A prediction for future cryptocurrencies.
Apr 20, 2018 Posted / 1511 Views
The cryptocurrency market which is supposed to trade a variety of digital coins can be considered as mysterious, scary or optimistic at the same time to any casual person. The pioneer of the cryptocurrency market, Bitcoin surged in value in the year 2017 and followed by a steep fall but has maintained stability for the past few months. Also, an Initial Coin Offerings are becoming more and more popular and are rising at the very high rates.
Apart from a few cynical minds, most of the people seem to have been invested in the currency. The future of the cryptocurrency market has been predicted below by conducting talks with two of the most aspired futurist as follows.
The national currencies will be replaced by Bitcoin in 2030.
In September 2016 the futurist and author, Thomas Frey, while speaking with the Federal Reserve clearly mentioned that,“Cryptocurrency is very much here to stay.” he also predicts the future and says that the cryptocurrencies would replace 25% to 30% of the traditional currencies due to the reason that they are not that efficient as cryptocurrencies in the way they operate.
Also according to Dr. James Canton, of the Institute for Global Futures, predicts that the price of the cryptocurrency in recent years shows the “the legitimization of a new asset class emerging alongside the traditional global economy.” He even added that “I’d say you can expect an exponential increase of new investment vehicles to come from crypto finance.” There is a very high possibility of some of the cryptocurrencies getting lost. On the other hand, the administrators also believe that cryptocurrencies can earn them huge riches.
The cryptocurrencies wouldn't be similar to cash.
Cryptocurrencies in some or the other way sound like a misnomer. The coin is independent of various countries across the world since it is tied to a digital blockchain which is spread throughout the world, unlike the traditional currencies. Currently, IRS, however, treats cryptocurrencies as assets but not currency.
“Bitcoin is a lot like selling real estate,” Frey said. When the ownership of the property is changed, it just happens over a cloud where we provide ownership to just a part of our digital code to the others. While major companies like Visa has incorporated the use of Bitcoin, it is still a long time to see Bitcoin payment at each and every provision stores and supermarket.
Its value will be skeptical.
While all the others other cryptocurrencies eagerly compete with Bitcoin for the LimeLight, the Bitcoin has taken a dip lately. Which clearly doesn't indicate that the cryptocurrency market is going to crash.
Canton put forth his opinions,”I see crypto investments similarly to how I see traditional investments in stocks and bonds, which go through cycles.”
Since “there is more volatility in cryptocurrencies,” he added, “it’s a worthy area for people to experiment with their investment portfolios really carefully.”
They will cause the commerce to change.
The bankers and Financial Institutions should take the cryptocurrency seriously as it is very disruptive to their businesses.
“When people like [International Monetary Fund managing director] Christine Lagarde say cryptocurrencies could displace central banks and international banking, that’s very significant,” added Frey.
The exemption of all kinds of intermediaries in the system by establishing a peer to peer connection has attracted the investors. It also cuts down all the transaction fees that would be inevitable in without the currency.
Canton added that “The future of commerce will be shaped by the crypto supply chain, which will have less friction and more exponential value between buyers and sellers of all products.” The companies like Apex integrates various tokens for fund investments as it is very difficult for consumers to choose a particular cryptocurrency for the newcomers who wish to enter the market.
The government will surely be involved.
Cryptocurrency can be as a source of various unlawful activities such as money laundering or tax evasion, and moreover, the anonymity of the users of the transaction has made the government restless in order to intervene into it. Due to no taxation on the cryptocurrency transactions, the users somewhat seem to cheat their civic duty towards the nation.
“The government is going to tend to play their role. I think the FCC could provide prudent regulation to accept and encourage innovation with cryptocurrencies,” Canton said. “There’s a role for governments to participate, but I do think too much regulation will be intrusive.”
Applancer is an open platform for discussion on all things like Blockchain , Cryptocurrency and Ico news updates. As such, the opinions expressed in this article are the author's own and do not necessarily reflect the view of Applancer .
Hottest Blockchain Newsletter
For updates and exclusive offers, enter your e-mail below.