We are moving from the age of Web 2.0, where social media dominates the screen, to Web 3.0, where the Internet will become more dependent on blockchain technology.
Some compare the rise of blockchain technology to Internet hacking in the 1980s, while others argue that it is simply a fad. It was the cryptocurrency, Bitcoin (BTC), and its miraculous investment potential that kept blockchain technology in the spotlight. The blockchain continues to spin cryptocurrency and its widespread adoption.
However, with more than 19,000 Altcoins circulating, could they just have a’ flash’ if the market became more extensive and more competitive? Let’s explore the application of real-world blockchain technology and cryptocurrency in mainstream society.
Blockchain technology is very experimental at the moment. And it is mostly used in cryptocurrency and NFT markets, especially in specialized communities. But, late last year, after the explosion of NFTs, cryptocurrency gained popularity and gained popular appeal, prompting large companies to expand into space. These include well-known names such as PayPal, Tesla, and Block (formerly Square).
As a result, a growing number of companies are adopting cryptocurrency as a legitimate payment method. These investments help lay the groundwork for what the financial world will look like in the future.
The value of many cryptocurrencies has dropped significantly this year due to large investments and various other factors. Many experts think this is just the beginning. During each major crisis, individual investors remain bullish and buy assets.
Paying employees in cryptocurrency?
The growing interest of people in cryptocurrencies is due to the fact that technology allows them to have more financial inclusion than traditional money.
Employees and employers can benefit from cryptocurrency-based payroll, which means it can provide better financial management without delay. For those who are already familiar with the benefits of Bitcoin (BTC), it can be an interesting option for paying employees.
Employees of large companies like SC5, IM, and Fairlay have already started offering Bitcoin (BTC). Also, many prominent athletes have requested cryptocurrency payments, such as Trevor Lawrence and Shawn Kulkin. This has paved the way for new companies to adopt Bitcoin (BTC) as a legitimate payment and purchase method.
Underdeveloped countries and emerging economies, which are experiencing rapid economic growth, are more likely to adopt cryptocurrency. Nigeria is an example, where a report by KuCoin found that 35% of the population has invested in cryptocurrencies.
One of the major barriers to widely accepted cryptocurrencies is the high gas fees in this economy that the network demands transactions. This has to do with blockchain interactivity, which is a big problem around technology.
However, recently, new altcoins have emerged to solve this problem and thus gain a competitive edge in the market. Token Calix (CLX), for example, a liquidity protocol currently in its pre-sale stage, has gained popularity in the crypto space due to its goal of exchanging tokens instantly with minimal gas fees. It plans to do this by obtaining liquidity from multiple liquidity protocols (using multiple blockchains instead of just one).
Retailers are finding that pre-epidemic supply chain problems persist despite changing customer behavior.
As the world learns to adapt to the post-Covid economy, incorporating blockchain technology into the supply chain process can help companies meet customer demand for speed, convenience, and social responsibility, improve operational efficiency and improve the stock.
Retailers are using blockchain technology to create new solutions that attract customers as well as enhance their brand reputation for quality and reliability. Some of this will be achieved with the help of retail supply chain partners.
All cryptocurrencies can benefit from traceability, fast payment, and financial management. Of course, implementing a new system will take time and will require a significant investment of time and money. But the return is expected to be significant.
One of the most important aspects of cryptocurrency is decentralization. This allows the currencies to be completely global without being regulated by the DeFi organization. The use of decentralized cryptocurrencies can improve data transfer and transaction efficiency.
The decentralized nature of these currencies eliminates the need for third parties in financial transactions. As a result, transaction time and fees have been cut in half. Cryptocurrency not only saves time by enabling extremely fast transactions, but it also helps retailers save tax money because it is difficult to collect taxes in cryptocurrency.
Payments can now be made without the use of third-party exchanges. Thanks to the implementation of Bitcoin (BTC) ATMs and cryptocurrency cards. Although it is still in its infancy, it is a promising start.
The fact that there is no fee, no hassle, and no paperwork required to change ownership encourages its widespread acceptance.
Also, unlike your bank, encryption is ideal for personal transactions because it does not reveal too much personal data. However, there is some controversy over how private these transactions are. If you value your privacy, make sure you choose a blockchain or unauthorized protocol, which is more secure.
The future of Bitcoin
Describe the factors that can be issued when considering the Bitcoin (BTC) price and future potential.
The first problem is the proliferation of bitcoin payments. One of the advantages of Bitcoin is that you can make and receive unlimited payments anytime, anywhere. In the future, with the expansion of Bitcoin-based payments, the demand for Bitcoin will increase, which may be one of the reasons for the rise in prices.
The second thing is the arrival of half-life. It is said that the price of Bitcoin may rise towards the half-life scheduled for May 2020. Indeed, some market observers say that the last two half-lives of Bitcoin in 2012 and 2016 contributed to the significant rise in Bitcoin prices. Bayerische Landesbank Germany. “The half-life of 2020 could push Bitcoin prices up to $ 90,000” (Source: Half-life Bitcoin prices between $ 20,000 and $ 50,000: hedge fund manager predicts). We are looking at other macroeconomic factors, including the Fed’s monetary policy, which could push up the price of bitcoin in the next few years.
The third issue is the developer community specification update. In Bitcoin, the development community has proposed a specification change to address the “scalability issue”. This problem is one of the major problems in the Bitcoin network. If the conflict of interest does not agree with the specification change and divides the community, the operation of the cryptocurrency will become unstable and may cause concern for the market.
The fourth issue is the movement to tighten regulations around the world. As far as past records are concerned, there have been cases where the price of Bitcoin (BTC) will go down if steps are taken to tighten regulations on virtual currencies in China, Japan, the USA, etc. Regulations are essential to prevent fraud and money laundering. Uses virtual currency and creates a healthy market environment. But in the short term, the movement to tighten regulations for virtual currency prices. Can land. Conversely, if uncontrolled news is found, the price of Bitcoin (BTC) may rise as the value of the virtual currency rises.
The fifth problem is the state of Bitcoin ETF approval. Bitcoin ETF approval status can affect the price of bitcoin.
Even in more technologically advanced societies, digital resources have not yet gained widespread acceptance. However, there are indications that cryptocurrencies are becoming more widely accepted in society.
The lack of practical application in the real world is currently the most important obstacle to the widespread adoption of cryptocurrency. Unlike governments and large corporations, small businesses are still reluctant to accept cryptocurrency. Although there is still a long way to go before blockchain becomes a mainstream currency, we can already see how blockchain and cryptocurrency have changed the payment landscape.