For many reasons, it will be great to see the world running on crypto alone. One of the reasons is the freedom that comes with it. An asset owner in the crypto world truly owns the asset. This is not the same as in the banking sector.
My bank deducted some money from my account recently without any detail. I was furious about it. I went to the bank to lodge a complaint and even threatened to sue them. The bank officials explained to me that the deduction was for the cost of sending me messages and some other charges, which, according to them, I signed to an agreement that such charges could be reviewed any time without necessarily notifying me. I had to soft-pedal upon knowing this. This is just one out of the numerous ways that banks control one's assets in their custody.
The control isn't just peculiar to banks alone. The government is another body that controls one's funds saved in the bank. A government agency can wake up one day and freeze one's account with the accusation of money laundering. In fact, they can use such an action to settle scores with political opponents. All of these concerns won't be there if we all operate in cryptocurrency.
Just like the advantages mentioned above, operating a world that operates in crypto alone has its disadvantages. One of them is about taxation. Citizens build their country through the taxes that they pay to the government. I read recently how the Dangote Group, a company that produces varieties of commodities like cement, sugar, petroleum products, etc., paid billions of naira to the Nigerian government as tax within a year. The government is able to get such taxes from such an organization because the government is aware of the financial cash flow happening within the organization. There is no way that a company would hide his earnings to pay little tax.
There is a tax known as income tax paid by individuals. Civil servants have their taxes deducted from the source of their salaries. There may arise some difficulties in achieving this diligently if the world is operating on crypto alone.
Another challenge is that of education. It is easier for the educationally disadvantaged population to cope with fiat and the conventional banking system than cryptocurrency. It requires quite a level of education to be able to navigate through the intricacy of crypto. Presently, the world is far from attaining this level of education, especially the developing nations.
A few years ago, there was a cashless policy fully in place in Nigeria. Many people could not cope. I remember telling an elderly woman to download a bank application so that she could seamlessly cope with the cashless policy, but the woman refused. She didn't trust transactions done via bank apps or USSD. This kind of woman would find it more difficult to accept cryptocurrency. People like this woman are in the majority in Nigeria and other developing nations. This will pose some impediments to having the world operate financially on crypto.
Having considered the pros and cons of having crypto absolutely adopted in place of fiat and banks, I would prefer having both of them in operation as we have today. Let the message of crypto be taken to the doorstep of everyone, but banks should remain an alternative for whoever willingly or unwillingly prefers to transact in banks. In this way, there would be inclusivity in the global financial system.