Cryptocurrency has already commanded a huge audience and shown us ways in which we can use the underlying blockchain functionality to improve current systems. But what could we actually expect from cryptocurrency moving into 2019, having seen its benefits and changes over the past few years?
Some predict that the next few years will see a big change in crypto as institutional money enters the market. This means that those with the big enough investments to really take the revolution forward. Indeed, the number of daily cryptocurrency interactions is up year on year, which shows growth, despite some citing the waning nature of investors wanting to get involved.
Moreover, there is the possibility that crypto will be floated on the Nasdaq, which would further add credibility to blockchain and its uses as an alternative to current financing options. But some predict that all that crypto needs is a verified exchange traded fund (ETF). An ETF would definitely make it easier for people to invest in Bitcoin, but there still needs to be the demand to want to invest in crypto, which some say may not automatically be generated with a fund.
However, there are critics of cryptocurrency and its uses in the future. Some cite that the volatility of Bitcoin especially – a common criticism of blockchain, which appears short-sighted given the volatility of many other commodities, for instance, coffee – may render the coin boom worthless.
Indeed, it is possible that Bitcoin may lose value as other alternatives gain value and take the market share that would have been reserved for Bitcoin. This possibility combines with the idea that cryptocurrency is just the start of what blockchain functionality offers and that Bitcoin as one example has less of a complex structure of blockchain and therefore may offer less in the future. Ripple, Ethereum and even Stellar Lumens are gaining popularity, which could relegate Bitcoin.
An example elsewhere could be Kodak’s market share of standard film cameras compared to its slice of the move towards a digital market, which left Kodak behind. A stark warning for crypto is that there needs to be more than just its financial arm.
Cryptocurrency is taking a new turn with different types of Crypto taking a spotlight in the current market.