Since its introduction in 2009, digital coins or cryptocurrencies have aimed to create names for themselves due to provide a universal means of payment. From 2017 to 2018, many experts believe that various cryptocurrencies are undergoing the correction and maturation phases, mainly due to the number of reports detailing the security and regulation issues that these assets face.
Since its discovery, a considerable number of platforms have accepted Bitcoin and other coins as a means of payment or as a way to transfer money overseas cheaply. While 2018 has been quite tough for digital coins like Bitcoin, experts believe that there is a chance that its reputation will improve significantly within the next year.
Here are some trends to expect in 2019:
1. Cryptocurrency will be introduced to additional institutions
Trends suggest that various institutions will play a key role in making sure these assets become liquid, thereby making them more stable and reliable like handling stocks and other traditional commodities. As financial institutions and governments are trying to look for ways to regulate digital assets, cryptocurrency will be the frontline of digital trade platforms.
2. Improvement in education
While the demand for digital coins are still strong, there are still a lot of people that are hesitant to invest in these assets. One reason may be because there is a widespread belief that crypto coins will never take off and people are simply wasting their hard-earned money. In an attempt to encourage a vast number of people to adopt crypto, various sites and financial institutions may provide several resources to better educate the masses.
3. Improved platforms
Many trading and investment platforms will undergo significant developments in order to handle various coins and currencies. As of 2018, several of these projects are still in the developing stage although 2019 may be the year that some of these features are officially introduced. As a word of warning, be prepared for certain bugs and software issues since some of these companies have yet to find their niche in the market.
4. Increase number of security tokens
Various startups provided ICOs or Initial Coin Offerings in order to raise money for their upcoming project. Unfortunately, many of these ICOs tend to fall on deaf ears because of its association to various pyramid schemes and scams. To eliminate the risk that investors may face, STOs or Security Token Offerings will most likely be offered instead as they are backed up by tangible items like revenue, profits, and company assets.
This allows investors to develop more trust into startups by providing more flexible means of holding shares. However, be warned that STOs process are costlier and requires more time, a small price to pay in the hopes of keeping investors secure.
5. ICOs will have different rules
Due of its decentralized nature and easy to generate feature, many scams and fake companies often trick investors into investing in their digital coins in an effort to get rich quick. To avoid future issues, ICOs in 2019 may be limited to private partners who have invested in the startup before generating their alt coins.
Another limitation one has to look out for is that a number of foreign investors may not be able to participate in any funding since ICOs are banned in countries like China and South Korea.
If you are running a company at the moment and are looking for investors, consider introducing STOs instead since it requires registration within the Securities and Exchange Commission (SEC), making your project more reliable while also allowing you to instill more trust from future investors.
6. The demand for Ripple increases
Many experts believe that Ripple may become Bitcoin’s next contender due to the fact that in 2018, it is the only coin that has increased steadily without any setbacks. One reason for this is because it recently launched a new feature called xRapid, a platform that combines different currencies and help banks speed up transactions using XRP.
Learning from the Experiences of 2018
All in all, the upcoming trends and potential forecast for various cryptocurrencies are generally positive in 2019. While various platforms are still undergoing its development phase, there is a chance that a series of systems will enable investors to finally use their coins for different purposes, uniting traditional and modern transactions into one.
Regardless of the setbacks in 2018, the demand for crypto coins still remain high as ever. However, since the majority of crypto coins are still volatile, interested investors are advised to continue practicing due diligence. This includes constant checking for news and exchange rates, joining forums, socializing social media pages, and reading the fine print that comes with various offerings.