While there were market corrections in cryptocurrency market in 2018, everyone agrees that the very best is yet to come. There were a lot of activities in the market that have changed the tide for the better. With proper analysis and the proper dose of optimism, anyone who is committed to the crypto market may make millions out of it. Cryptocurrency market is here now to remain for the long term. Here in this short article, we give you five positive factors that can spur further innovation and market value in cryptocurrencies.
1. Innovation in scaling
Bitcoin is the very first cryptocurrency in the market. It’s the most quantity of users and the best value. It dominates the entire value chain of the cryptocurrency system. However, it’s not without issues. Its major bottleneck is that it are designed for only six to seven transactions per seconds. In contrast Goldshell LT5, credit card transactions average at few thousands per second. Apparently, there’s scope for improvement in the scaling of transactions. With the help of peer to peer transaction networks on the top of blockchain technology, it’s possible to increase the transaction volume per second.
2. Legitimate ICOs
While there are cryptocoins with stable value in the market, newer coins are being created that are made to serve a particular purpose. Coins like IOTA are designed to help the Internet Of Things market exchanging power currencies. Some coins address the matter of cybersecurity by giving encrypted digital vaults for storing the money.
New ICOs are discovering innovative solutions that disrupt the existing market and make a new value in the transactions. They are also gathering authority in the market with their user friendly exchanges and reliable backend operations. They are innovating both on the technology side regarding usage of specialized hardware for mining and financial market side by giving more freedom and options to investors in the exchange.
3. Clarity on regulation
In the current scenario, most governments are studying the impact of cryptocurrencies on the society and how its benefits could be accrued to the community at large. We could expect that there could be reasonable conclusions depending on caused by the studies.
Few governments are already taking the route of legalising and regulating crypto markets exactly like some other market. This may prevent ignorant retail investors from losing money and protect them from harm. Abling regulations that boost cryptocurrency growth are expected to appear in 2018. This may potentially pave the way for widespread adoption in future
4. Increase in application
There is enormous enthusiasm for the application form of blockchain technology in practically every industry. Some startups are discovering innovative solutions such as for example digital wallets, debit cards for cryptocurrencies, etc. this will increase how many merchants that are ready to transact in cryptocurrencies which often boost how many users.
The standing of crypto assets as a transaction medium is likely to be reinforced as more people trust in this system. While some startups may not survive, they’ll positively contribute to the overall health of industry creating competition and innovation.
5. Investment from financial institutions
Many international banks are watching the cryptocurrency scene. This will result in the entry of institutional investors to the market. The inflow of substantial institutional investments will fuel another phase of growth of the cryptomarkets. It’s captured the fancy of several banks and financial institutions.
While the surprises and bottlenecks around cryptocurrencies reduce, there will be more uptake from traditional investors. This may result in a lot of dynamism and liquidity much needed for any growing financial markets. Cryptocurrency will end up being the defacto currency for transactions all over the world.