The Prospects For Cryptocurrency

In 2015, the US Federal Reserve decided to ban all kinds of digital currencies and Bitcoin was among them. A year ago, a team from New York University made a study on how cryptocurrencies can be used for investing, how it affects government transactions, how it is being used by banks and so on. So, now let’s go into detail on what cryptocurrencies will become in the next few years.

The future cryptocurrencies

As you know Bitcoin has been around since 2008. It started as an anonymous way to send money using your private keys. Then when bitcoin became popular, people bought BTC instead of dollars or euros and it became easier to buy things with this currency. But why do we need bitcoins? I mean…it helps us pay for our coffee, it makes payments with cash, it allows easy access to other websites which allows people to shop online, and finally it is a nice way to give someone some affection and love. And today crypto is one of the most important investments in our lives.

Currently, about 6.5 million Bitcoins are generated every day and that’s only 2 million BTC per person. As Bitcoin becomes more and more legal, more and more people will want to take advantage of this new currency. Also it provides us with many opportunities, especially if we want to invest.

What cryptocurrencies will be in the market in 2022?

Well, currently there are 10 types of cryptocurrencies: Litecoin is the old version of BTC. Today it was created and developed by Charlie Lee and his brother Cameron Winklevoss, Monero is basically a browser extension used to hide BTC transactions as long as it is possible. Ethereum, Ripple, Litecoin, EOS and others: they all have their own coins. Some cryptocurrencies like DogeCoin, Tether and even Dash are not available here in the Philippines but still interesting to watch (like I did.)

Why are cryptocurrencies making headlines now?

Well, this question is very important because it gives us direction in the first place. What happened to Bitcoin at its lowest point? Many new currencies appeared along the 4th century AD, but there has been no clear answer and many different explanations. In my opinion it is related to the fact that when Bitcoin crashed, there were more questions than answers. Just like today it seems like everyone wants to figure out what is happening with Bitcoin and what will happen in the future. And yes what I’m saying is that when do the new currencies appear on the market, it can have dramatic effects. For example, EOS could also cause big changes in finance. If that cryptocurrency could be seen as good solution for all problems, then in this case it could change everything. And yes most of the blockchain-based assets are not suitable for financial services. They are usually too complicated and hard to comprehend, while cryptocurrencies, at least for now, are not as complex or hard to understand. Plus for now all these factors allow investors to easily understand the advantages of choosing this or that cryptocurrency.

My personal opinion

A great number of projects have emerged. This is called “crypto valley”. Most of those are aimed at making cryptocurrency accessible for the general public, but none is focused on specific financial services, and they all create problems: high fees for trading, complicated interfaces, limited storage space and so on. Therefore I think cryptocurrencies should lose their uniqueness and focus on particular areas of development. Nowadays, the technology has changed and so do cryptocurrencies. One of the reasons is that now we have apps such as Coinbase. They make the process of buying bitcoin much easier. No wonder everyone uses it nowadays. Moreover it doesn’t require huge amounts of money. You don’t really need big bank accounts to start buying things via cryptocurrency. I mean, you can do it without money.

I see my role in Bitcoin and cryptocurrency

In contrast to me, most of those who have already invested in crypto. That is a risk I don’t want to take. First of all, I’m going to keep it in the wallet and then sell some of it to my friends. Second of all, I don’t plan to be involved in any project of crypto. Only if someone wants me to. My main reason is that the Bitcoin itself is not that useful. I mean, it has no benefits. But I also have a lot of other risks which may seem worth taking but unfortunately it’s not that safe. These include losing some coins, getting hacked. So, now it’s up to other people to decide. Even though these are risky solutions I would prefer to stay away from them.

How else do Bitcoin and cryptocurrency fit into the world economy?

So, how does Bitcoin fit into the world economy? First of all, it’s a powerful tool for economic growth. For example, in Germany it is quite difficult to buy items with Bitcoin, but with it you can buy anything you like. With such a large reserve, it means that cryptocurrencies have never completely disappeared. We can conclude with this example.

How would you change something like that? Maybe now we can go back to the ancient times when Satoshi Nakamoto decided to save the Internet and Bitcoin. It sounds like good news from him. Another thing is that many people think he had a vision and people were excited with his ideas until he went bankrupt, like what Elon Musk did, by accident. He was right, the story of how Bitcoin came to existence is also fascinating.

Do you think that Bitcoin will disappear?

Absolutely not. There has always been a small group of companies who offer different products. So, for now the majority do nothing with it, just wait for others to come in, get ready for the rest, or even better be part of them! Still in my opinion, there is some work to be done. And as you know, there are certain elements that make the Bitcoin so special, but right now, for example, it’s mostly the wallets where users can store coins, so that even after the collapse of bitcoin, all the coins will be still there. That means that in the future, the coins stored will still exist.

What are you looking forward to? Will they survive?

This is a question I have for my dear readers and I hope you will ask yourself once and again: if it is necessary to live in this world, the coins that exist today. Well, in the first case, they will be important for my daily life but in the second they might serve as tools for people in the future. At the same time, at its bottom this is not an impossible situation. Since the introduction of the internet, money plays an important role. It will remain an important element in society and, therefore the coins of today will become important in the future.

This article is part of a series on technical analysis of the future, we hope to continue with the series later on.Thanks for your attention.