Cryptocurrency development prospects is that they must enter the traditional financial system
Bitcoin positions in early 2019 look more fragile than a year and a half ago. Cryptocurrency development prospects are ambiguous, and their new task demonstrates banking benefits and thus survive. However, analysts are optimistic: everyone needs digital assets, including banks and international corporations.
At the end of 2017, the price of Bitcoin (cryptocurrency number one) reached $ 20,000 per unit. Many have expressed their opinions about the threats that decentralized digital money carries to the banking system. But everything turned out more prosaic: at the beginning of 2019 the cost of BTC does not reach 4 thousand dollars.
Cryptocurrencies occupy narrow niches and globally do not affect the financial sector.
Nevertheless, it is predicted that the BTC domination index will rise to 66% in comparison with the average value of 2018 – 46%. Traditional banking will be more loyal to digital assets, since the advantages of using cryptocurrencies are obvious. For example – in international payments and cross-border investment. Suffice it to recall the attempts of Iran to create its own national cryptocurrency. And – the commonwealth of specialized regulators of the UAE and Singapore.
The SEC (United States Securities Commission) is expected to approve the Bitcoin Index Fund (ETF) in 2019. Thus, the legal status of cryptocurrency is indicated clearly. In essence, BTC can be traded at not only specialized sites, but also traditional exchanges.
Specialists from a leading research agency A.T. Kearney notes that cryptocurrencies do not threaten the international banking system (which they once promised to win). Only the adoption of digital coins by banks and the active use of their advantages will save cryptocurrency in the near future.
It should also be noted that electronic assets on blockchain have finally ceased to be legends. The user is no longer willing to invest in an ephemeral tale. Nevertheless, big business has long adopted the best that blockchain and cryptocurrency carry to the world. And this process does not stop.
Prospects for the development of cryptocurrency are visible now
And while regulators around the world are trying to negotiate the status of Bitcoin, ethereum and other coins, the Japanese Mizuho Financial Group launch cryptocurrency for cashless payments.
To make the project a success, Mizuho involved 60 banks. Cryptocurrency calculations are beneficial and it is obvious to the management of the corporation. For example, when calculating a new coin, stores will charge lower commissions than if the user paid for purchases with a plastic card.
Digital asset holders will be able to transfer them to each other free. Mizuho Financial Group also promises low commissions when exchanging digital coins for fiat money and vice versa. To avoid high volatility, Coin will pegged to the national currency – the Japanese yen. In the future, it is planned to transfer all non-cash payments within the corporation to cryptocurrency. “It is convenient and profitable,” – noted in the company.