Many feel investing, and cryptocurrency trading is safer than investing and trading in traditional financial markets. As a result, we have seen massive growth in the adoption rate of cryptocurrencies in recent years.
As we enter the post-pandemic phase, there need to be more jobs for people in the country. But, unfortunately, fewer jobs exist, and those that exist pay less. As a result, many are forced to change their lifestyle as now they find it challenging to maintain.
The pandemic has shown that nothing can remain the same for a long time; changes are guaranteed and can take place anytime. To compound the misery further, there are signs of a global recession worldwide.
The crypto market is a decade old, crypto trading has potential, and many have acknowledged it. One of the most appealing factors for adopting cryptocurrencies is that you can amass huge wealth and not get taxed for it. Although the blockchain technology can seem incomprehensible for a newbie, the digital space fills in that gap with a Cryptocurrency course for beginners.
Although cryptocurrency is only a decade old, it has shown the immense potential witnessed by many during the global lockdown imposed by the government throughout the globe to restrict the spread of the Covid-19 virus among the general public.
The fact is that each crypto transaction is safe and secured. Since cryptocurrency exchanges are based on decentralized blockchain technology involving peer-to-peer networks, the chances of manipulating any transactions pose a challenging task for any hackers. Another advantage of having a decentralized network is that you can rest assured that there would be no government interference on the amount of wealth transferred from one account to another.
Why People Choose Crypto over Traditional Banking
A traditional bank will charge fees when you transfer money from one bank account to another. For example, a central bank will charge money from one county to another. The transfer of money is slow as the account of both one who transfers the funds and the one who receives the funds. Thus, there is no instant transfer of funds.
The transaction can be fast and borderless when using cryptocurrency, requiring lesser transaction fees than bank transfers.
Adoption of Cryptocurrency
We saw a big boom in cryptocurrency during the pandemic era. As an alternative source of income, many picked up on cryptocurrency trading for beginners and the ones who hadn’t, felt like they were missing out on something. The beauty of cryptocurrency is that you not only can raise money through cryptocurrency trading in it, but you can also raise it by indulging in crypto mining.
Many institutes have also opened their doors to accepting transactions in the form of cryptocurrencies. For example, a few months back, Miami started allowing cryptocurrencies as collateral against home loans. Thus, some government officials are encouraging many to adopt cryptocurrencies.
The adoption of cryptocurrencies by government officials is not restricted to the USA; the fever is creeping into other countries too. For example, the President of El Salvador has announced and is undertaking the task of creating a “Bitcoin City,” where people can trade with the help of cryptocurrencies.
Since cryptocurrencies seem to be a logical path forward into the future, it won’t be long before the world gives up the paper currency and replaces it with a digital one.
Around the World
In South America, many have adopted crypto trading for beginners, they invest and trade in cryptocurrencies as they lack faith in their government-issued paper currencies. The US dollar has been globally accepted as a global reserve currency. Since their local currency is weaker than the US dollar, many are seeking refuge in cryptocurrencies to hedge the ever-increasing inflation rate.
We have witnessed that when one country needs immediate funds, cryptocurrency seems to be the logical mode of transference of funds. The ongoing war between the invading Russians against the weak, small and oppressed Ukrainians has shown how a country can raise funds for the war machines to save their country’s democracy.
During the initial phase of the war, many throughout the globe came to the President of Ukraine, Mr. Zelensky, aid by crowdfunding through cryptocurrencies. Mr. Zelensky started buying arms through cryptocurrency trading from other countries. Although the governments of the United States and other European countries refrained from sending their troops, they did send aid through money and military war machines to deter the larger, more powerful, and more advanced Russian invasion forces.
Unlocking Endless Possibilities
We also witnessed this year when a DAO tried crowdfunding in cryptocurrency for buying a document of the Constitution of the United States that was being auctioned. Although the DAO could not win the auction, it has shown the cryptocurrency’s potential.
Blockchain technology has allowed endless possibilities in the financial domain. To make mining more attractive, many developers have made crypto mining a fun activity. The idea of “Play-to-Earn” is slowly but surely gripping the globe. The best example is Axie Infinity.
Many left their jobs and persuaded their hobby of playing Axie Infinity into a full-time career. In the Philippines, many left their jobs and indulged in “Play-to-Earn,” a cryptocurrency-based Axie Infinity where the participating players could earn funds through playing this game. The game also allows players to breed “Axies,” which are adorable creatures you need to fight your opponents. Instead of traditional trading cryptos, you can win cryptocurrencies by winning battles, tournaments, and breeding.
Another advantage of having a blockchain-based game is that you are assured that your opponent is real and not a bot; thus, the game is not rigged. Following Axie Infinity’s footsteps, many blockchain-based “Play-to-Earn” games have spawned.
Non-Fungible Tokens, or NFTs, have gripped the world with fever. These are images or art created by the developer, which has a high demand amongst crypto investors and traders. These art collections are traded in cryptocurrencies.
Quantum was the first ever NFT created in 2014; it was a trendsetter encouraging many developers to make their own unique NFTs. As of now, many NFTs have flooded the internet, and the idea of having something rare and unique has a mass appeal. Furthermore, many crypto enthusiasts are attracted to NFTs as they perceive that the value of these unique NFTs will appreciate in the near future.
As we have already mentioned, “Play-toEarn” cryptocurrency games have flooded the market, and NFTs are also finding their way into the cryptocurrency-based gaming industries. In addition, many fantasy sports games are now boasting their NFTs; some are generic while representing real sports players. Since the “Cash Prize” involved in participating in these fantasy games for the general public is high, these NTFs are finding their way into the market, ensuring that everyone has a right to win these “Cash Prizes” based on the skills of selecting their players and enhancing their chance to win them.
Although many oppose the idea that cryptocurrency is unreliable and susceptible to cyber-attacks, which is true, nobody can deny the fact that it is the way of the future. The world is already interconnected with the internet’s help; now, the era of commerce and trade will pave the way for the future.
As we are using paper currency to carry out trade, cryptocurrency trading will ensure that the time required for transactions will be less. Moreover, since it is decentralized, the transaction data that many banking firms indulge in manipulating, committing fraud, and scams can be avoided.
It won’t be long before governments worldwide abandon paper currency, only to be replaced by digital or cryptocurrency.