The Rise of Crypto as a Mainstream Currency and What This MeansEric Merlin
Although cryptocurrencies have been with us for a while, they are still regarded by many as a new phenomenon. They are indeed very different from the traditional currencies in daily use across the real world, and yet should no longer be regarded as a niche currency simply for online.
As these forms of currency become more mainstream, it is important to be able to share and grow a worldwide understanding of the sector. This article looks at what crypto is and how it has now gone mainstream.
What is crypto?
Cryptocurrencies have come a long way since the initial advent of Bitcoin. There had been some previous attempts to introduce anonymous electronic finance and currency (with a paper published to this effect in 1983), and yet it was only until the existing financial structures had failed in 2008 that Bitcoin was established and released.
The concept is simple, and cryptocurrency is any money or currency that is digital or exists in virtual reality and uses cryptography for its transactional security. There is no central authority or regulatory body that monitors and controls these transactions, and instead, a decentralized peer to peer ledger is used that cannot be altered or changed in any way to record and list any transactions.
Exchanges are done in an e-wallet, and the aim of accumulating the tokens is to speculate on their future value to make a profit.
Which ones are growing fastest?
There are a number of cryptocurrencies that just haven’t stopped growing, with over 11000 different cryptocurrencies and new ones being considered all the time. It is thus a growing industry and is expected to continue to grow in the long term.
Currencies such as Bitcoin have a limited production amount, and as such, it is expected that the other lesser cryptos will come to the fore once the production cap is reached for the top currencies such as Bitcoin and Ethereum. Here are the fastest-growing cryptos at the moment:
- Dash to trade (D2T) – The idea was to create a Bloomberg style trading platform, providing data and analytics for crypto, and it has taken off in a big way. You are able to trade and exchange crypto, and the only means of exchange is the D2T token. Its price has increased dramatically since its release and, while still selling low, is expected to make continued gains as the platform uses a range of new tech to provide as much information and analysis to allow for competent trading. It is these analytics-based tools that have arguably made D2T so popular with investors. It is also seen more as an investment currency than a day-to-day usage currency and will remain as such until there has been widespread adoption.
- Tamadodge ($TAMA) -Heralded as the next Dogecoin, the Tamadoge token has become popular as it combines meme coins and NFTs with the ability to game and play in their arcade (the Tamaverse). It’s also been called the ‘play to earn dogecoin’ as you can earn tokens and NFTs in the games played that can translate into real money or actual value. This is a cryptocurrency that is planning in advance for the metaverse, and suggestions are that there will be a few more Dogecoins and meme NFTs that will be making appearances in the crypto sector based on this mix of gaming, memes, NFTs, and money making.
- Battle infinity (IBAT) – Again, one of the top trending cryptos is proving to be related to the gaming world. There are a number of games on the platform, all in the metaverse-themed Battle Arena. There are NFT-based Fantasy sports as well as a market and a virtual world, allowing gamers to meet, interact, and play together. Everything is fueled by the IBAT, which is the accepted crypto used to buy, sell, monetize, trade, and exchange with others on the Battle arena platform.
This growth of crypto is generally related to the exchange value of the crypto and the demand for the tokens or coins. It is thus imperative that you know what the values of the various cryptocurrencies are. Using a place like OKX.com, which provides clear pricing and exchange values of the Bitcoin, is a good idea as it will be able to provide a detailed 7-day price history as well as a real time price. If you intend to trade and exchange crypto successfully, then this type of information will be critical for all the currencies you are interested in. Those mentioned as fast-growing or new cryptos will likely be more volatile and thus need to be checked on a more regular basis.
What can you use it for?
The modern-day uses of cryptocurrencies have been on the rise and changing on an ongoing basis. Those who bought into crypto early on in the process may have made some profits, and some may still see the currency as an investment, but there are now so many more uses for cryptocurrency.
- More than just an investment, but an everyday currency
Crypto such as Bitcoin or Ethereum has definitely hit the mainstream and can now be used for all sorts of online purchases. Not everyone uses crypto as an investment but rather as a daily use currency to buy and interact in the online space and the metaverse. Those mentioned as the established crypto are now more accepted in the online space than ever before. As significantly sized multinational companies begin to show trust and adopt the use of Blockchain technology and allow use of the bigger cryptos to purchase products and services, there has been a marked increase in the number of online outlets that now have a crypto payment option.
- With a debit card
The rise of crypto debit cards are now also on the rise whereby the specific crypto such as Bitcoin has partnered with the established banking systems such as Mastercard and Visa to provide a seamless back end, where you pay in crypto and the vendor receives a real or Fiat currency (US$). This has changed the notion forever that you need to go through a process of exchange every time you want to use your crypto. You can thus buy anything that you want with your crypto as long as it (like Bitcoin) has an established system of payment or simply use vendors who accept the actual crypto that you have.
- In the gaming world
Of the cryptos that are the fastest growing at the moment, it is interesting to note that the majority are linked and related to a gaming ecosystem and the rise of NFTs. The rationale has been that gamers, who have been responsible for the establishment of entire Tribes and communities around specific games, with their own culture and social rules and norms, will also want access to a financial system. This has seen the rise of game-related and metaverse only currencies that are predominantly used on the game for NFTs, game add-ons, and increased player possibilities and power.
What you need to know
Put very simply, you need to know as much as possible about anything that you intend to spend your money on, and cryptocurrency is no different. Before you buy a single token, it is advised that you understand motives for your purchase, the precise values of these tokens, where you can transact in the currency you’ve chosen, what the risks are, and what exactly you can buy with the crypto you have.
As with any financial system or investment opportunity, you need to know as much as possible about the systems used to transact, but more specifically, the values of all the currencies you intend to deal in. It has already been mentioned above that the knowledge of exchange rates and daily values is a good idea, based on current volatility of crypto, but there is so much data now available that you must ensure you have access to such information and are able to thoroughly interrogate your decisions to buy crypto.
If crypto is an interest to you, then you should also be clear as to why you intend to buy it, where it can be used, and how easy it is to transact in your chosen currency. This will guide your choice of crypto.
This article has provided a concise insight as to what crypto is, the idea being to provide you with the information and reading you need to be able to engage with what has become one of the mainstream currencies of our time. The cryptocurrency sector is changing on an ongoing basis, and this is set to continue for the long term. It is a fairly new financial system, and, as such, is expected to see continued growth but also some serious fluctuations and change. Keeping as informed as possible is going to be the key to any successful cryptocurrency investment or purchase.