What Does The Future Hold For Cryptocurrencies After 2023?
The world of cryptocurrencies is complex, but between the fast-changing data and seemingly obscure trends, there are patterns which give us hope for the future.
Author:Stefano MclaughlinReviewer:Camilo WoodJul 07, 20237.8K Shares130.1K Views
The world of cryptocurrencies is complex, but between the fast-changing data and seemingly obscure trends, there are patterns which give us hope for the future. While some believe cryptocurrencies are a fad that will fade into obscurity, many see they have the potential for further growth and society-wide adoption.
Various external factors could shape the development of cryptocurrencies, but it’s possible to make predictions about what the future could hold.
Key Influences on the World of Cryptocurrency
There are a number of factors that could impact the future of cryptocurrencies, including:
Regulation
It seems clear that many countries don't understand the potential of blockchain technology and cryptocurrencies, and are therefore unable to regulate the industry effectively. For example, China has all but banned cryptocurrency assets, but is still pushing for the adoption of blockchain technology, which has caused some confusion for investors.
Mass Adoption
If we want to see cryptocurrencies achieve everything we know they're capable of, they need to demonstrate real-world value. While there are dozens of new cryptocurrencies, many of which can be researched on InsideBitcoins.com, knowing which investments are best is essential.
Whether you want to invest in a long-term coin that has the potential for wider adoption and integration, or you prefer short-term trades with potentially greater margins, it’s important that these coins have some level of demonstrable value. The most important thing you can do is complete your research and understand everything there is to know about the coin.
Public Perception
Many still view cryptocurrencies as volatile assets that do not make for safe investments. Changing public perception will be key if we want to win over more consumers willing to invest in the market and show that they believe in the technology.
Technology
While the technology supporting the growth of cryptocurrencies has come a long way in recent years, there is still a long way to go, particularly regarding its integration into our day-to-day lives. Blockchain technologyhas already demonstrated clear value, particularly in the supply chain and logistics industry, but broader adoption will be essential.
Cryptocurrency Predictions for 2023 and Beyond
Here are some specific predictions about the future of cryptocurrencies after 2023:
Increased Institutional Investment
We're likely to see countries become more invested in cryptocurrencies over the coming years, perhaps going hand-in-hand with stricter regulations. We have already seen the UK look to enter the market and make London a hub for digital asset trading, and we would expect many more countries to announce similar ambitions.
New Applications For Cryptocurrencies
As a relatively new technology, the potential uses for cryptocurrency assets are limited, but this means there is plenty of scope for expansion. From decentralised apps that use blockchain technology to assets that make supply chain logistics far more manageable and accountable, we're beginning to see the start of something great.
More Government Regulation
We will likely see cryptocurrencies fall under more stringent governmental regulationover the coming years, which is something we're already beginning to see take shape, particularly after the FTX fiasco and the lawsuits levelled against Binance and Coinbase. This could make the anonymised aspect of trading less viable, while it could also hold trading platforms to higher standards.
Cryptocurrencies As A Store Of Value
High volatility should always be expected in high-growth industries, but as with all assets, this will slow down once wider adoption becomes more common, or many businesses won't accept it as a form of payment. This means that many digital assets could prove to be a great store of value, immune to external factors such as legislative manipulation or society-wide inflation.
Summary
Overall, the future of cryptocurrencies is bright. Some obstacles must be overcome, but the positive ramifications of this mean that there are many reasons to be optimistic. There are numerous areas where the wide implementation of cryptocurrency and blockchain technology could have a huge impact, and we're very excited to see how this developed in 2023 and beyond.
Stefano Mclaughlin
Author
Camilo Wood
Reviewer
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