Will Currency Volatility Continue to Exist?
Currency volatility may be one of the most defining characteristics of the digital age. In this volatile environment, is it likely that an individual or entity who has a strong belief in the future of cryptocurrency will be able to earn a significant, positive return on their investment? I believe the answer is no.
To me, radical analysis seems to indicate that there is little or no potential for consistent income to be generated through cryptocurrency investments. But that is not necessarily true.
With the leaders of three of the biggest and most recognizable major players in the industry making statements to the contrary, many folks have wondered if we are witnessing the death of the cryptocurrency industry. The reality is that we have seen some of the most significant and rapid growth in the industry.
For the first time in history, the world’s population is being educated and encouraged to make a living in an economy in which there is an abundance of commodities, whereas in the past commodity prices were always on the rise. The currencies of many of the major economies have also become a commodity in their own right. For many individuals and corporations, that is a huge advantage.
A stable economy in which people can earn a livelihood has made it so that technology and creativity are at the forefront of many industries and sectors of the economy. The ability to innovate and produce new ideas and products in an entrepreneurial atmosphere has been the chief source of global growth for many years. That is not an unfamiliar phenomenon.
The chief beneficiaries of the technological revolution are not going to be those who comprise the largest share of the population in any particular industries. The advantage that the pioneers of the industry and entrepreneurs have is going to be made possible by the movement of the currencies of the major economies. While an individual who was to invest in a cryptocurrency like gold would enjoy a percentage return in the short-term, the tremendous advantage is that the value of the currency can change inthe short-term.
I believe that one of the most significant, and most overlooked, impacts of the technology disruption will be the greatest to be felt by the proponents of cryptocurrencies and people involved in the major players in the industry. That advantage will be the ability to purchase digital assets which you will hold in your virtual wallet which will represent an ownership of the value of the currency.
Many of the currencies which have been launched so far have seen substantial gains in the value which cannot be attributed to the increase in the value of the currency which is quoted in the market place. Rather, the performance of the currency has been driven by the positive impact of the popularity of the individual currency and the enthusiastic endorsement of the media.
In an increasingly digital marketplace in which the currency of a particular currency is becoming the basis of the internet, it may not be an exaggeration to call the increase in cryptocurrency prices as the biggest change since the invention of the computer. For those on the outside looking in, however, it is often hard to discern what the real change is.
If you have invested in the pre-release versions of the individual currencies and do not have an account, it is not too late to open one now. You can find more information about how to invest and trade on the web sites of the exchanges.
Even if the cryptocurrency market seems to be a fairly straightforward process, the impact of the change in the infrastructure of the money transmission market is substantial. Once the shift is complete, the new world which we have witnessed, it is likely that the currency of the United States will be the leading currency, and that all the major currencies around the world will be converted to USD as the value of the U.S. dollar increases.