The accelerated pace of the crypto industry in 2021 surprised many people, including Marcus Swanepoel, CEO of Luno, a cryptocurrency exchange. Swanepoel recently commented: “We know it is coming, but not so fast, especially in certain sub-sectors, such as NFT and some altcoins.”

Sub-industries at the “top of the hype cycle”

The accelerated development of the crypto industry in 2021 surprised some participants in the field, including Marcus Swanepoel, the co-founder and CEO of the crypto trading platform Luno. Although Swanepoel pointed out that this acceleration was expected, he admitted that the growth rate was unexpected.

In the remarks Publish Written by Daily Maverick, the CEO provides his views on the reasons that may lead to rapid acceleration.

“This year the industry is developing much faster than we expected. We know it is coming, but it’s just not that fast, especially in certain sub-sectors such as NFT and some altcoins,” quoted Swanepoel’s explanation Say.

However, Swanepoel believes that some sub-sectors may be at the “top of the hype cycle” and may cool down in the next cycle. The CEO also lamented that “less than 90% of what people see [in the crypto industry] Actually useful or legal. “

CBDC is good for cryptocurrency

In addition to sharing his views on the development of the encryption industry and Luno’s history since its establishment get In the Digital Currency Group’s speech, Swanepoel also expressed his views on the potential threat posed by the Central Bank Digital Currency (CBDC) to cryptocurrencies. He explained that although many governments seem to be interested in issuing CBDC or are experimenting with CBDC, the reality is that the full launch of this digital currency will take several years.

If many countries successfully launch a functioning digital currency, Swanepoel believes that this will be beneficial to encryption, and elaborated:

But if they [governments] Indeed, it is very beneficial for encryption, because it will only increase the convenience of entering and exiting centralized encryption (such as Bitcoin).

In terms of regulation, Swanepoel said that on a global scale, progress in establishing an appropriate regulatory framework has been very slow. In the same interview, Swanepoel also joked how China’s crackdown on Bitcoin mining caused this activity to move to North America.

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Terence Zinwara

Terence Zimwara is an award-winning journalist, writer and writer in Zimbabwe. He has written a large number of articles about the economic difficulties of some African countries and how digital currencies can provide a way out for Africans.