While there have been market corrections in cryptocurrency market in 2018, everyone agrees that the best is yet to come. There were a lot of activities available in the market that have changed the tide for the better. With proper analysis and the right dose of optimism, anyone who is dedicated to the crypto market will make millions out of it. Cryptocurrency market is here now to remain for the long term. In this article, we give you five positive factors that may spur further innovation and market value in cryptocurrencies.
1. Innovation in scaling
Bitcoin is the very first cryptocurrency in the market. It has the most quantity of users and the highest value. It dominates the whole value chain of the cryptocurrency system. However, it’s not without issues. Its major bottleneck is so it are designed for only six to seven transactions per seconds Goldshell LT5 Litecoin Miner. In contrast, charge card transactions average at few thousands per second. Apparently, there is scope for improvement in the scaling of transactions. With the help of peer to peer transaction networks on top of the blockchain technology, it’s possible to increase the transaction volume per second.
2. Legitimate ICOs
While there are cryptocoins with stable value available in the market, newer coins are now being created that are created to serve a specific purpose. Coins like IOTA are designed to help the Internet Of Things market exchanging power currencies. Some coins address the issue of cybersecurity by giving encrypted digital vaults for storing the money.
New ICOs are picking out innovative solutions that disrupt the present market and make a new value in the transactions. They’re also gathering authority available in the market using their simple to use exchanges and reliable backend operations. They’re 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 today’s scenario, most governments are studying the impact of cryptocurrencies on the society and how its benefits could be accrued to the city at large. We could expect that there may be reasonable conclusions as per the result of the studies.
Few governments are actually taking the route of legalising and regulating crypto markets the same as any 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 look in 2018. This may potentially pave the way for widespread adoption in future
4. Escalation in application
There is enormous enthusiasm for the application form of blockchain technology in practically every industry. Some startups are picking out innovative solutions such as digital wallets, debit cards for cryptocurrencies, etc. this may increase the amount of merchants that are prepared to transact in cryptocurrencies which boost the amount of users.
The standing of crypto assets as a transaction medium will be reinforced as more folks trust in this system. Although some startups might not survive, they’ll positively donate to the entire health of the market creating competition and innovation.
5. Investment from financial institutions
Many international banks are watching the cryptocurrency scene. This will cause the entry of institutional investors to the market. The inflow of substantial institutional investments will fuel the following phase of growth of the cryptomarkets. It has captured the fancy of several banks and financial institutions.
While the surprises and bottlenecks around cryptocurrencies reduce, there could be more uptake from traditional investors. This may cause a lot of dynamism and liquidity much necessary for any growing financial markets. Cryptocurrency will end up being the defacto currency for transactions all around the world.