Facebook’s payment protocol Libra can make central and commercial banks irrelevant, but they still have a chance to restructure themselves to take their place in the changed market.
However, PayPal has no future anyway, at least BitMEX CEO Arthur Hayes thinks so. He expressed this opinion during the Asian Blockchain Summit (ABS).
According to Hayes, banks should be more concerned about the emergence of the Libra project, since the new centralized one can pull off a huge number of users.
Heys believes that in the future, Facebook will also provide loans and other services that are currently the prerogative of the banking sector.
“This currency has the potential to completely destabilize commercial banks and prevent them from earning income,” he added.
However, the worst of his predictions concerned the PayPal payment network, which notes increased competition from cryptocurrency-friendly players such as Square.
“PayPal is still screwed up,” he said, explaining that their sad future wasn’t even related to Libra’s success.
However, BitMEX CEO is known for his loud statements proclaiming the death of traditional finance mechanisms.