Recently, An analysis was released by the European Parliament. It revolves around the concept of replacing the Fiat currency with the cryptocurrency in some of the cases. The economic and monetary affairs committee has come up with the proposal. Even though it is just idea at the current stage but it can open new doors for the cryptocurrency is in the future.
The European Parliament is deliberating on using the cryptocurrencies extensively. They are also starting the cryptocurrency market as well. They are reviewing and trying to interpret the impact of cryptocurrencies on the economic system. That is why they are closely working with the experts in order to know more about cryptocurrencies.
Report by European Parliament:
The report by the European Parliament clearly defines the cryptocurrencies as the ones which are not issued by a central bank. They are not issued by any kind of institution. The venue is entirely determined by the demand-supply equation. Thus, the definition of the cryptocurrency is not actually vague. The definition of the cryptocurrency is pretty crystal clear as well.
In addition to that, the report further states that in the near future, permission to cryptocurrencies can be issued as well. These will be promoted by the financial institutions as well as the banks. These will gain a lot of traction as well.
The report clearly states that in some of the cases, it might make better sense to use cryptocurrencies instead of Fiat currency. This is a clear indication that cryptocurrencies might be used in place of the Fiat currency.
This research by the Parliament is actually pretty significant. While the authorities all over the world are trying to reduce the usage of cryptocurrencies, the European Parliament is trading with the replacing the normal currency with the cryptocurrency is possible or not.
In the very near future, as the usage of the cryptocurrencies in case, the European Parliament will surely be one of the 1st ones to think about replacing the Fiat currencies with cryptocurrencies. If indeed, that happens most of the cryptocurrencies will see a significant boost as well. This will certainly increase the credibility of the cryptocurrencies. As a result, the usage of cryptocurrencies will increase significantly. Due to the increased demand, the value of the cryptocurrencies will also increase which will ensure that day-to-day transactions will be made possible with the help of cryptocurrencies. However, the idea is still in the nascent stage and it remains to be seen whether anything comes out of it or not.
