There is an increased rate of awareness for Bitcoin and cryptocurrencies. Key to this development is the increased participation of nations and corporations in the blockchain and cryptocurrency industry. A country like China is already planning on introducing a national digital currency, while Facebook’s Libra is still a huge subject of discussion.
At different times, depending on who is doing what, the overall sentiment towards Bitcoin and cryptocurrencies seems to be fluctuating. Take for instance when Facebook initially announced that it was embarking on the Libra project, the price of Bitcoin surged. So did many other cryptocurrencies. Yet, when the US government appeared to resist the same Libra project, the market tumbled. This shows that somehow, everything happening around the Bitcoin and cryptocurrency industry tends to melt into the same pot.
Government Interest Validates Bitcoin’s Existence
Despite how things have developed so far in the blockchain industry, it is clear that there is growing interest from governments and corporations when it comes to blockchain and cryptocurrencies. This is a development that Jason Cassidy, Founder and President of Crypto Consultant thinks will be good for Bitcoin in the long run.
According to Cassidy, this trend of nations and larger corporations embracing cryptocurrency via blockchain technology acts as a means to further validate Bitcoin’s existence. When the established order begins to overtly express interest in the underlying technology that Bitcoin runs upon, it leaves a lasting impression in someone who may have been sitting on the sidelines until now. This trend, he notes will be a net positive to Bitcoin over time due to the increased awareness and interest in cryptocurrency.
Only a fraction of global wealth is currently parked in the cryptocurrency market , so the room for future growth exists for both Bitcoin and several other coins that offer real utility.
No Need to Fear for Bitcoin
There is an existing fear of what might become of the original characteristic of blockchain technology by the time that the government makes a full entry into the industry. This is largely due to the fact that the government will favour more centralized systems, over which they can exert control. Cassidy sees this from a more open angle by acknowledging that governments will look to have as much control as feasible when issuing their own cryptographic versions of their fiat currency. However, he believes that corporations may have a more open view towards embracing the freedom-based aspects of blockchain and cryptocurrency. This he says will depend on where they operate out of and what their products and services are.
Based on the above analysis, the current fear that exist among blockchain and Bitcoin enthusiasts may as well have been taken care of. According to Cassidy, the biggest danger would be the mass adoption of blockchain technology but at the sake of privacy and economic sovereignty. These are the tenants of cryptocurrency so, therefore it is expected that there will be a mix of centralized and decentralized cryptocurrencies of varying degrees. People will naturally gravitate towards the model that aligns with their principles.
The Only Direction for Bitcoin is Up
It is obvious that Bitcoin will always benefit from the increased adoption of cryptocurrencies simply due to the awareness it will bring to the network. There is a growing demand for financial freedom and choice, banking is quite literally the last major industry to be positively disrupted by technology so the time has come.
As more people crave an alternative to the current financial system their path will eventually lead them to Bitcoin. There will be bumps along the way as the network matures but over the long haul the only direction for Bitcoin is – Up.
Iyke Aru is a seasoned author and educator in the blockchain and cryptocurrency industry. He has been in the business of crypto content writing for many years with thousands of his articles across several platforms on the internet. Iyke is based in Nigeria where he stands out as one of the most informed and credible figures in the cryptocurrency industry. Outside blockchain and crypto, you will most likely catch Iyke playing or discussing football with friends and family.