Cryptocurrency has seen massive growth in recent past years. The quantum of growth was to the extent that it swiftly entered the mainstream investment. Despite the volatility, the market effectively witnessed a huge influx of investors. This virtual market is completely out of the reins of regulations across several countries around the world, which other markets have to bear. Certainly, this makes the crypto market a lucrative and tempting source to park the investment.
However, the crypto market doesn’t stay behind like every coin has two faces. With the freedom and unparalleled investment growth, the crypto market has become a destination of illicit activities. In addition, online transactions in cryptocurrency are highly prone to ransomware attacks, hacks, cybercrime, etc. And the worse thing is that no government can put reins over it as they hold no authority over the dealings in cryptocurrencies..
However, as of December 6, 2021, USA and UK governments have entered into close cooperation to combat the problem of illegitimate use of cryptocurrency. Both the governments delivered a clear message against the security threats to their countries that they are committed to uprooting any kind of illicit threat that may succumb to the crypto market. Money laundering, terrorism, illicit financing, cyber crimes; all these issues were the focal combating points of this US-UK meet.
Crypto Market Predictions 2022
In this section of the article, the predictions for 2022 are covered. Following are the predictions for the Crypto market:
- Growth in the popularity of Ethereum
Everybody knows that Ethereum and Bitcoin are the two most popular cryptocurrencies in today’s time. But in the recent trend of the crypto market, it is seen that investors are choosing Ethereum over Bitcoin. By taking into consideration of the recent trends and the popularity of Ethereum, it is predicted that Ethereum will soon surpass Bitcoin popularity. According to the investors, people will diversify their crypto portfolio by adding Ethereum and they can easily get rid of Bitcoin rules and monotony.
- Predicted to become a source of exchange
The disadvantaged point of cryptocurrency is that it cannot be used as a source of exchange or payment. However, in 2021, it is seen that many companies are accepting Bitcoin as the legal source of payment. Considering this trend, it is predicted that more and more businesses will accept Bitcoin as a source of payment. This will increase the worth of Bitcoin and its usage. As more businesses will accept Bitcoin as legal tender, the value of crypto will be increased.
- Adoption of CryptoCurrency by countries
In today’s time, cryptocurrency is still not accepted and backed by any government except El Salvador. However, it is still considered an illegal source of exchange in many other countries. But as per the CEO of BitMex, it is expected that five more countries will follow El Salvador and will provide a legal status to Bitcoin. Therefore, it is believed that more countries will adopt this digital currency in 2022.
- Issuance of Digital Currency by Banks
Countries like China are planning to issue their digital currency. It is going to be adopted in a view to avoid the threats in the cryptocurrency and to have own digital currency. A country can easily manage its digital currency rather than managing a cryptocurrency system. Therefore, in 2022, it is expected that banks of some nations may issue digital currency.
- More investment by investors and companies
In today’s time, the thinking and choice of investors have changed. In the current scenario, it is found out that investors are now recommending to purchase and trade bitcoin in the cryptocurrency market. Not only investors but companies are also interested in investing in cryptocurrency. Therefore, considering the recent trend, it is expected that the cryptocurrency market will see a rise in the number of participating investors and companies in 2022.
Cryptocurrency is a market that sees massive changes in a single day. Sometimes it is in favor of the investors, but sometimes it is against the investors. With this article, we have mentioned the latest trends in the cryptocurrency market and the things which are predicted for the future. However, these predictions are only made by seeing the recent trends. So, you should invest your money after doing some research and you must choose the best platform like Bitcoin Investment to buy Bitcoin in a secured way.