What is Future Cryptocurrency: Cryptocurrency is the most recently added twig in the arm of the financial market, which is proving a shot in the arm for its traders. They are corrugating their capital from elsewhere to invest in it following the rearing benefits that seem to from it. In 2019, the total cryptocurrency market value was pegged at USD 1.03 billion. As per the projections, it may grow up to USD 1.40 billion by 2024.
However, the cumulative market cap of the cryptocurrency as of 5 August 2020 was $337.28 billion. There are overall 6088 digital currencies available in the online market for trading. (Data from CoinMarketCap. In 2016 the market cap value was lower than USD 18 billion and rose to 128.78 billion by 2018.
As of 19 August 2018, there were mere 1600 cryptocurrencies available on the internet. The price of bitcoin peaked at nearly USD 20000 in the year 2017.
Glancing at the growth prospects, the future of cryptocurrency seems bright and shiny.
Future Cryptocurrency Definition
It is a computer-generated digital currency which utilizes the algorithm of encryption for securing the procedure involving creating of different coins and performing transactions. It is mandated as an ecosystem thriving to gulp down the current financial territory and policies. The advanced techniques of encryption are referred to as cryptography.
These coins or digital money don’t have any physical presence or property of collateral for evaluating their values.
Read More: How to Make Money Investing in the Cryptocurrency Market
Some Characteristics of Cryptocurrencies
- There is a universal discourse on whether cryptocurrencies should have a regulatory authority looking over their transactions. But even after more than eleven years of the launch of the first cryptocurrency bitcoin, no government regulates it.
- As there it is available only in virtual form, there’s no over-the-counter platform for investors to buy and sell them. All the other cryptocurrencies that formed after bitcoin are also known as altcoins or alternative coins.
- Experts consider it as a disruptive concept and force against the prevalent notion of fiat currency.
- Bitcoin has the advantage of being the first of its kind. Hence, it captures the significant share and belief of investors compared to others.
- Cryptocurrencies offer compliance-free remittance and ease of transactions seeing through the boundaries of nations.
- The ability to break the cross-border barrier of transaction makes the currency popular among classes.
Advantages Enveloping Cryptocurrencies That Can Trigger its Future Prospects
- It gives enhanced and compact advanced security for transactions.
- All trades done have logs. Thus, they are transparent but at the same time far from anyone misusing the digital currency of another trader.
- It comes with a decentralized system, which enables users to access it from different parts of the globe.
- The international transfer is quicker than an eyeblink.
- Low fees and prevention from scamsters and fraudsters are qualities that are dictating in an investor’s mind, and they are adopting the technology.
- Protection from consumer chargebacks is one of the reasons that is triggering interests in industries and traders per se.
Europe May Emerge as the Power Hub of Cryptocurrencies
Currently, Europe holds the second spot in terms of cryptocurrency-related transactions and exchanges. The main markets comprise the UK, Germany, East Europe, and France. Besides, the rest of Europe contributes to its growth too.
APAC Tops The Chart
APAC, aka the Asia Pacific region, is on the top of the list where volumes of investors and transactions are mammoth and magnifying. It primarily includes Japan and South Korea and the RoAPAC, which has Australia, New Zealand, Malaysia, India, Thailand, China, and Singapore. Japan sits on the hilt when it comes to awareness and technology surrounding cryptocurrency. The government is apparently favoring cryptocurrencies.