After the Bitcoin bloodbath that lasted throughout 2018, cryptocurrency investors and developers alike are a bit wary of the future. However, crypto has proven its resiliency over its decade of existence and, at this point in history, its strongest growth advantage lies in technological innovation.
We are unlikely to see exponential growth from Bitcoin or any other network, nor will we have a repeat of the ICO explosion of 2017 and 2018. What Bitcoin is seeing, and will continue to experience for the foreseeable future, is tremendous advances in network functionality and flexibility.
So much is coming on that front that it is almost impossible to keep track of it all. Thankfully, guys like blockchain strategist Nathaniel Whittemore have compiled comprehensive assessments of crypto goings on.
2019 is likely to see all crypto adoption come from one of 3 motivations:
1. Escape valve in uncertain monetary regimes
2. BTC as a call-option on future SoV
3. Believe in coming Web3.0 paradigm shift
Read this whole piece 7xhttps://t.co/KzdjCIt30X
— Nathaniel Whittemore (@nlw) January 2, 2019
The writer — crypto enthusiast Arjun Balaji — shares forecasts based upon the past dismal year, upcoming technology advances, specific areas of market momentum, and unquantifiable-yet-powerful ideas from various crypto thought-leadership sources.
Let’s take a look at his three points of consideration.
Uncertainty in Global Finance
The first driver of adoption lies not in crypto itself but in the surrounding fiat market.
With the financial world in the uncertain state it currently finds itself in, many are turning to crypto as an alternative to fiat money. Crypto may be equally volatile — but at least it holds the promise of an autonomous structure and freedom from centralized governance.
Whether the threat of the current U.S. political regime is your concern or international factors such as Brexit or shaky trade relations take precedence, the reality is that moving into decentralized cryptocurrency will alleviate the effects of many of these issues.
‘BTC as a call-option on future SoV’
With Bitcoin gaining credibility and widespread usage, the growth of BTC as a store of value (SoV) is truly a potential in the very near future. Bitcoin is able to be saved, retrieved, and exchanged at many high rates of speed and with much greater certainty of acceptance on a global level than almost any other real asset.
Additionally, Bitcoin’s ability to retain its purchasing power long-term is something that is developing outside existing market conditions. Furthermore, the value of intangible digital assets based on consensus is a new-but-growing area of finance that is simply not going away anytime soon.
While such a shift toward SoV may not happen in 2019, it will inevitably happen sooner than most people think.
An Impending Web 3.0 Paradigm Shift
If anything is certain in the online world, it is that change comes in the form of progress.
Web 1.0 brought online connectivity and information exchange. Web 2.0 built upon those to produce social media and widespread e-commerce. Consumers are now accustomed to P2P interactions outside the constraints of geographic location. Everyone enjoys nearly unlimited access to data, economic transactions, and social networking. The proliferation of applications for mobile devices has allowed these opportunities to become even more widely available.
Web 3.0 is the natural next step, removing structural limitations of third-party intermediaries throughout the internet. In a traditional supply chain, this would look like buyers purchasing goods directly from producers, removing at minimum one step both transactionally and financially. This is effectively what blockchain technology promises to do for the web.
Think the best days of Bitcoin are yet to come, or is 2019 going to be another rough year? Let us know in the comments below!