For a long time, the main debate within the crypto market has been the quality of Bitcoin as an asset store of value. And, in order to be an efficient haven of value, one of the main characteristics that an asset must have is its price stability. But, although many consider that with its maturity Bitcoin will reach this stability, for Changpeng Zhao Bitcoin will never be stable, as he commented in the Tweet of the day:
Stability will not come to Bitcoin
One of the main characteristics of cryptocurrencies is their volatility. Thus, users of the crypto world are accustomed to experiencing surprise increases and sharp falls from one moment to the next, in the price of virtual currencies such as Bitcoin. What has caused many critics to consider cryptocurrencies as merely speculative financial products. Without a real value that can guide its price.
This is not the stance of most crypto users, for whom the reason behind the instability of cryptocurrencies like Bitcoin is their immaturity. Well, being a relatively new financial product, the amount of capital within its market is still limited. Therefore, the movements of large investors known as whales, end up having an excessive influence on their price.
The natural conclusion of this argument is that when the Bitcoin market reaches sufficient maturity, it will also achieve stability in its price. However, not everyone agrees with this idea. Thus, the CEO and founder of Bitcoin, Changpeng Zhao, wrote through his Twitter account, assuring that BTC will never be a stable financial asset:
«Bitcoin will not be a safe haven asset of stable value against fiat. Get over. And that’s a good thing».
This tweet would be a response to a message from Anthony Pompliano, in which the crypto influencer assures that more and more people will accept Bitcoin as a haven of value. Clarifying, however, Changpeng Zhao, that the fact that Bitcoin is not considered a store of value asset like gold is not necessarily a bad thing. But, on the contrary, it could be an advantage for the cryptocurrency, providing it with greater flexibility.