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Table of Contents
- The Evolution of Cryptocurrency
- Cryptocurrency’s Landscape is Maturing
- Decentralized Finance- Driving the Climb
- Cryptocurrency: Redefining Money in the Digital Age
- Conclusion: Is it Worth to Invest?
The Evolution of Cryptocurrency
Crypto evolution was started in 2009 by Satoshi Namakoto, presumed pseudonymous person or persons who developed bitcoin, where he mined the first Bitcoin on a decentralized network. In 2011, Litcoin was introduced, followed by another cryptocurrency ‘Ripple’, in 2012. Soon after this, the price of single Bitcoin was reached to be $1,000. As the concept of cryptocurrency started getting matured, Ethereum(often known as the king of smart contracts) was launched, bringing smart contracts into the crypto ecosystem. Then in 2017, around thousands of cryptocurrencies were listed. In 2018, EOS offered a Blockchain-based infrastructure for decentralized applications(DApps), and at present, decentralized finance has entered into a digital age, opening a lot of opportunities for the crypto ecosystem.
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Cryptocurrency’s Landscape is Maturing
As the advent of cryptocurrency has taken the world by storm, it has become a global phenomenon in recent years. However, much is still to be learned about this revolutionizing technology. Cryptocurrency experts and technocrats believe that digital currency has the potential to replace cash one day eventually. If you are a big fan of price predictions, you must have noticed how Bitcoin remains under the limelight in terms of increasing market capitalization. Crypto predictions state that Bitcoin market cap will reach an all-time high of $27,000 while other popular cryptocurrencies will explode to a whopping $2 trillion.
Moreover, the majority of U.S. investors are gaining appeal in digital assets and believe that crypto should be a part of their investment portfolios.
Decentralized Finance- Driving the Climb
According to the Bloomberg Galaxy Crypto Index, crypto assets are showing a high up by 66 per cent in 2020, indicating the rate is exceeding that of gold’s performance by 20 per cent.
It is found that digital assets are beating global stocks, bonds, and commodities this year and the key reason for the higher surge is due to Ethereum, which accounts for more than one-third of the cryptocurrency’s run this year.
The Decentralized Finance(DeFi) space is gaining strength, due to “yield farming,” which allows entities and individuals to lend or borrow funds and earn interest without the need for traditional intermediaries. According to DeFi Pulse, the DeFi space has more than $9 billion in cryptocurrencies locked.
Since the majority of the DeFi apps are run on the Ethereum blockchain, a key reason for the higher surge is due to Ethereum Blockchain.
Mike McGlone, a strategist at Bloomberg Intelligence, explained that Ethereum’s rise is powered by the increased adoption of DeFi, which seems to be keeping its platform leadership status in the domain.
CEO of crypto asset management firm Two Prime, Marc Fleury, believes that the crypto market is performing outstanding despite the COVID-19 crises. According to him, Bitcoin has become a “refuge,” as it is a hedge against risks just like gold.
Cryptocurrency: Redefining Money in the Digital Age
During the coronavirus outbreak, the Bitcoin market cap was initially slowed down to almost $3,000, but in a few time, it soared back up, hitting $10,000. According to various reports, this pandemic is pushing Bitcoin’s maturity and gaining the upper hand, against the stock market. Rather than seeing this as a crisis situation, analysts and crypto experts are considering COVID-19 outbreak as a catalyst for Bitcoin’s transformation into a safe and most valuable asset like gold.
Today, crypto can be used for making cross-border payments between participating parties without involving third-party intermediaries, value storage, digital ownership, and much more. Cryptocurrencies offer many proven, high-value use-cases for the digital age. And if this continues, crypto-assets will definitely replace traditional ways of exchanging money.
Conclusion: Is it Worth to Invest?
Cryptocurrencies, without a doubt, hold a very promising future. But in reality, trading and investing in cryptocurrencies entails a serious risk of failure. The value of cryptocurrencies and futures can fluctuate, and one can lose more than their initial investment as a consequence. But with adequate knowledge in the crypto space, especially regarding the trading strategies, you can invest and trade confidently. If you’re looking for a proven plan to build wealth, I encourage you to check out Blockchain Council and get enrolled in the most-demanding crypto certifications and become a Certified Cryptocurrency Trader(CCT) or a Certified Cryptocurrency Expert(CCE).
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CRYPTOCURRENCY- The Year’s Best-Performing Asset So Far