Is Bitcoin capable of solving the problems that international monetary transactions have dragged on for years? Jack Mallers, founder and CEO of the Strike payment gateway, explained to the International Monetary Fund (IMF) the reasons why his answer to that question is yes.
In a presentation addressed to the institution, Mallers presented the benefits of Bitcoin as a global monetary network to the main problems of the banking system and how, with this network, all these inconveniences can be solved.
The exhibition, which dates from December 2, but became public this Tuesday, December 21, establishes as great aspects to improve speed, transparency, costs, the lack of interoperability of the current system and the poor accessibility for users.
Currently, Mallers argues, the cross-border transaction process relies on many intermediaries between the sender and the recipient. This makes everything is very slow and expensive right now, which is a problem and something he found unacceptable. By contrast, Bitcoin and its Lightning Network payment network solve all of that, in their view.
I am not proposing that you mortgage your house and put everything in bitcoin. I’m just saying that as a global currency standard and global currency network to improve international payments, I think bitcoin solves it.
Jack Mallers, CEO of Strike.
“Bitcoin offers superior payments”
For the Strike executive, a company that facilitates sending money internationally avoiding volatility in the bitcoin (BTC) market, and which played an important role in the adoption of BTC in El Salvador, other benefits must be added: decentralization, interoperability or the fact that this network works 24/7, for example.
But the 27-year-old businessman finished off the idea with a blunt statement: “Bitcoin offers superior payments. It is the most impressive monetary network in history, “he said about it, highlighting the openness and accessibility of the first and main cryptocurrency in history.
Bitcoin is global money, which is valued the same everywhere, at all times by everyone in the world; it is not localized, it is an open system, it is a monetary policy that is defended by a distributed network of peers. There is no central point of failure, there is no government that can take it and change it; it works 24/7, is reliable and decentralized enough to survive.
Jack Mallers, CEO of Strike.
And what about bitcoin volatility?
Jack Mallers understands that the use of bitcoin as a currency is still questioned in the world. Mainly, due to the resistance that it generates in potential users, something new that also has high volatility in the market.
For this reason, Strike proposes to make use of the Bitcoin network as the tool that allows superior cross-border payments, in the words of Mallers, but without exposure to that volatility.
Strike connects your money collateral to bitcoin. You can make payments in bitcoin with your dollars ”, explained Mallers, who wondered what it would be like to make a transaction with dollars to Europe, they are converted to bitcoin, they are sent and then they are converted back into euros.
What world would that be. You are not exposed to bitcoin volatility, you don’t have to know how it works, you don’t have to be bullish or bearish. We are using a superior monetary network.
Jack Mallers, CEO of Strike
Finally, he referred to Bitcoin as “just a tool.” For him, this tool did not define the death of anything (as an indirect reference to the dollar) but can be used to make the world a “better place.” Mallers invited to pay more attention to this tool if you really want to improve the experience of trading internationally.
Mallers expressed his appreciation for the attention of the IMF, precisely an institution with a historically very contrary position to bitcoin. This international organization has constantly advocated for a global regulation of cryptocurrency and has insisted on considering it a very risky tool, to the point of expressing suspicion at the step that El Salvador took with its Bitcoin Law, as we have reviewed in CriptoNoticias.