While there are some adjustments to the cryptocurrency market in 2018, everyone agrees that the best is yet to come. There are many market activities that are changing the tide for the better. With the right analysis and the right dose of optimism, anyone who invests in the crypto market can get millions out of it. The Cryptocurrency market is here to stay for a long time. In this article, we have given you five positive factors that can encourage further innovation and market value in cryptocurrencies.
1. Scale innovation
Bitcoin is the first cryptocurrency on the market. It has the most users and the highest cost. It dominates the entire value chain of the cryptocurrency system. However, this is not an issue. The main bottleneck is that it can only handle six to seven transactions per second. In comparison, credit card transactions typically cost a few thousand per second. Apparently, there is scope for improving the scaling of transactions. With the help of peer to peer transaction networks at the top of blockchain technology, it is possible to increase the number of transactions per second.
2. Legitimate ICOs
While there are cryptocoins with a strong market value, newer coins are being designed to serve a specific purpose. Coins like IOTA are intended to help the Internet market In Things that exchange money for electricity. Some coins address the issue of cybersecurity by providing encrypted digital vaults for saving money.
The new ICOs come with innovative solutions that disrupt the existing market and bring a new amount of transactions. They also gather market authority with their easy-to-use exchange and reliable backend operation. They are changing both the technology side of using specialist hardware for mining and the financial market segment by providing more freedom and options to investors instead.
3. Regulatory peace
In the current situation, most governments are studying the impact of cryptocurrencies on society and how its benefits can be gained by the majority of the community. We can expect that there may be reasonable conclusions as to the results of the studies.
Few governments have gone through the route of legalizing and regulating crypto markets like any other market. This will prevent the ignorant investors who are investing from losing money and protect them from harm. Possible regulations to boost cryptocurrency growth are expected to show in 2018. This could pave the way for widespread adoption in the future.
4. Add application
There is great enthusiasm for the use of blockchain technology in almost every industry. Some startups are offering new solutions such as digital wallets, debit cards for cryptocurrency, etc. which will increase the number of traders willing to operate cryptocurrencies which will also increase the number of users.
The reputation of crypto assets as a medium transaction is strengthened as many people rely on this system. Even if some startups may not be viable, they are positively contributing to overall market health that creates competition and innovation.
5. Investment from financial institutions
Many international banks are looking at the cryptocurrency scene. This can lead to the influx of investors into the market institution. The influx of multiple investment institutions will increase the next phase of the growth of cryptomarkets. It got what many banks and financial institutions envisioned.
As the risks and bottlenecks around cryptocurrency diminish, there is more withdrawal from traditional investors. This will bring a lot of dynamism and fluidity that is especially needed for any growing financial market. Cryptocurrency can be a defacto currency for transactions worldwide.