Will digital currencies disappear? Is her career over forever or is it a setback in her ongoing career?
If you were hoping to own digital currencies, especially when they flourished beyond expectations during the years 2020 and until the fall of 2021, you probably do not wish to buy them anymore, as after their prices fell to levels that were close to zero for some of them, some analysts expect that this is the beginning of the end for encryption of money and the disappearance of currencies. The digital currency has been in circulation for the first time in 2009, while others see it as a setback in its journey that will continue into the future. In this article, we will mention some concepts and review the opinions of some experts through which we can expect the possibility of the continuation of digital currencies in the future. Or does the question, “Will digital currencies disappear,” have a certain answer to that?
First: The concept of centralization or decentralization in dealing leads to the fate of the cryptocurrency varying between survival or death
Well, to simplify the concept of centralization of dealing in cryptocurrencies, i.e. what is called “Centralized Cryptocurrency Exchange”. This term refers to the trading of digital currencies through an intermediary or third party to carry out the trade. Therefore, the concept of decentralization in the exchange of digital currencies is “Decentralized”. Cryptocurrency Exchange”, which refers to the sale or purchase of it directly between the seller and the buyer without any intermediary or third party. You can imagine it as something similar to a financial stock exchange, but for digital currencies, the most famous of which is through platforms for trading digital currencies at the prevailing price, based on the supply and demand of the digital currency, highlighted Cryptocurrency trading platforms Binance - Coinbase - Kraken and others.
Although decentralized exchanges are considered more secure than centralized digital currencies, and are less expensive due to the provision of commissions to the intermediary and provide more room for confidentiality and privacy, this is because they provide more protection from hackers and the risks of trading, by reducing the rate of penetration of the intermediary party and thus the loss of your digital funds, such as a platform DEXs and Kyber, but central digital currencies gain the trust of customers to a greater extent, as they are actually the most common means of buying and selling cryptocurrencies, because individual dealing in cryptocurrencies does not suggest to the user the same degree of security, management and control of the exchange as is available through the intermediary, due to the sense of The dealer is in a professional environment for cryptocurrencies and does not do it alone, or for other reasons. For example, the individual may simply forget the secret wallet key and lose his money. In addition, the central dealing of cryptocurrencies provides a greater opportunity to find new business partners, through a wide network of currency dealers. Digital is a great advantage in the field of entrepreneurship.
Now, after clarifying the concept of centralization in the exchange of cryptocurrencies, we review the opinion of the businessman “Samson Mao”, as he believes in the continuity of decentralized currencies and the opposite for central currencies, which he expects to disappear forever. He is the founder and CEO of “JAN3”, which supports the “JAN3” currency.Bitcoin“To become a legal currency, because it is a decentralized currency starting from El Salvador, which actually adopted it.
Samson Mao told Currency.com:
Cryptocurrency could disappear forever because it is just centralized projects that create tokens and currencies at will. There are now more than twenty thousand digital crypto projects, most of which are useless. However, Bitcoin will not disappear because it is in fact decentralized and is still in high demand as an alternative to traditional money from... Before individuals, companies, and at the national and regional levels of countries.
According to the site, Samson Mao has logic in his opinion, especially after the emergence of a type of digital currency called “MeMe” that is launched as symbolic digital assets for a specific event, most notably, for example, the launch of a currency called “Will Smith Eno”, just hours after the actor was slapped. Universal Will Smith to Chris Rock at the Oscars, and the value of the currency was rising and falling at the speed of a flash of light colliding between two walls.
Therefore, according to what I see, this ease in launching digital assets and their instability will inevitably lead only to their collapse, because the emotional investors in them and this event will attract their money to other currencies to compete with the previous ones of this type of currencies, and this is what makes them not live up to the level they have reached. Some cryptocurrencies may become a desirable financial instrument in the near future.
Second: Will digital currencies become an interesting financial tool in the coming months and years?
This is what the critic and writer in the field of cryptocurrencies, David Gerrard, who closely follows the abuses and deceptions of encryption, asked. He believes that encrypted currencies, especially Bitcoin, will inevitably accompany us for the coming decades, given that creating a digital currency does not require anything other than the program, the data, the encryption process, and two or three... More than enthusiastic about it.
Gerard believes that the nature of Bitcoin trading is originally through funds outside government control, and the use case for this currency is still not subject to any government scrutiny, although it is not always wrong for it to be traded outside government control, because it may be annoying at times. It is sometimes incorrect in its decisions, especially in the field of this type of digital money, but the state of lack of government control over cryptocurrencies will not last forever.
Therefore, Gerard expects that government regulation of cryptocurrencies will occur through establishing closer relationships between cryptocurrencies and the financial institutions of governments and others, and they will have a permanent market price as long as they are transformed into a form of assets or property, so it is unlikely that those digital assets or property will disappear. With the increased possibility that regulatory restrictions will be imposed on its trading operations.
In my personal opinion, the government is planning to regulate trading Cryptocurrencies It is considered the first step to formally recognizing them as trading assets and an official financing tool, as the role of digital currencies cannot decline to a level that threatens their collapse forever, and this is a reason for optimism in the cryptocurrency market that we will witness in the future.
Third: It is the point of- There is no going back to digital currencies and their continued growth
The head of research at CoinMarketCap is optimistic, as she believes that the cryptocurrency industry has matured significantly with the increase in funding by venture capital companies, amounting to $37 billion from 2020 to 2022, which is three and a half times the funding in the five years before 2020. This Structural adoption of cryptocurrencies refers to the integration of crypto with finance by large platforms in the areas of capital markets, e-commerce and some actual use cases in the public sector, i.e. government.
As for the independent correspondent in the field of digital currencies, Amy Castor, she believes that Bitcoin has gone through several bubbles but will not disappear. However, she expects Bitcoin and digital currencies in general to witness low levels in the near future, and agrees with David Gerrard on the importance of regulation of digital currencies to increase... Safety and protection of investors, especially small ones, in digital currency trading.
Here, we find in the opinions of analysts reason for optimism in some digital currencies and certainly an answer to the question of whether digital currencies will disappear forever or will they continue, the most important of which is Bitcoin, which has reached a trend similar to traditional currencies in the financial market and investment, despite the collapse of most digital currencies and What seems like forever, but the idea will not die and encryption is witnessing growth full of abysses and collapses, but it is growth in the long term of the ascending timeline that cryptocurrencies have drawn since their invention and circulation for the first time, especially after their connection to the main financial market indicators and their impact by the wave of investors’ migration from them to traditional currencies. After the Corona pandemic and the war in Ukraine, digital currencies are assets with high risks, and this reflects the weakness of the crypto market, but they will witness growth filled with exciting and enjoyable events for followers of the financial and investment markets, and will witness upcoming events that will have a major impact on the world of finance and its overall course in the future.
