Cryptocurrency: Crisis or Boom?
While the world observes the diminishing value of many cryptocurrencies, a key sector in the digital asset market continues to reap profits at a dramatical rate.
After values skyrocketed beyond market expectations, many cryptocurrencies have suffered severe depreciation. However, some of these currencies have resisted deflation and continue to retain significant value.
Bitcoin, the most well known of the digital currencies, has continued its pattern of spiking and falling in value, thus being a volatile investment. Yet the platforms that support cryptocurrency exchanges are remaining steady, reaping real rewards.
A report thoroughly examining the current situation entitled “Crypto Trading – The next big thing here?” by Sanford C. Bernstein & amp; Co, has provided insight on the cryptocurrency market. In 2017, 1.8 billion dollars resulted in cryptocurrency exchange profit, with projections that this number will double in 2018.
This suggests that a significant portion of value from crypto-asset market capitalization is in the traditional store of value markets, suggesting that those being enriched by cryptocurrencies are not necessarily the traders themselves, but the platforms that facilitate trade and storage.
On the flip side of the coin
Although the growing value, accessibility and interest in cryptocurrency persist, traditional financial institutions are unlikely to embrace virtual assets in the near future.
The hesitation to do so is a result of a lack in legislation surrounding cryptocurrency and the vulnerability of the trade to be manipulated in money laundering schemes.
The legal experts at the Boccadutri Law Firm assist those who wish to explore the world of cryptocurrencies, in addition to those who have suf ered scams within the digital currency market. We invite you to contact us here if you have questions or would like to explore your options in reference to the aforementioned.