Evolution of crypto
For the people who are ahead of others in terms of technology, cryptocurrency is not new. This trend changer currency concept was invented and introduced by the mysterious Satoshi Nakamoto, way back in 2009. Those who were associated with these types of technology developments were aware of the cryptocurrency. It led to a bit of an initial boost in the cryptocurrency trading sector. However, as those people realized the complications in crypto mining, the push wasn’t that hard. There was leniency in the people to adopt it.
There were hic-ups in the operation of the process, and there was complex nature too. Blockchain technology did not assure its easy usage. People are rarely using even cashless transactions, and this technology needed much more than that. Blockchain technology is not only complicated but also hard to understand. Like the normal rule of life, those who invented it are responsible for making others understand what they are looking at and building the business through it.
Difficulties in the crypto and blockchain
The deployment of mining, blockchain technology was probably the main hurdle for it to reach the mass people. One can know that there were efforts made earlier and made to make this system much easier to reach the common man. Until the time a common man doesn’t start using it, it will never make a bigger impact. One can say the group of active people in the crypto pool is very small in size and scope. Only millennials and most men are using it. The adoption of cryptocurrency is very limited, and so is scope.
According to the data, some countries are proven trendsetters, such as Nigeria, Africa’s largest economy, as much as 32% of people said they have used or owned cryptocurrency. In contrast to that, the US is only &5 and China only 8%. The fact is that today’s products are designed in such a way that people find it easier to purchase using simple technology. People are willing to learn if they are not sure about using it.
If at all, cryptocurrency is to be put in the market as daily use currency, many efforts are required to take. A very strong infrastructure has to be built on the right foundation. Such is the power cryptocurrency possesses to overcome any future inflation. Specifically, it can happen if crypto becomes a daily usable digital currency. For crypto to go under mass adoption, it has to have stable rates. Currently, the rates are very highly volatile, and this is a major hurdle why everyday users are not welcoming it. There won’t be mainstream adoption if rates fluctuate between very high and affordable. If desired to be accepted, any currency must be stable so that it can be used as a trusted medium during the transaction.
Due to the limited availability of cryptocurrency, the price usually fluctuates significantly to balance supply and demand. It must be understood that the mainstream will always stay away from such currency in the market. Not only has this, but the fluctuation in the cryptocurrency impacted the regular money services also. Due to this unpredictable crypto nature, there is a negative wave for adopting it for trading and regular usage. Like regular currencies, there are no guidelines about how much crypto has to be generated, and there are no authorities who can control this. The crypto is a completely decentralized system. It needs blockchain technology to support it and some very limited miners who are doing the hash generation and adding it to the blockchain. Each hash is visible through a public ledger, which means all users can see the transaction. Also is another matter why people are refraining from this system adoption. There is a general thought process that other people should not know our transactions just for safety.
So since there are no hiding possibilities of transactions, mass adoption is not seen in the future. We can study some phases as below to know how the cryptocurrency can be build to gain general acceptance –
Need for stable ecosystem-Gauging demand
The cryptocurrencies should be able to guess correctly, happens when the currencies have high supplies, and minimal fluctuations in the rate. The demand must be predictable. This actual usage has to be in balance with supply. The necessity of governing the Central Bank is underlined here. Cryptocurrency needs to introduce some system where it can control volatility and that too without compromising users’ freedom.
Need cooperation and not competition among the users
The concept of a centralized system in a different way can help to develop a business and cooperative network. If people are motivated by the user through some incentive and allowed to build a network to gain more incentive, they may be adopted by more people. The coins also can be handled by the co-op. A more democratic way can be adopted to grow this business.
Need local exchanges
If some local exchanges are initiated, people will find it easier to go to the exchanges and carry out their desired transactions there. These types of trusted transactions will also help limit the sale of a coin more easily, leading to controlled gauge demand. The system observers can then advise the increase in demand based on data availability. Cryptocurrencies, in this way, will have a great chance to escape from the embrace of the unethical or illegal business, due to which, currently, it is infamous. One must remember that, for this to happen, there is a long way to go.
No disastrous marketing
The right marketing strategy in the right direction can help the cryptocurrencies grow in a better way. The speculators, who jumped in this early, might fear away the mainstream users to ensure their part remains big. Keeping the currency is an uphill task due to the market cap on the availability of coins in the crypto market. However, if the growth is desirable, it has to be achieved anyway. There must be a huge amount of capital to stabilize the coin price.
Proper planning and implementation
With a highly volatile market, the cryptocurrencies are still unachievable to almost everyone. Right now, no one even knows where this path of cryptocurrencies will go or whether it will end? At this moment, no expert is needed to tell where it is leading to an outcome. Given the current scenario, there is no, forget a bright, long future for cryptocurrencies. But there is little hope in some coins showing positive planning and seem to be heading in the right direction.
The idea of cryptocurrency, though brilliant, lack many things that have become a big hurdle in the growth of it. It lacks adaptability by the mass media because of the flaws in the system. Flaws not like real flaws but majorly the lack of understanding about the system among the mainstream population. Though there are speculators who have already entered the market, others are very reluctant about using crypto coins. It is huge because of the unpredictable nature of coins concerning the market price. People will always like to gain from the property or asset they possess. Who will want to have something which is not stable in the rates and can’t be decided when to sell and when to buy? The adoption will come if and only if the system becomes user-friendly; it becomes stable, and it becomes predictable to a large extent.