Fidelity Report: Countries That Become Early Bitcoin Adopters Will Be ‘Better Off’
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A new report by financial services giant Fidelity claims that countries which adopt Bitcoin early will be better off than their competitors.
According to the report, Fidelity researchers believe a form of game theory is emerging on an international level between countries, with early adopters of Bitcoin poised to benefit the most.
The report reads,
If Bitcoin adoption increases, the countries that secure some Bitcoin today will be better off competitively than their peers.
Fidelity argued that countries will be forced to acquire Bitcoin as a form of insurance in the event that adoption continues, regardless of whether they believe in crypto as a form of investment.
The report claims that “a small cost can be paid today” in the hedge against a potentially much larger cost in future years. Fidelity predicted that more sovereign nation states would acquire Bitcoin in 2022 in order to capitalize on this early adoption. They also speculated that a central bank could come forth to acquire BTC.
Fidelity pointed to new regulations, including the US infrastructure bill passed last November, that will help validate crypto as a legitimate asset class.
The financial services giant noted that while some lawmakers are working to amend the bill before it goes into effect in 2024, the regulation of digital assets ultimately represented another “milestone” for the crypto industry as it establishes itself.
Disclaimer
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.
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