For those who don’t know, cryptocurrency refers to a digital form of money. Cryptography, an encryption technique, is used to manage and create different forms of cryptocurrencies. For the past years in the industry, cryptocurrency turned into reality after Bitcoin was launched in the crypto world by Satoshi Nakamoto back in 2009.
Even though Bitcoin is in the industry for many years and had gained a lot of followers, back in 2013 April, it started to gain significant attention and investors. This is when a single bitcoin has a value of about 266 US Dollars. But after two months, it dropped down to about 10-fold.
When Bitcoin is at its highest peak, it shared 2 billion US Dollars as its market value. But about a 50 percent plunge happened, which cause a debate about the possible future of crypto. In connection to that, you might be asking yourself what will be the life of cryptocurrencies for the coming years.
In this post, we are going to provide you information regarding the future of cryptocurrency. So, if you want to know more about it, keep reading and enjoy!
A lot of economic experts think that there will be a forthcoming change in the world of cryptocurrency after entering the market of institutional money. In addition to that, there is also a higher chance that cryptocurrency will be at the top of Nasdaq. Moreover, the blockchain will receive additional credibility. Not only that, but cryptocurrencies will have more uses compared to conventional currencies. For more information you can visit bitcoin profit official website
Other experts foresee that most forms of cryptocurrencies will require verification of ETF (Exchange-Traded Fund). Through the help of the Exchange Traded Fund, dividend stock funds, investing in Bitcoin can be done easily. But the demand of interested people investing in Bitcoin and other cryptocurrency is still needed.
Defining Bitcoin
Bitcoin is one of the types of cryptocurrency that runs by peer-to-peer technology. In connection to that, the entire functions of Bitcoin, including processing and verification of transactions, and currency issuance are being monitored by the said network.
Bitcoin is not under the interference or manipulation of the government. What’s make it unsafe is that Bitcoin users cannot determine whether or not their transactions are running smoothly. Not only that, but you don’t have the assurance that you can get your Bitcoin tokens back. Through mining, one can create bitcoin. Mining is a process requiring Bitcoin miners to use specialized computers in crunching and solving complex mathematical problems. Every ten minutes, about 25 Bitcoin tokens are created and will be deducted from the overall number of Bitcoin, which is 21 million.
The characteristics mentioned above make Bitcoin, way better than a fiat currency. One of the good things about fiat currency is that it is credited and managed by the government. The issuance of fiat currency is a centralized process being monitored by the central bank of a country. Even though the banks need to regulate the amount of money they hold, the good thing is that they do not give their followers limitations, unlike Bitcoin.
Aside from that, real money deposits give you the assurance that you can get your money back in case the bank fails. On the other hand, Bitcoin does not offer this kind of support mechanism. Take note that Bitcoin’s value depends on the number of money investors want to pay.
To sum it up, a lot of economic experts claim that Bitcoin and other types of cryptocurrency will replace fiat currency shortly. This is the main reason a lot of people around the world started investing their money in different forms of cryptocurrencies, such as Bitcoin.
