Is there a future for digital money?
The first virtual currency called Bitcoin appeared in 2009, then no one thought that this type of electronic money would gain such popularity.
This monetary unit made it possible to maintain complete anonymity of the owner and, at the same time, eliminated some of the disadvantages inherent in other electronic money.
After the popularity of Bitcoin began to rise and its value began to be created in parallel, hundreds of other digital currencies began to be created.
Cryptocurrency trading has begun to gain popularity among more and more people.
Until 2018, it seemed to many that this type of payment was the future; the cost of one bitcoin reached $19,000, and then collapsed.
Thus, dashing the hopes of investors who believed the forecasts that the first digital currency could reach the $100,000 mark.
This event removed this asset from the list of attractive investments and called into question the very existence of cryptocurrencies.
Many skeptics, including Warren Buffett, began to say that electronic money is nothing more than a soap bubble and after it bursts the price will drop to almost zero.
How true are such statements and do Bitcoin and other cryptocurrencies have a future?
In order to answer this question, you need to understand for what purposes cryptocurrency is currently used:
• Illegal transactions - giving bribes, hiding income, that is, everything where you want settlements in large sums to remain in the shadows.
It is more convenient to use Bitcoin specifically for large transactions, when it is physically difficult to transfer huge amounts of cash, and a billion dollars fits on one flash drive.
• Universal payment system – Bitcoin gradually replaced electronic payment systems when making payments between freelancers.
Having replaced payments in systems such as WebMoney, Yandex Money and PayPal, anonymity and the opportunity not to pay taxes became additional advantages.
• Speculative operations – cryptocurrencies simply have enormous volatility , which allows you to make money on them even without using leverage.
Due to the intensifying fight against offshore companies and frequent blocking of accounts, more and more people are looking for alternative ways to hide their income.
Quite a large number of transactions are carried out for speculative purposes, which only increases the liquidity of this market segment. That is, we can say with confidence that there is definitely a future for Bitcoin and other cryptocurrencies.
At the same time, Bitcoin and its analogues have practically ceased to be used as an investment ; price stability scares off long-term investors.
Therefore, you should not hope for a price increase above the $10,000 mark.