A former JP Morgan manager : Cryptocurrencies will revolutionize the financial sector

JPMorgan's former director of global energy trading, Daniel Masters, explained that virtual currencies could lead to a revolution in the financial sector.

Masters, who is currently chairman of the digital investment bank Coinshares and chief investment officer at Global Advisors, explained in an interview with Bloomberg that what the distributed notebook technology by applying democracy to peer-to-peer transactions is the same What the Internet has done to democratize the news is why the encryption sector is a revolution.

And the possibility of a leakage problem in the monetary system of the partial reserve in support of some of the bank's deposits only through assets, Masters denied this possibility, stressing that the virtual currency will not create a leak of this kind.

As for the virtual currency market standardization, Masters explained that for the financial system, the encryption sector is a pilot system, although it has been between $ 1 billion and $ 10 billion over the past five years or until the end of 2017.

But as the market rises to $ 1 trillion, governments, legislators, central banks and banks have decided that it can no longer be ignored. However, this community does not believe there is a leak in the sector right now, but they realize there is a possibility in the future.

International Monetary Fund (IMF) President Christine Lagarde said in a blog posting yesterday that virtual currencies pose no immediate risk to the economy.

Masters said he never embraced the view of a war between the virtual currencies and the prevailing financial system of the dollar, but focuses on the part of the virtual currency of the total financial system, even if the ratio of 5% it will be larger than it is today.

Masters manage more than $ 800 million in encrypted assets through effective and negative strategies for key virtual currencies such as Betquin, Atherom, Moneroux and Zacache, manages currency launches, and how to stay away from fraudulent currency launches.