The Age Of Change and Advancement
If one were to describe the era in which we are currently living today, it wouldn’t be a stretch to say that it’s an age of change and advancement for all sectors of our lives. Compare the 1990’s with today. The concept of a phone back then, was just a device to make calls with, and maybe send text messages on, and today it is one of the most important devices in our lives, which we use in a number of areas, such as social media, as well as methods of convenience.
The concept of movies was either relegated to cinemas or Dvd’s, but now one can basically watch movies at any time due to streaming services such as Amazon Prime Video and Netflix.
An area which is steadily changing is the world of finance which may find its future within the realm of cryptocurrencies and the blockchain. How does the world of cryptocurrencies fit within the financial world and does their intricate Nuance set the stage for the future of Finance?
Cryptocurrency: Baby Steps, Strong Future
The cryptocurrency industry has only been operating for the last 13 years or so, making it a relatively young sector of the financial landscape. This isn’t really fresh news, but it is generally agreed that the market needs more time to reach its full potential.
Evidence of this can be seen in the dearth of reliable resources for people looking to invest in the cryptocurrency market; however, sites like Coinbharat are working to rectify this situation by providing the general public with trustworthy guidance on this front. This site, started as a passion project by Indian expats and financial experts who saw an overall scarcity in objective reviews on cryptocurrency trading and knowledge towards the general public in regards to the landscape of cryptocurrency.
The Cutting Edge Technology Behind Crypto
The true degree of wonder behind cryptocurrency and the future it may hold stems from the technology it uses and what it may bring to the table. The main appeal behind cryptocurrency is that it acts as its own variation of a banking system that is composed completely online rather than in a physical manner. Everything within the blockchain is network-based, with E-wallets allowing one to manage their finances.
It’s a new concept, one which indeed has a strong potential to become a principal way for us to trade in finance. However, it comes with a number of criticisms.
Criticisms of the Crypto Industry
Like everything under the sun, the crypto industry has its good and it’s bad. One of the biggest criticisms towards the crypto industry lies within its volatility. Bitcoin’s value has risen and fallen dramatically, reaching a peak of Seventeen Thousand in December 2017 before crashing under Seven Thousand in the months that followed. Thus, some economists see cryptocurrencies as a fleeting craze or speculative bubble, while others predict that such volatility will eventually disappear, just as the volatility of stock markets of yesteryear did.
Another criticism of a financial network that is completely and solely based online, is that they can be easily hacked and stolen. Bitcoin and other cryptocurrencies are very safe on their blockchains, but other crypto entities like exchanges and E-wallets may be compromised. Over the years, hackers have broken into a number of crypto exchanges and E-wallets, often making off with thousands of dollars’ worth of “coins.”
When it comes to deciding whether crypto may or may not be the future of finance, one may go into it with rose-coloured glasses, believing that due to the cutting edge technology of crypto, the world of finance is already going into the future, but in truth it is much more than that. The world of crypto today is too young and too volatile for one to give a definite answer on whether it’s the future of money, and only time will be able to answer this question for us.