Is Cryptocurrency The Future?
October 20, 2020
Cryptocurrencies have been around for a while. And the many stakeholders exhibit varying outlooks. Incredibly, some portray vague perceptions leaving unclear conclusions if indeed cryptocurrencies are the future.
The Growth of Cryptocurrency
Cryptocurrencies' existence sparks from January 2009, when the Bitcoin network first came to life. The feeling is developers were simply in states of fear of the unknown. Reason: they came out so strongly after Satoshi's inception with mining block 0 under the bitcoin blockchain.
Since then, it's been a race like no other. As at close of quarter three of 2020, Coingecko lists close to 6000 coins exchanging across 400 exchanges with an estimate total market capitation of $347 billion (and still growing)
Blockchain technologies have grown exponentially over the first decade. Here is a glance at the significant milestones and timelines:
- Rise of altcoins, coming right after the launch of bitcoin. The main reason for the rise is to plug into the missing gaps and functionalities with the bitcoin network. On a laudable note are lightning networks as well as side-chains to clear transactions with record speeds.
- Blockchain tech and investors have reached market consolidation. Many scams/fraudulent projects have died away, leaving strong and credible actors to progress.
- The offshoot and the paradigm shift from coin mining towards other valuable fronts like smart contracts offer trust and intelligence gaps.
The Main Reason Why Cryptocurrency Is the Future
Cryptocurrency is gaining in popularity across the globe as a preferable mode of payments. The peer-to-peer transaction model is attractive for users craving anonymity as it removes bureaucracies with banks and middle parties. Also, unbanked societies access crypto courtesy of it's the ability to access the internet. (Internet access is far ahead of that of banks.
Altcoins have come to plug into the speed fallacy with bitcoin. Ripple is an excellent deal at swift payments and helps in furthering cryptocurrencies' agenda in the future.
The power of cryptocurrencies is in the masses. Downsides exist with illegal actors who fuel the government's interference. However, trustless networks are here to stay with the rise in access to computing.
Crypto has successfully been weaving valuable mergers with current monetary functions that jell greatly with global interests.
Here is a list of the main reasons why cryptocurrency is the future:
- First, the acceptance of cryptocurrency as modes of payments by banks, financial institutions, and individuals will feature more widely. It will make cryptocurrencies more appealing to the masses.
- Second, blockchain-based applications will feature within the core functions of businesses.
- Third, cryptocurrencies will feature alongside many mainstream payment methods.
- Fourth, the rise and stabilization of credible cryptocurrency exchanges plug into the liquidity equilibrium gaps across actors. More cryptocurrency-based investment products like futures contracts will feature more widely.
- Fifth, the rise of Stablecoins – whose value is based on specifies units of fiat currency. A great example here is USDT (Tether). Stablecoins help make cryptocurrency valuation clearer.
- Sixth, cryptocurrencies, over time, will follow the precedents made by Bitcoin. Over time adoption transforms into high prices per unit of a cryptocurrency.
Cryptocurrency adoption is on the rise. The post-2019 outlook is promising. Exchanges and local merchant's acceptance is an excellent deal for supplies of goods and services.
Mobility with infrastructure access is excellent, where platforms-iOS and Android help with the adoption plan towards the future of cryptocurrencies.
Cryptocurrency adoption is now a full prong agenda- incorporating individuals to central banks, their governments, and many actors along everyday businesses' chains.
The Value of Cryptocurrency
Cryptocurrency values fluctuate with time. Here are factors that determine the values of cryptocurrencies:
- Mining caps upper limits concerning each blockchain.
- The value offering provided by the cryptocurrency in line with the preference of the users e.g., Anonymity and instant transaction clearance while transacting
- The relative equilibrium created by the forces of supply and demand of the specific cryptocurrency against a spun of time.
How Will Cryptocurrency Impact the Future
Cryptocurrencies will continue to shape our future in the following ways:
- There'll be more widespread acceptance of cryptocurrencies for transactions for individuals and institutions.
- Rise of more investments in cryptocurrency institutions, infrastructure, and applications.
Are Cryptocurrencies Better Than Stocks?
Cryptocurrencies are as far riskier than stocks. Investors in stocks have fallen back mechanisms under the arm's length of the regulatory authorities within their national jurisdictions.
While both are subject to value volatility- it’s upon investor preferences to select risk mitigation tools.
Cryptocurrency investors ride on due diligence and caution while transacting on peer-to-peer networks.
Launch Your Cryptocurrency Future
Cryptocurrencies will continue to feature broadly into our future. Many onboarding opportunities with blockchains exist. Here at the Mycryptoview platform, we share knowledge to advance the blockchain agendas:
- Read insightful reviews.
- Ask questions, and get answers.
- And you have an opportunity to earn from MCV tokens.