Despite the current bearish trend, blockchain based currencies continue to add big names to its fanbase. Cryptocurrencies such as Bitcoin and Ethereum will increasingly be seen as investors’ “safe havens” in 2019.
Ian McLeod of Thomas Crown Art, the world’s leading tech-art agency, talked about the future of crypto. McLeod believes that cryptocurrencies will be seen “as a robust means of storing wealth” when the economy cools down. Mcleod said that Bitcoin and Ethereum, as investments, are likely to grow up to the level of gold.
“There are several keys reasons why the likes of Bitcoin and Ethereum will be safe havens. These include scarcity, because there’s a limited supply; permanence, they don’t face any decay or deterioration that erode their value; and future demand certainty as mass adoption of cryptocurrencies and blockchain, the technology that underpins them, takes hold globally.”
McLeod believes that as crypto and blockchain is gaining momentum, sectors such as business and administration will find newer uses for the same. By 2019, cryptocurrencies will spread its wings to many more areas.
The world is quickly moving from fiat money to digital currency. There is rampant adoption of crypto in today’s economy. The current rush towards crypto and blockchain leaves no doubt that “cryptocurrencies will be firmly in the pantheon of safe haven assets within in the next decade,” McLeod commented.
The global adoption and mainstream acceptance of crypto is growing consistently. According to Coinmarketcap, the cryptocurrency ecosystem has grown from $10 billion to $150billion in the last few years, and this only counts the market capitalizations of the crypto tokens combined. If we include the new companies without any token and their market capitalizations to the calculations, the total crypto industry today is in the hundreds of billions.
The remarkable growth is attracting large corporations and leading investment banks are admitting that “it is harder for institutional investors to ignore cryptocurrencies.” In addition, there is a surge from hedge funds in an attempt to get exposure from the booming cryptocurrency markets.
Speculation might cause short-term bubbles, but it is important to study the long-term underlying technology trend, which is extremely strong. Furthermore, media’s role in new technologies is often misleading to the actual technology. It is much more newsworthy to talk about global money laundering schemes and hackers than some mildly positive news, such as merchant adoption or ecosystem growth. The current crypto revolution is not a revision of the infamous tulip mania in the 17th century, but a complete game-changing technology in many industries.