There have been many ups and downs in the past year, largely due to a devastating viral outbreak around the world that has paralyzed countries and claimed the lives of millions. But for those in the cryptocurrency and blockchain community, 2020 has finally demonstrated the real potential of technology.
There are undoubtedly more developments in the past year that will have a positive long-term impact on the industry, compared to the entire history of distributed ledger technology and bitcoin (BTC). So, here are five of the most important events of the past year in the field of decentralized technologies, which will leave indelible memories and lasting legacy for years to come.
BTC price exceeds $ 20,000.
Bitcoin’s price has done much more than just beat the $ 20,000 price tag that was originally set during the 2017-2018 rally. First, the $ 20,000 level fell. Immediately after that, he earned $ 30,000. And now even the $ 35,000 mark has been adopted.
It would seem that wild predictions of the bitcoin price of $ 45,000 by the end of 2021 may not be that far. Additionally, the infamous stock flow model developed by cryptocurrency trader PlanB, which predicts a price of $ 100,000 per bitcoin, works as intended.
So yes, prices are going up, but they can be going down. This has happened before and can happen again, right? In theory, a lot has changed, not least the public perception of Bitcoin. This is evidenced by the shift in demand from retail to institutional investors.
Bitcoin wanted many well-known companies to join the industry to meet their various needs, from companies that choose to store BTC as a reserve like Microstrategy to the growth of cryptocurrency funds like Bitwise and Grayscale – and who knows, individuals invest through them. All that is known is that they are willing to invest billions in cryptocurrency. So at the end of October the really big news came …
PayPal launches encryption option
PayPal, a company that was originally founded with core beliefs like Bitcoin itself, not only announced its entry into the cryptocurrency market, but has already entered 2020, at least in the United States. In addition, PayPal is reportedly now one of the largest buyers of bitcoin as the company is building up reserves to meet consumer demand.
The only word that can describe this development is “adoption.” About 28 million merchants and over 361 million users worldwide will now have access to a “mini version” of owning and using cryptocurrencies. According to the company, he is a custodian and mainly sells shares of the BTC holding. This is not in line with the traditional way of owning cryptocurrencies, and that’s okay.
Encryption is very difficult for the average user to understand – all cold and hot wallets, passwords, 12-word recovery phrases, etc. PayPal offers an easy-to-use way to access the ecosystem, and when that happens, someone can really go all the way. to learn more about how to use this technology.
Cutting bitcoin in half has been described as an important breakout point for the crypto industry. It happened, but not much actually happened. Some commentators expected the price of BTC to rise and then collapse, while others expected the frequency of network fragmentation to decrease. While it did happen to some extent, it was not as exciting as expected and it was very good.
Halving Bitcoin mining rewards is an event that occurs approximately every four years and halves the number of BTC miners who earn to discover a block. This is a static crypto blockchain rule that limits the supply to only 21 million BTC, mimicking the limited supply of gold.
Ultimately, the fact that Bitcoin’s price and fundamentals have remained largely unchanged has led some to believe that the industry has reached a certain level of maturity. Perhaps it was this flexibility that ultimately caused some of the largest companies, economists and investors to reconsider their stance on cryptocurrencies in general. The fact that Bitcoin was out of supply has become clearer over the year.
Listing companies on the stock exchange is common nowadays, so it’s good to see some local crypto companies like Coinbase join in the fun as well. Such a move was almost not expected to happen soon due to the company’s general open approach to regulation, which is clearly set to please US regulators when the time is right.
The bottom line is that traditional investors will be able to invest millions in Coinbase stock – up to $ 28 billion, according to Misari. Time for a rough list is also careful.