Bitcoin Has No Real Value Yet — KPMG Report
Analysts from the audit company KPMG, a member of the Big Four, argue that bitcoin and other cryptocurrencies still cannot be considered as assets with a real value.
The document entitled “Institutionalization of Cryptoassets” states that bitcoin and other cryptos cannot be an appropriate store of value because of the lack of credibility, high volatility, and scalability problems.
Digital assets are to be institutionalized to gain more trust. The crypto sphere needs to attract a large number of exchanges, banking institutions, financial companies. Only then will cryptocurrencies be perceived as a part of the global financial system.
Many economists and researchers believe that the crypto market is kept afloat thanks to speculative investments made by small investors who either hope for the potential of technologies offered by startups, or remain confident in future profits.
The KPMG report does not detract from the merits of retail investors, but focuses on the need to develop regulative rules, which will make cryptocurrencies more popular and determine their real value.
Summing up the research, KPMG analysts make an optimistic conclusion – the use of cryptocurrency will become common. However, this will happen when all participants in the digital asset market comply with the rules related to asset security, transparency of their origin, financial audit, and regulatory requirements.
As previously reported, the Big Four auditing firms started recruiting specialists in the field of cryptocurrency and blockchain.