation of Pilot Test of Country’s Own Central Bank Digital Currency)
Previously, Zhou also stated that the country has the potential to become a global Web3 powerhouse “very soon.” (read more: PH Poised to be a Web3 Powerhouse Very Soon, Coins.ph CEO Believes)
Recently, along with his partners in blockchain investment firm Old Fashion Research (OFR) and Yield Guild Games (YGG) Chief Operating Officer (COO) Colin Goltra, he took over blue chip non-fungible token (NFT) collection 0N1 Force to create a community board to oversee the project. (Read more: Coins.ph Wei Zhou and Binance Goltra Buy 0n1Force)
Co-incidentally. Coins.ph is major partner in the upcoming conference: Bitcoin Island Retreat happening in Boracay this March 27 to 29, 2023.
This article is published on BitPinas: Coins.ph CEO: Stablecoins to Play Key Role in Crypto Mass Adoption
Disclaimer: BitPinas articles and its external content are not financial advice. The team serves to deliver independent, unbiased news to provide information for Philippine-crypto and beyond.