A Look at Future of Bitcoin: What Is Going to Happen in The Coming Years

When it was first introduced to the globe more than a decade ago, Bitcoin expects to usher in a revolution in the economic environment. Scandals, blunders have characterized the cryptocurrency industry’s turbulent first decade and dramatic price fluctuations, to name a few highlights. After reaching an all-time high of $63,000 in April 2021, the price of bitcoin (BTC) has dropped 24% to roughly $48,000 as of August 30, 2021, per CoinMarketCap. As a result, the next decade may prove crucial in developing Bitcoin and cryptocurrencies in general. And before we move ahead, register yourself on the bitcoin and learn to trade cryptocurrency in the most straightforward ways possible.

Compromised Vision

When its pseudonymous creator Satoshi Nakamoto published a crucial article on October 31, 2008, Bitcoin is a borderless and decentralized alternative to the fiat currencies controlled by governments and central banks. In his argument for eliminating mediation and replacing it with a peer-to-peer network, Nakamoto stated, “The expense of mediation raises transaction fees, restricting the lowest practicable transaction size and shutting off the potential for small and casual transactions.”

The decentralization of power has given way to the concentration of power. For the sake of efficiency, large mining farms have compromised the democratization of generating money via the process of gold mining. Bitcoin’s technology is plague primarily by scalability issues, which has resulted in a lengthy history of splits and alternative currencies. However, the development of a robust and dynamic crypto-ecosystem more than compensates for these drawbacks. Since its inception a decade ago, the cryptocurrency market has grown to a total value of $2.002 trillion.

Taking A Look at The Next Decade

The next decade may demonstrate the significance of Bitcoin’s development in the world. In addition to financial ecosystem revolutions, Bitcoin’s ecology has a few aspects that investors should pay careful attention, to make informed decisions. At the moment, bitcoin serves as a store of wealth and a medium for everyday transactions. A growing number of institutional investors are rushing to join in on the action and benefit from the volatility in bitcoin’s values, even as governments across the globe, including Japan, have deemed it a legitimate method of payment for products.

However, issues with scalability and security have prevented both of these events from taking place. “Security has unquestionably been one of the most serious shortcomings of Bitcoin and other cryptocurrencies in recent years,” said ChakibBouda, CTO of Rambus, a payment technology company. He believes that a safe and secure Bitcoin environment would lead to broad acceptance of the cryptocurrency.” We anticipate that Bitcoin will become popular in the next ten years and will have a much different reputation,” he added.

There will be no mainstreaming of Bitcoin (growth in its appeal as an asset class) as a payment method until and until technical advancements in its ecosystem are made in the Bitcoin ecosystem. Several technologies, like the Lightning Network, promise to increase their operations in the future.

The blockchain of Bitcoin has seen significant advancements in recent years. In 2018, Ripple’s CTO David Schwartz likened Bitcoin to Ford’s Model T. The car’s introduction heralded a revolution in transportation, and a whole ecosystem, ranging from roads to petrol stations, sprang up to service it. Because of widespread media attention, the seeds of an ecosystem have already begun to take root in the past few years and will continue to grow.

To keep up with the changing environment: the ecosystem will probably grow in size. “The next decade will see an explosion of low-cost, high-speed payments that will revolutionize value exchange in the same manner that the Internet changed information transmission,” says Schwartz. So far, in 2021, the price of Bitcoin has reached a high of $60,000 before tumbling to a low of around $40,000.

It comes at a time when both PayPal (PYPL) and Tesla (TSLA) announced cryptocurrency investments in the first quarter of 2021. Citi said that the future of Bitcoin is still highly unclear but that it is on the verge of being widely accepted in the mainstream. According to Citi, institutional investor interest in cryptocurrencies is fueling widespread interest in digital assets. Still, concerns about custody, security, and capital efficiency continue to be obstacles for digital assets.