The PayBito chief voiced his concern towards the role of key contributors maligning the existing monetary system with political influence, and calls for a change in practice.
PALO ALTO, Calif., Feb. 11, 2023 /PRNewswire-PRWeb/ — The start of 2023 has investors and enterprises apprehensive in matters pertaining to the global economy. Institutions around the world reported heavy losses owing to fed rate hikes, inflation, supply chain disruptions, the European energy crisis and more. HashCash Consultants and PayBito CEO Raj Chowdhury highlighted the negative impact of institutional arbitrage, and proposes a conscious switch towards frameworks immune from human tampering.
The act of arbitrage is controversial, with powerful global corporations often shifting decisions in their favor with the help of strong political influence. They hold considerable sway in yielding desirable outcomes and bypassing market, societal and environmental regulations, both directly and discretely.
The HashCash chief identifies the fallacies present in the present monetary mechanism, stating, “The current monetary system is fraught with political influence and institutional arbitrage. This system created economic crises, financial exclusion and distributed more wealth to the wealthy. Let’s put our faith in a mathematical framework free of human vice.”
The framework refers to cryptocurrencies like Bitcoin and its underlying blockchain technology. Rising as one of the most disruptive technologies of the present era with a seemingly endless scope of applications, blockchain has been adopted heavily by virtually all major players in the BFSI sector. The response has, however, not been the same for digital assets, with detractors citing recent exchange crashes, stablecoin fallouts as reasons for not banking upon crypto. On a side note, a majority of developing or already developed nations are either developing or conducting research on Central Bank Digital Currency(CBDC). The PayBito CEO has said…