Is the era of cryptocurrency really over, or are we just beginning?
This is something many people are wondering “is the era of cryptocurrency really over, or are we just beginning”. Although no one can give you an answer that is 100% correct to this question. We can tell you that we believe it is not over yet and here is why!
Well first of all there is the market cap. Although price is not our main focus it is important to the industry. With inflation on the rise and the fact that Bitcoin does not inflate past the 21 million Bitcoin mark. Because of this, we believe there will always be some dement for Bitcoin just because it does not inflate. Making an inflatable currency like the dollar worth less and less against it over time.
Besides the fact of inflation going on all the time, we think that comparing this not inflationary property to gold is not such a weird idea. And today the market cap of gold hovers around 11 trillion. So with the same scarcity properties, shouldn’t Bitcoin be worth about the same?
Yes, Useability. Many smart contracts supporting blockchains see the rise of Defi, NFT’s, and gaming on-chain. Even though the prices are down significantly from their all-time highs now. The growth of people using Dapps and payments on multiple blockchains has not stopped. This is no surprise as the interest available in Defi is much higher than any bank is offering right now. And who doesn’t like to earn some money while they play a game? Or the possibility to trade and collect digital art, game items, and much more. Because of these use cases, we believe we will see steady growth over time. But on what chain or chains is hard to say.
Not surprising if you read the headlines lately. In 2021 one alone many companies have started to add Bitcoin & Ethereum to their balance sheet. And El Salvador has even added Bitcoin as a legal tender in their country. Making them the first country in the world to adopt Bitcoin as their official currency. To make this possible they use mostly the Bitcoin Lightning network. Which also grew exponentially during the last year. Having almost doubled its BTC locked in and the number of nodes on the network.
As you may see our answer to the question “is the era of cryptocurrency really over, or are we just beginning” is a big fat YES! It is just the beginning. But, do keep in mind that we do not give out any financial advice and that this is just merely our opinion. Because you and only you are responsible for your financial actions. Yada Wallets only shares its opinion to educate.
Thanks for reading!
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