While there were market corrections in cryptocurrency market in 2018, everyone agrees that the very best is yet to come. There have been a lot of activities on the market which have changed the tide for the better. With proper analysis and the proper dose of optimism, anyone who’s committed to the crypto market can make millions out of it. Cryptocurrency market is here to remain for the long term. Within this article, we offer you five positive factors that may spur further innovation and market value in cryptocurrencies.
1. Innovation in scaling
Bitcoin is the first cryptocurrency in the market. It has the maximum amount of users and the best value. It dominates the entire value chain of the cryptocurrency system. However, it isn’t without issues. Its major bottleneck is that it could handle only six to seven transactions per seconds. In comparison, charge card transactions average at few thousands per second. Apparently, there is cryptocurrency wallets for improvement in the scaling of transactions. By using peer to peer transaction networks along with the blockchain technology, it is possible to increase the transaction volume per second.
2. Legitimate ICOs
While you can find cryptocoins with stable value in the market, newer coins are being created that are designed to serve a specific purpose. Coins like IOTA are intended to help the web Of Things market exchanging power currencies. Some coins address the problem of cybersecurity giving encrypted digital vaults for storing the amount of money.
New ICOs are coming up with innovative solutions that disrupt the prevailing market and bring in a new value in the transactions. Also, they are gathering authority on the market with their simple to use exchanges and reliable backend operations. They’re innovating both on the technology side regarding using specialized hardware for mining and financial market side 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 can be accrued to the community at large. We can expect that there may be reasonable conclusions as per the consequence of the studies.
Few governments already are taking the route of legalising and regulating crypto markets just like any other market. This will prevent ignorant retail investors from losing profits and protect them from harm. Abling regulations that boost cryptocurrency growth are anticipated to appear in 2018. This can potentially pave the way for widespread adoption in future
4. Increase in application
There’s enormous enthusiasm for the use of blockchain technology in virtually every industry. Some startups are coming up with innovative solutions such as for example digital wallets, debit cards for cryptocurrencies, etc. this can increase the amount of merchants who are willing to transact in cryptocurrencies which in turn boost the amount of users.
The reputation of crypto assets as a transaction medium will be reinforced as more people trust in this system. Although some startups may not survive, they’ll positively contribute to the overall health of the market creating competition and innovation.
5. Investment from financial institutions
Many international banks are watching the cryptocurrency scene. This can lead to the entry of institutional investors in to the market. The inflow of substantial institutional investments will fuel the next phase of growth of the cryptomarkets. It has captured the fancy of several banks and financial institutions.