05.07.202211:50 Forex Analysis & Reviews: Ethereum could 'take over everything'

Ernst & Young's global blockchain leader Paul Brody believes if Bitcoin were to become a global monetary standard, it would be an "absolute economic catastrophe". The world's largest cryptocurrency is by default considered a deflationary asset in the digital space. In the crypto world, this means that its supply is finite - set at 21 million tokens ever to be minted — and as investors buy and hold Bitcoin, the supply is reduced, and prices increase.Deflationary assets are especially terrible as global monetary standards during economic slowdowns. One of the clearest examples from the past is gold, Brody added. He noted that the gold standard had failed for a reason.Many proponents of Bitcoin refer to the cryptocurrency as gold 2.0, and Brody views this analogy as fair.According to Brody, with Bitcoin's popularity surging over the past decade and many proponents calling it a solution to the current global monetary policy system, it is worth being cautious around arguments calling for adopting a Bitcoin standard.However, despite Bitcoin being the world's largest cryptocurrency, there are some red flags regarding its future.Fundamentally, blockchains are not just digital assets. They are technology ecosystems. The big red flag around Bitcoin is technology ecosystems live and die by the number of developers that are building products and services on top of them. Indeed, not very much of that is happening in Bitcoin.Most of the developments and engineering work is happening in the Ethereum ecosystem. Even though Bitcoin seems to be doing well, there is concern around its long-term future.Overall, Brody predicts that Ethereum is the most likely ecosystem to take everything over.