People are always curious about the future prediction of anything, be it weather, astrology, or even the cryptocurrencies. This helps them gain some insights into the future aspect of the same and decide their next steps or planning. In this article, we will be taking you through a brief outlook of what the future for cryptocurrency might look like in the 2020s. The main goal of this article is to help people decide with their assets invested in the crypto markets. But, this is to be noted that no one can predict the future of anything with on-point accuracy, but it can be done so with the invention of it.
What we are likely to experience regarding the future for blockchain is in the next decade, we would come across a blockchain bearing more scalability and including the privacy features that would perhaps reach nearly one billion users by the end of the decade, where the start would be from 50 million in the starting of the decade. Crypto adoption is likely to take place in both the emerging markets, where the financial systems are mostly dismantled and also from a crop of new crypto startups that manufacture products that people crave. As the decade will come to an end, most of the tech startups will possess a crypto component, just as most of the tech startups utilize the machine learning and internet today. There will be mobility in the cryptocurrency zone for the governments and the institutions.
Future of Cryptocurrencies in the 2020s
Here is all the Cryptocurrency Markets forecast or crypto trends in 2020 explained
Scalability:
It is believed that in the 2020s, we will see two-layer solutions or there might be an evolution of a new blockchain technology that would increase the transaction all throughout by various orders of the magnitude. Similar to the broadband replacing 56 thousand modems that led to several new applications on multiple internet platforms such as YouTube, Uber, etc. Scalability might be taken as a pre-requisite for the crypto’s utility phase in the bid to really get going. As soon as we see the blockchains having several orders of magnitude scalability improvements, we can expect to see new applications being developed at a faster pace.
Privacy:
Adding to the scalability, it is believed that we can also see the integration of privacy into one of the most dominant chains in the 2020s. Similar to how the internet launched with HTTP and only later the HTTPS was introduced as a default feature on many of the websites. We can place faith on a blockchain or “privacy coin” with built-in privacy features receive the mainstream adoption in the 2020s. It does not make any sense however, in most of the cases in order to broadcast every payment that you make on a transparent ledger.
Consolidation:
There are quite many high-quality teams that are performing on the next-generation protocols as of the current situation such as Algorand, Cosmos, Dfinity, Ethereum 2, and more. Also, there are capable teams who are working on the layer-two scaling solutions for the existing chains. The prediction reveals that we will experience a consolidation of the chains in the user base, developer mindshare, and market cap in the decade that is yet to come. The chains which make the most of the progress on scalability, developer tools, privacy, and other features will also get through most of the gains. We can also expect M&A amongst these teams, a reverse fork, where one of the chains is devalued, and each of the tokens become exchangeable at a fixed rate to the acquired token. There will be as many of the tokens as there are open source projects/ DAOs/ companies/ charities in the world, but just a couple of the chains will power the underlying infrastructure for all of these. The winning chains will likely follow a powerful law distribution on the outcomes, similar to any other industry.
Trading To Utility:
A decade earlier, that is in the 2010s were in large regarding the speculation and the investment in the cryptocurrency with a trading driving maximum of the activity along with the best business models. This trend will keep on playing out in the 2020s. Still, the best new companies that get created in the crypto space in the ongoing decade that is the 2020s will be regarding the driving of the utility phase where people use cryptocurrencies for non-trading purposes. Considering the currency situation, we have already started to visualize the beginning of the trend having more of the customers pursuing non-trading activities such as borrowing/lending/margin, earning, debit cards, commerce, staking, and more.
There are some of the other segments where the future of crypto might undergo some of the significant changes such as the rise in the crypto startups, the emerging markets, institutions, CBDCS or the central bank digital currencies, maturing of the market structure, growth of decentralization, the billionaire flip.
What Would Bitcoin Look Like After The Coronavirus Pandemic or Covid-19?
During the coronavirus pandemic or commonly known as the COVID-19, Bitcoin has seen a sudden nose dip to nearly $3,000. Nevertheless, it did not last that long, and it had climbed up in no time going up to $10,000. Although, there have been various opinions put forward by the crypto enthusiasts regarding the fact whether it is smart enough to invest in the Bitcoin cryptocurrency after the COVID-19, with many commenting that it will be an all-new start.
A former trader of the Wall Street deep web market who has now turned a cryptocurrency expert, Teeka Tiwari has opined that the COVID-19 situation will send the crypto prices especially the Bitcoin to $100,000 in 2020.
Is It The Perfect Time To Invest in Cryptocurrencies?
It is not easy to predict what exactly will happen to the cryptocurrencies. But what the investors are searching for is the correct time to invest in them. Considering the Bitcoin angle, there are various opinions of which some are even skeptical. The event of Bitcoin halving this year and then bouncing straight to $10,000 would probably not create a considerable risk if invested in them at this moment.
Tiwari, on the other hand, has a very different perspective for the same and believes that the coronavirus pandemic has now put us in a very different time in the history that would profoundly impact on the cryptocurrency futures markets. He stated that there is an event programmed into the actual code that triggers the bitcoin power. This will ignite a bull market in the cryptocurrency, something that has not been experienced since 2017.
Coins Having The Brightest Future
The alternative coins or the altcoins that have the brightest future after the pandemic is over are Litecoin, Ripple, and MintChip.
The Litecoin is termed as the leading rival of Bitcoin, and it has been so designed that it could process the smaller transactions. Unlike the Bitcoin mining, the Litecoin mining can be done with a standard computer devoid of a horsepower. Considering the limitations, Bitcoin is far beyond. Litecoin has a limit of 84 million, which is four times of the 21 million Bitcoin. The transaction processing time taken by Litecoin is also less counting to 2.5 minutes.
Ripple is quite similar to that of Bitcoin, where both perform as a cryptocurrency and also as a payment system. While considering the transaction time, Bitcoin takes way longer than that of Ripple, where the later is completed within seconds.
The concept of MintChip is slightly different, however. It is a smartcard that holds the electronic value and can also transfer it securely from one of the chips to the other. MintChip does not require personal identification but is backed by a physical currency.
These were basically some of the predictions that the cryptocurrency market might undergo in the current decade, the 2020s. However, these are just predictions, and might there be something more or something less to it as well.