How Cryptocurrency’s Price Speculation Overshadows Its True Potential 加密货币的价格覆盖了它的真实潜力

Blockchain is one of the most defining technologies for the past decade. However, will we ever see the realisation of its full potential? 区块链是过去十年中最具定义性的技术之一。但是,我们能否看到它的潜力实现?

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Cryptocurrency market action and recent halving events are topics guaranteed to generate headlines and media discussion and that often overshadow the importance of blockchain as a technology. Cryptocurrencies are known to have an extremely volatile nature, and in addition to the recent bitcoin halving, many speculated that BTC price is going on a bull run.

Don’t get me wrong, drastic movements in prices are definitely exciting for investors and those who wish to make a quick profit. Cryptocurrency’s growth in value and popularity has established itself as an asset class that attracts accredited investors. However, the increased focus and attention on the price movements of cryptocurrencies seem to be opposing what cryptocurrencies are supposed to be.

Will cryptocurrencies be adopted as a fiat currency alternative in the future or will it evolve into just another alternative asset class?

Based on the current state of the market, the focus on price seems to be pushing the cryptocurrency into the direction of an asset class.

Speculating and emphasis on the prices of cryptocurrencies will undermine its original use case, as mainstream businesses and normal consumers will feel uncertain and uncomfortable of the volatility in the cryptocurrency market.

Why would businesses and consumers be willing to take the risk and transact with cryptocurrency when current payment systems are deemed secured and convenient?

Although Bitcoin has gone through various updates and development to make it more user friendly, the process of transacting in cryptocurrency is still cumbersome to users as compared to existing infrastructures.

Positive news for the cryptocurrency community like the sudden bull run during the end of 2017 has led to slower and more costly transactions on the blockchain network. To counter this, most projects like Bitcoin underwent forks to update the network but that means it will further complicate things and be confusing for cryptocurrency beginners.

Speculating on price and market movements, in the long run, will be detrimental to the potential use case of cryptocurrency being used for daily payments.

With an increasing number of institutional investors venturing into cryptocurrency, crypto assets will become more embedded in the mainstream financial system. Alternative assets play an important role for investors to hedge against the traditional market and protect themselves against inflation. Bitcoin may have been the tip of the proverbial iceberg with regards to blockchain awareness, but that might have undermined its initial use case.

There is an enormous addressable market for alternative assets, and that is a market that cryptocurrency seems well-positioned to address. As this market becomes increasingly populated by cryptocurrency, reporting and disclosure standards will improve and that will help reduce volatility and encourage wider adoption.

No matter what the headline is, the real “good”news might just be the growing acceptance of cryptocurrency as a legitimized and mainstream alternative investment class. And that is a good thing for both cryptocurrency and blockchain technology generally.

***Disclaimer: This content is not financial advice and should not form the basis of any financial investment decisions nor be seen as a recommendation to buy or sell any good or product. Trading cryptocurrency is complex and comes with a high risk of losing money. You should carefully consider whether trading cryptocurrencies is right for you and take the time to learn how trading works and decide how much money you are prepared to risk.

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Quick guide:

加密货币市场行为和最近的减半事件是确保引起头条新闻和媒体讨论的主题,并且常常使区块链作为一种技术的重要性黯然失色。众所周知,加密货币具有极大的波动性,除了最近的比特币减半外,许多人还推测比特币价格正在牛市中。

别误会,价格的剧烈波动对于投资者和希望快速获利的投资者而言绝对是令人兴奋的。加密货币的价值和知名度的增长已将自己确立为一种吸引合格投资者的资产类别。但是,人们越来越关注和关注加密货币的价格走势,这似乎与加密货币的预期相反。

将来会采用加密货币作为法定货币替代还是将其发展为替代资产类别?根据当前的市场状况,对价格的关注似乎正在将加密货币推向资产类别的方向。

炒作和强调加密货币的价格将破坏其原始用例,因为主流企业和普通消费者将对加密货币市场的动荡感到不确定和不安。

当前的支付系统被认为是安全且方便的时候,为什么企业和消费者愿意承担风险并使用加密货币进行交易?

尽管比特币已经经历了各种更新和发展,以使其更加用户友好,但是与现有基础设施相比,加密货币的交易过程对于用户而言仍然很麻烦。

加密货币社区的利好消息,例如2017年底的突然牛市,导致区块链网络上的交易更加缓慢且成本更高。为了解决这个问题,大多数项目(如比特币)都进行了分叉以更新网络,但这意味着它将使事情变得更加复杂,并使加密货币初学者感到困惑。

从长远来看,推测价格和市场走势将不利于加密货币用于日常付款的潜在用例。

随着越来越多的机构投资者涉足加密货币,加密资产将更加嵌入主流金融系统。另类资产在投资者对冲传统市场并保护自己免受通货膨胀方面发挥着重要作用。就区块链意识而言,比特币可能是众所周知的冰山一角,但这可能破坏了其最初的使用案例。

替代资产有一个巨大的可寻址市场,这是加密货币似乎有条件应对的市场。随着该市场越来越多地被加密货币占据,报告和披露标准将得到改善,这将有助于减少波动性并鼓励广泛采用。

不管标题是什么,真正的新闻可能只是人们日益接受加密货币作为合法的主流替代投资类别。对于加密货币和区块链技术而言,这都是一件好事。

***此内容不是财务建议,不应作为任何财务投资决策的基础,也不应被视为购买或出售任何商品或产品的建议。交易加密货币很复杂,并且有很高的赔钱风险。您应该仔细考虑交易加密货币是否适合您,并花点时间学习交易的工作方式并确定您准备冒多少风险。

关于嘉库

嘉库是一个全新的世界级加密货币交易所,重点关注用户资产的安全性和保护以及高流动性。

嘉库成立是为了推动加密货币被广泛采用。融合了交易所生态系统的最佳功能和社交网络平台的原理,该交易所旨在通过赋予交易员权力和能力,将权力重新交到社区手中。

成为未来的一部分。掌权。处于包容性和财务自由的网络中。

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