Prepared for Growth – Cryptopolitan
2022 has been a challenging year for digital currencies, including Bitcoin, which is traditionally believed to be the most stable of them due to its special position within the cyber asset market. BTC is designed as an alternative to traditional cash, with the potential to function as a means of driving daily transactions at some point. However, the market has changed significantly since the emergence of the first target. Many investors have instead come to see it as a means of protecting against inflation, convinced by the fact that Bitcoin can legitimately act as a form of digital gold and make portfolios stronger, while investors continue to invest whether to buy Bitcoin with a credit card or see. for other options as well.
But while the market seemed to be enjoying an upward trajectory over the past couple of months, March has brought less than positive news, causing investors to worry again. While there is no doubt that the situation will not be as dire as it had been in the past year, the changes in the market are crucial for traders who want to develop robust investment strategies and stay ahead of the game.
Here are some of the latest news affecting the crypto world today.
Australia defers regulations
The implementation of regulations has long been a topic of debate within the cryptocurrency market, especially after digital money began entering traditional financial markets at an ever-increasing rate. The Australian Treasury was set to implement crypto regulations shortly, but it now appears that this will be delayed until 2024 or even 2025. The rules were expected by the end of 2022, and some expected lawmakers to rush the regulations in the the first months of 2023, especially in the context of significant stock market crashes and capital losses that have devastated the crypto community in 2022.
China integrates digital currency
China’s most popular social networking app, WeChat, recently added the country’s central bank-run digital currency as a valid payment method on its platform. This has come in the context of lax interest in cyber money among the general public, leading analysts to believe that integration into the application will increase the rate of use. Over one billion monthly active users on the app can now pay bills or place online orders using digital money.
NFT Marketplace
A non-fungible token marketplace is set to launch on April 24. The multinational company Amazon is to invest in the Web3 space, and the NFT marketplace is set to be one of the developments. Although the name of the platform is yet to be decided, what is already certain is that it will include 15 collections with the initial launch. While the initial release is set to take place in the US, the platform will expand in the future to include global markets. The NFT collections will be available for purchase with a credit card or the user’s personal Amazon account.
Bitcoin on the right track
While regulations and increased interest in Bitcoin due to the emergence of brand new NFT projects are important topics, none is as important as the actual price of Bitcoin. Given BTC’s influence on the larger digital asset market, its values are of paramount importance and determine the overall health of the digital monetary environment. While there has been cause for concern given the turbulent months of 2022 and the recent situation surrounding the Silvergate bank, which the White House and Congress have become aware of, many believe that there is insufficient reason to be pessimistic about progress to Bitcoin in the coming time. months.
Some analysts, including American investor and CEO of Ark Invest, an investment management business, Cathie Wood, have expressed the belief that the crypto exchanges that fell in 2022 collapsed as a result of their inability to work with Bitcoin, and with cryptocurrencies in general, on the way they were designed. According to Wood, the failed exchanges had in common that they were essentially centralized and opaque, created and specifically designed to control Bitcoin, which is traditionally recognized as a transparent, decentralized asset that is not inherently tied to any authority. Working with exchanges that understand this is critical to the health of the market.
However, recent events have caused the Bitcoin price to fall by 5% and the currency to stagnate. However, researchers say this is not necessarily a cause for concern. First, continuous growth would have been unsustainable in the long run and would have done more harm than good to the entire market. Second, the fact that interest in Bitcoin has remained stable, transactions have shown consistent engagement levels, and the price move has not been particularly dramatic has given investors the confidence to believe that the market will hold firm and navigate this blunder successfully.
The future of finance
One of the best things about Bitcoin is the potential it shows as a means to revolutionize the financial world and be the next step in economic development. There are several layers in the development cryptocurrencies bring to the world. The first is of course the monetary aspect. Bitcoin is the leading and, for many, the only cryptocurrency with a claim to this title. While altcoins are not yet there, some have the potential to improve their status in the future, although it is unlikely that any of them will ever end up posing a real threat to Bitcoin, overtake it or replace its influence.
Second, the revolution in financial services, with decentralized tools expected to have a greater impact in the future. Thirdly, the social aspect comes in the form of digital property rights. The decentralized nature of this technology could potentially help alleviate strained economic situations around the world.
Although Bitcoin has not been around for long compared to other assets, it has shown much more promise than all of them in terms of bringing its development worldwide across a number of different spheres. While the past year has been challenging for digital assets, the future still looks promising and there is no doubt that Bitcoin will rise to the occasion.
