The Future of Cryptocurrencies in 2019 and Beyond

A cryptocurrency is a digital currency that is created and managed using advanced encryption techniques known as cryptography. With the development of Bitcoin in 2009, the cryptocurrency went from an academic concept to a (virtual) reality Bitcoin after having multiplied by ten in the last two months foreign exchange market today. Bitcoin had a market value of more than $ 2 billion at its peak, but a 50% collapse shortly thereafter sparked a heated debate about the future of cryptocurrencies in general, and Bitcoin in particular, one day. like the dollar and the euro? Or are cryptocurrencies a fad on the brink of extinction? The answer is in Bitcoin.



The Future of Cryptocurrencies

Some economic analysts predict that a big change in cryptocurrency is imminent when the institutional currency hits the market.3 In addition, crypto may be launched on the Nasdaq, increasing the credibility of the blockchain and its use as an alternative. to traditional ones, these would further increase the coins.4 Some predict that cryptocurrencies only need a verified exchange-traded fund (ETF) .5 An ETF would certainly make it easier for people to invest in Bitcoin, but they should still be in demand. cryptocurrencies that cannot be generated automatically with a fund.

Understanding Bitcoin

Bitcoin is a decentralized currency that uses peer-to-peer technology that allows all functions, such as coin issuance, transaction processing, and verification, to be performed collectively by the network.6 Although this decentralization makes Bitcoin free From government tampering or interference, the downside is that there is no central authority to make sure things run smoothly or to ensure the value of a bitcoin. Bitcoin is created digitally through a "mining" process that requires powerful computers to solve complex algorithms and process numbers about the foreign exchange market. They are currently created at the rate of 25 bitcoins every 10 minutes and are capped at 21 million, a level expected to be reached by 2140.



Future Outlook of Bitcoin

The future prospects of Bitcoin have been the subject of much debate. While financial media is promoted by so-called crypto evangelists, Harvard University professor of economics and public order, Kenneth Rogoff, suggests that the "prevailing sentiment" among crypto advocates is that all "market capitalization of cryptocurrencies will be for the next five years. " exploit. "It amounts to 5 to 10 billion." 8 Historic asset class volatility "is not a reason to panic," he says. However, he drowned out his optimism and that of the "crypto-evangelist" view of Bitcoin as digital gold, calling it "crazy" and stating its long-term value. the term "will be closer to $ 100 than $ 100,000." Unlike physical gold, the use of Bitcoin is limited to transactions, making it more prone to a bubble best broker in India for forex. . As a collapse, the cryptocurrency's energy-intensive verification process is "much less efficient" than other systems. They are based on "a trusted central authority such as a central bank.

Increase Control

The main benefits of decentralization and the anonymity of Bitcoin transactions have also made it a currency of choice for a wide variety of illegal activities, including money laundering, drug trafficking, smuggling, and arms purchases. This has drawn the attention of powerful regulators and other government agencies such as the Financial Crimes Enforcement Network (FinCEN), the SEC, and even the FBI and the Department of Homeland Security (DHS). In March 2013, FinCEN enacted rules defining exchange houses and virtual exchange managers as money service companies, placing them under state regulation.9 In May of the same year, DHS froze an account on Mt. Gox, the largest Bitcoin exchange, which was held in Wells Fargo, claiming it had violated anti-money laundering laws in Bitcoin and asking about its measures to prevent money laundering and ensure consumer protection.

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