Two main factors for cryptocurrency to go mainstream

Although there are several key factors behind the growing popularity of cryptocurrencies, they are certainly becoming more and more popular in society. A group of industry executives recently shared their thoughts on Qwoted.

One of the reasons is the enthusiasm of NFT

Said Victor Zhang, the founder of AlchemyNFT. : “Many people have been exposed to cryptocurrencies for the first time because of the NFT boom. As more and more people learn how to buy cryptocurrencies, set up wallets, connect to the NFT trading market and then conduct transactions, this will build a virtuous circle.”

Two main factors for cryptocurrency to go mainstream

Google search for “NFT” soars

Ian Balina, founder and CEO of Token Metrics, believes that meme and NFT together help cryptocurrencies become mainstream.

“Robinhood recently reported that, based on the company’s second quarter revenue of 50% of the transaction is encrypted and currency, of which 62% were dogs currency ,” Balina said. “According to Google statistics, NFT is more popular than DeFi, which shows the mainstream population’s interest in digital rare collectibles.”

Analyze the future of cryptocurrency from a traditional perspective

Looking at the development of cryptocurrencies from a traditional perspective, you can see their current development status and future trends.

Larry Pang, director of IoTeX business development, said: “In the life cycle of technology applications, the blockchain and cryptocurrency fields have passed the’innovator’ stage and are currently in the’early adopter’ stage.” “This year, we see Well-known companies such as Visa, Facebook, and Softbank have established, adopted, and invested in the cryptocurrency field in various ways, which legitimizes the technology and, more importantly, gives consumers the confidence to explore this budding industry.”

Victor Zhang said that the industry is about to become mainstream, when consumers will develop from understanding cryptocurrencies to actual use of cryptocurrencies. However, there are still some challenges in this process. For example, how to make them more friendly to new users. But from now on, tremendous progress has been made in this area, and this will drive the next wave of applications.

Peng Richeng agreed with this, as evidenced by Coinbase’s 68 million users and the industry’s total market capitalization of US$2 trillion. The next step is to allow people to use cryptocurrency as a utility token in the P2P network, not just as a pure investment tool.

Several executives talked about seeing the growing popularity of cryptocurrencies through the traditional model. Although the fact that use usually lags behind consciousness is unchangeable, some deliberate measures can be taken to promote the implementation of this practice, the most important of which is the clear supervision of the US Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) Regulation. Other jurisdictions have taken the lead in this regard, providing a safe haven for industry development. As we all know, the regulations in Switzerland and Singapore are quite strict, so the lack of clear regulations does not mean that the regulation is lax. But they know very well that this is exactly what the industry needs.

“Institutional investors’ interest in cryptocurrencies is growing, which is positively correlated with regulatory transparency,” Spectre said. AI’s general manager Kay Komani said: “As the use of bitcoin has increased, large companies have begun to include bitcoin on their balance sheets. Institutions are regulated entities that are also governed by regulated auditing affairs. Therefore, they will not add unregulated or unclassified assets to their balance sheets and violate their fiduciary responsibilities to shareholders while damaging their reputation. Once a suitable one can achieve global coordination Currency and important digital asset frameworks can provide such functions, and institutional funds may find a home there.”

Large financial institutions switch to cryptocurrency

Pelicoin consultant Jacob Hoffman agrees with this view, saying that he sees more mature and large-scale financial institutions begin to switch to cryptocurrencies. He believes that PayPal’s move has played a key role.

Jacob Hoffman said: “Earlier last month, PayPal relaxed its regulations on cryptocurrencies, which will allow its British customers to trade and hold Bitcoin, Litecoin and other major cryptocurrencies in their accounts . “PayPal’s decision to use cryptocurrency as the mainstream payment option shows that in the past, cryptocurrency has always been exclusive to marginalized groups, but now it has been recognized by the mainstream.”

Don Basile, CEO of Roman DBDR, pointed out that “Tesla, Square and MicroStrategy have all included encryption on their balance sheets. Nothing is more mainstream.”

Basile said: “These changes have a long-term vision-PayPal’s launch of cryptocurrency trading options is an affirmation of the long-term development of the mainstream cryptocurrency. The reason why PayPal provides crypto services is because of the high demand for cryptocurrencies and the impact on revenue and income. In terms of profit, this is an opportunity for asset appreciation determined through research.”

CompoSecure CEO Joan Vic explained: “Another sign of cryptocurrency becoming mainstream is that it is used in traditional products and services. His company recently launched a cryptocurrency reward credit card on the Gemini exchange.”

Vic said: “This news is based on the announcement of Crypto.com last month to allow the use of cryptocurrency for payment.” A recent Bank of America report showed that the use of cryptocurrency is also a trend in traditional financial institutions. According to the report, currently 21% of major banks are incorporating blockchain into their services, such as JPMorgan Chase, Citibank and Wells Fargo.

Looking back at the development of the past 20 months, Marie Tatiboué, chief marketing officer of IO., said that cryptocurrency has not yet become mainstream. MicroStrategy, Tesla and other companies have allocated a large part of their balance sheets to cryptocurrencies. Visa purchased a crypto-punk NFT product as a store of value and artwork. An NFT artwork was sold at Christie for US$69 million.

Two main factors for cryptocurrency to go mainstream

Tatibue said: “Dogecoin has dominated Twitter and the mainstream market. It even appeared on “Saturday Night Live.” Snoop Dogg , Paris Hilton, Lindsay Lohan, etc. Celebrities have accepted and promoted the NFT. Sports stars such as Lionel Messi and Tom Brady are actively participating in cryptocurrency or getting paid through cryptocurrency.”

Tatibue added; “Cryptocurrency is not the only evolution happening here. Look at the way the industry uses blockchain to improve the operating system. From Walmart and Abu Dhabi National Oil Company. Using blockchain to upgrade the oil supply chain, to banks using blockchain to improve international payment levels, through Satoshi Nakamoto’s creativity, we seem to be standing on the edge of some truly great innovations.” So, I don’t think encryption is “coming soon” Become the mainstream. I believe that encryption is now mainstream. “

 

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/two-main-factors-for-cryptocurrency-to-go-mainstream/
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