Crypto's purpose is being lost to an investment reputation - which industries drive the intended use?
The intended use for cryptocurrencies is suggested in the name — cryptocurrency. However, cryptos are increasingly being used as an investment asset similar to gold instead of being used as currencies. There are now thousands of different cryptocurrencies available and naturally the most popular cryptos which have the biggest chance of actually being a viable currency are also the most valuable. As a result, these cryptocurrencies are also the most likely to be used as investment assets instead of currencies.
Some crypto experts are decrying the transition of cryptocurrencies to investment asset, while others see it as one more step in the natural progression of this new form of asset. A number of industries, and large conglomerates, are starting to utilize crypto payments in order to drive the use of crypto as a true global currency.
You may not have realized it, but in many countries, it is possible to buy a home or plot of land using crypto — the catch is that you need to make sure that both parties are on board. Buying a home is typically the largest single purchase that many people make in their entire lives, so why not make it in crypto?
Cryptocurrencies are, by their nature, extremely volatile assets, so as a buyer, it is certainly beneficial to trade a volatile asset for a more secure asset such as a home. Real estate will typically appreciate over time and unlike crypto, it will not dramatically lose and gain value every passing week.
There are a number of large conglomerates which are driving the push for crypto by allowing crypto payments. Tesla fully committed to “going crypto” until its CEO realized the devastating environmental impact which some cryptocurrency mining has. Tech companies like Microsoft, PayPal and Twitch all allow crypto payments and processing as well.
You might be surprised to learn that you can also now pay for your celery juice with crypto at Whole Foods, buy the resin earrings from a girl in Santa Monica through Etsy’s crypto-supporting payment processor and purchase a couch via Overstock using crypto. an increasing number of companies are offering crypto payment options as a way to ensure user data security and attract attention as innovative and tech-focused companies.
One of the sectors which has a very high level of crypto use is the online gaming and gambling industry. The gambling industry has exploded in popularity over the course of the last 10 years and there are now hundreds of different online casinos all vying for the attention of interested gamblers. In order to stand out from the crowd, online casinos have innovated by offering crypto payment options, adding live dealer games such as live blackjack to their game libraries, and offering competitive registration bonuses.
One of the benefits of using a cryptocurrency to make any payment — but especially to make a payment for a gambling site — is the anonymity and security associated with crypto. For many people, gambling is a personal choice and depending on the country they live in, their social situation, and their own privacy concerns, they may appreciate the heightened level of anonymity brought by the use of cryptocurrency over more traditional payment methods such as wire transfers, bank cards and alternate online payment processors.
If we could tell you the future of crypto with accuracy, we would probably be sitting on a yacht right now and not writing this article. The world of crypto is extremely volatile and has witnessed some of the most impressive highs and lows of the global economy over the last decade. However, the one thing we can be certain about is that crypto is here to stay — whether it is in an investment capacity or as a currency.
We are still in the early days of crypto, relatively speaking, so it is difficult (if not impossible) to determine how cryptos will be used in 10, 20 or even 100 years. No matter where you fall on the crypto as investment versus currency discourse, it is important to remember that the crypto revolution is only just beginning and that we likely will not have a good sense of where crypto will ultimately end up for a few more decades. So, if you can, strap in, get ready for near constant change and enjoy the crypto journey.