Cryptocurrencies have been at the center of a lot of discourse as of late. While digital money has only sprung to the financial scene relatively recently, only a little over a decade ago, it has enjoyed an influx of popularity like no other asset before or since. Some researchers are incredibly optimistic, predicting that cyber money is bound to become a store of value akin to gold. Indeed, Bitcoin has long been hailed as digital gold due to its scarcity and potential to serve as a hedge against equity risk. BTC displays significant potential for growth, with estimates predicting it is bound to grow to 2.5 times its current value.
Nevertheless, many are still wary of cryptocurrency and its uses. While many swear by the fact that there are significant returns you can expect if you invest in crypto, others warn that the heightened volatility levels and constantly shifting prices make it a holding that is, at least for the time being, too unstable to be part of the portfolio of any trader. And while unpredictable prices are a cause for concern in the case of many investors, it’s also worth mentioning that digital currency trading nowadays is much less risky than it was around ten years ago.
One of the most interesting things about crypto is how exciting it is. Even those that aren’t involved in trading talk about it, and there’s increasing discussion about how the world’s governments should look into laws and regulations that’ll make it akin to traditional currency. If you’ve been considering starting a career as a trader, you might be wondering if there’s anything more to it. You don’t want to invest capital into something that’s all talk and no action. Let’s examine it a little further.
The Latest Developments
In 2022, the financial market has been under the dominion of a bearish tendency, and yet crypto has remained strong and seen recorded increasing interest from prospective traders. This is all the more justifiable in the context of widespread financial crises and skyrocketing prices. In fact, the early 2020s may be the years set to decisively establish crypto’s role in the global market and lead the path to massive adoption. In 2021, El Salvador became the world’s first nation to adopt Bitcoin as legal tender, essentially making it an official currency. While the move has enjoyed limited success, it’s the first step in this direction and one that many other countries are sure to follow sooner rather than later.
Around the world, many other cities’ names are currently linked to cyber money, earning them the denomination “crypto-friendly cities”. Amsterdam is one of the best examples, with the Dutch capital having over forty places where you can pay for products or services using crypto. Ranging from cafes to bike repair shops, you can request their services after using one of the city’s half a dozen available Bitcoin ATMs. Rotterdam and Utrecht also have their fair share of locations where you can pay in crypto.
Slovenia’s capital of Ljubljana has also advanced quite a lot in the field, with over 200 merchants claiming they accept Bitcoin. Tel Aviv, New York, and London feature BTC meetup groups, startups and media companies, and several ATMs you can use. The increased usage of crypto at a societal scale and the fact that several vendors have begun to accept it means that trading in cyber coins is a thing of the future. The world is heading in this direction, and neglecting this tendency won’t do you any favors.
Technology is at the forefront of development. Over the past few decades, automation has grown progressively, transforming society in virtually all areas. From creating new jobs and making existing ones less taxing by removing extraneous tasks, improving food safety, contributing to better sanitation and higher living standards, making education and healthcare more efficient, and providing us with engaging and exciting forms of entertainment, there isn’t much it cannot do.
Blockchain technology is one of the latest developments, but according to estimations, it is set to change the world. When you check the Bitcoin price USD before conducting a transaction, you must be aware of all the computational power that goes behind it. BTC exists on a decentralized ledger; although you buy and sell, the coins are never physically in your possession. Your Bitcoin remains connected to the blockchain.
This is the same tech set to revolutionize everything and has already taken the first steps in that direction. For example, decentralized finances and apps have enjoyed increasing popularity, and while they’re still not mainstream, they’re bound to become more popular over the years. NFTs have also made the news with increasing frequency, with hype building around them owing to their scarcity. Unlike other assets, they can’t be exchanged equivalently. And since decentralized ledger systems prevent data duplicates, putting an NFT on the blockchain guarantees that there’s only one existing copy of a piece of digital art.
Logistics and supplies are other areas that could benefit from blockchain usage. It would improve communication between partners, data security and integrity, and more accessible processes that ensure greater trust and accuracy across all areas of the system. While widespread use of the technology is still in its incipient stages, you surely want to feel like you’ve directly contributed to the advancement of groundbreaking developments.
Internet Of Things
We’ve already discussed the broad scope of technological solutions, so we can’t omit the Internet of Things. While this increased connectivity has made life easier, it is also a gateway for hackers who want to access your data. Your sensitive information shouldn’t be vulnerable to attacks under any circumstances, and blockchain technology can ensure that you enjoy greater security by storing passwords and other credentials more securely. What’s more, you don’t have to be worried about tampering, given that details on the blockchain can’t be modified.
Crypto trading is relatively young. The novelty is the root of crypto’s biggest problem, its relatively high volatility. However, it is also the thing that provides the best opportunities for development. When you invest in crypto, you’re not only creating personal gains but also directly supporting an innovative technology set to revolutionize the world as we know it.