Recently, there has been a lot of discussion about the future of bitcoin and digital currencies based on blockchain. On the one hand, there are those who believe that bitcoin will eventually dominate the market for other cryptocurrencies and emerge as the only cryptocurrency in the market.
«Jack Dorsey, CEO of Twitter and founder of Square, is one of them.
“The world will eventually come to a single currency, and the Internet will recognize a single currency. “I personally believe that such a currency would be bitcoin.”
On the other hand, people believe that techno-superior altcoins; It leads to the lack of adaptation of bitcoins to the needs of their time and destroys bitcoins. While no one has the ability to predict the future, it is easy to say that Bitcoin is not losing its place. In fact, people who believe in bitcoin monopolizing other digital currencies may be right. In this article, we try to examine the reasons.
Bitcoin can eventually make intangible and anonymous currencies unnecessary
Part of the crypto market includes coins that insist on anonymity of transactions in their blockchain.
In any case, thanks to coin mixers, Bitcoin has the ability to make these digital currencies unnecessary. Coin mixers cause the transaction to remain almost anonymous by changing the address between the recipient and the sender in bitcoin transactions. Given that Bitcoin is the most well-known digital currency on the market, it can follow the same path in the long run compared to anonymous currencies.
People looking for privacy in this market can easily make anonymous transactions with Bitcoin. If bitcoin works for these currencies, there will be no incentive for people to use a currency other than bitcoin. The result is that the Bitcoin network can dramatically increase its market share.
Bitcoin “Standard Gold” markets and exchanges
Anyone who has invested in this market knows that there is a relationship between the price of bitcoins and altcoins. Altcoins generally tend to follow the price of Bitcoin. By analyzing the price of Bitcoin, we can generally predict the general tendency of the digital currency market to move. In fact, whenever Bitcoin is doing well, the digital currency market is on the rise, even if it moves slowly. This is because people are more interested in investing in bitcoin because of the most well-known digital currency and the safest way to invest in digital currencies.
In essence, if Bitcoin continues to grow in its current direction; More money is flowing into this market and slowly dominating the digital currency market. To prove this point, we point out that at a time when the price of Bitcoin is close to ten thousand dollars, it has attracted a lot of market attention. If Bitcoin returns to its heyday again, breaking the $ 20,000 record; A huge amount of altcoins enters the bitcoin market, and as a result, bitcoin continues to dominate altcoins, rendering many of them insignificant.
Bitcoin can also be used for smart contracts
When we use the term smart contract, most people think of the first thing that comes to mind; There are platforms like Ethereum and Altcoins that enter the market every day. Most people are not aware that Bitcoin can also create smart contracts. There are successful decentralized programs (DApps) in this area, one of which is Particl Is called. The best thing about Bitcoin Smart Contract is that it is as efficient as the rest of the platforms, and its advantage over them is unparalleled security.
When Bitcoin developers offer solutions to the problem of bitcoin scalability, many projects focused on the smart contract platform lose their value, and then we realize what it’s worth.
Considering all the factors, it is not very difficult for Bitcoin to put an end to many market currencies and make many currencies trivial and unnecessary. We now understand why many fundamental analysts believe that Bitcoin could be worth more than $ 100,000.