In the crypto space, a top list of anything can either cause people to act based on FOMO or just spread FUD. At Digitex, we are looking to make realistic and sensible crypto predictions based on how we see blockchain technology developing, the growing use of cryptocurrencies, and the political and social factors affecting them.
The Crypto Space Right Now
If you’ve been paying attention lately, you’ll have noticed that public awareness is expanding. Moreover, despite the fact that over half of all new blockchain startups have already failed, more and more are appearing on the scene.
New technology leads to new business models. To win in this race you have to provide something better than the next guy and realize it’s not a sprint but a long distance run. Cryptocurrencies have made improvements by forking the underlying blockchain technology.
It could be argued that more whales (large scale investors) and institutions are seeing the markets as viable. And the awareness is the result of a trickle-down effect. But that really only relates to developed countries. The opposite is playing out in second and third-world countries like Vietnam and Venezuela. Here, the people at the ground level are finding a practical use for cryptocurrencies.
Against this panorama, it’s anyone’s guess as to what the future holds. Yet, predictions for cryptocurrencies and blockchain technology are becoming more commonplace. They’re now a regular thing in your Twitter feed. Crypto predictions are like the “year-in-review” list that comes out before New Year’s Eve.
So, in keeping with this crypto trend here’s our crypto insiders top 10 for the year ahead, including the market maturing, use in everyday life, and governments acknowledging cryptocurrencies. Check it out:
Top 10 Crypto Predictions for the Coming Year(s)
1. The Civil War Will Continue
To start the list, Bitcoin Core and Bitcoin Cash folks will never get along; as made clear in the recent heated debate on the Coinbank cruise between Jimmy Sung (a BTC maximalist) and Roger Ver (BCH creator). The year ahead will not see these two sides making peace. But maybe that one was too obvious.
2. Ethereum Won’t Fail
Ethereum will never reach a 0 value or completely fail. Seriously, look at any website for ICO/coins/tokens based on the platform and you’ll see it’s a pretty long list. The community of developers working directly with the foundation and those on Github is pretty dedicated. Also, compared to everyone else who has smart contracts, they have been working with the second layer technology the longest.
3. But Maybe Bitcoin Will
“There can be only one…” A line made famous by Duncan MacLeod in the movie and TV series Highlander (yes, he was in both). BTC will never be the one. It simply goes against the whole premise of cryptos being open source technology that can be forked when something better can be created. But it also means there is no guarantee it will be here in 10 years either. Sorry to all the BTC core folks.
4. Crypto in Sporting Events
The mass adoption of smartphones throughout Africa and Southeast Asia will go hand in hand with increasing awareness of cryptocurrencies. With Senegal winning the nomination to host the 2022 Youth Olympics Games, it only makes sense the government or a company will look to integrate some form of cryptocurrency in the Olympic village during the games.
5. Digitex Gains First-Mover Advantage
Digitex will have first mover advantage in the crypto futures exchange market because of a simple yet forward-thinking business model that lowers the barrier to entry for retail-level investors. The secret sauce is simple—no trading fees. Keeping to the original principle of cryptocurrency, users hold and control their cryptos. The majors like TD Bank, Ameritrade, Charles Schwab’s, and eTrade won’t be able to compete with smart contracts being used to open contracts and facilitate trades 24/7.
6. Economic Abstraction Gets Big
Economic abstraction will become the new buzz phrase for smart contract developers. How to reduce the cost of executing a function on the smart contract will become more relevant when Ethereum switches to PoS. In short, you wouldn’t have to stake the same token as the smart contract’s blockchain which could make executing function cheaper.
7. End of the ICO Party
ICOs mooning and going 100X are flat out dead. With regulators in countries around the globe taking action, the era of price spikes for a token starting off less than a penny is no more. This is not to say traders won’t make gains, but it will not be like those seen from 2014 to 2017.
8. More Efficient Crowdfunding
Smart Contracts will be implemented more into ICO crowdfunding. Funds will be pooled in a smart contract and released when the platform reaches its benchmarks as described in the project’s roadmap. It will give the influx of traditionally minded investors more confidence in the seriousness of the project, the team working to develop a successful working product, and reduce the number of ICO scams.
9. China Leads on Blockchain Law
The Supreme People’s Court (the Chinese version of the Supreme Court) is recognizing blockchain as digital evidence in newly created courts called “internet courts”. They will deal with e-commerce disputes. This is a top-down introduction of the technology on a national level which will eventually reach the use case of cryptocurrency. The court is dealing with e-commerce after all. Legislation made in China will start to be seen in other areas as well.
10. Crypto Lobbying on the Rise
Crypto lobbying on K St in Washington DC will be the new in-thing and money maker for navigators of behind the scene political influencers. For some, this shows the maturing of the industry and their willingness to work with regulators. One name already ringing bells is Kristin Smith (aid to former Sen. Olympia J. Snowe (R-Maine).
Crypto Predictions—the Takeaway
Depending on your interest, this list could have been 10 or longer just focusing on one part of the ecosystem. As you can see, there was no real price talk or favoring one coin or token over the other for this crypto predictions list. It is really based on looking at what is going on around the world. Not getting caught up in taking sides or focusing on one personality in the space
The politics of communities aside, there are quite a few things happening in the crypto space. These are some notable events to come that will be proof that cryptocurrencies are making it into day-to-day life. Remember, we’re still too early in the industry to make hard dates of when or exactly how something is going to play out. It will be interesting to see what actually happens and when, though.