As 2021 is fast-approaching, there is much to expect from crypto investing and the entire market. In 2020, this market saw a rush of new investors who were looking for a hedge against the traditional assets crash in the early months.
Now, what everyone wants to know is the nature of cryptocurrencies, most especially their blockchain network, in 2021. What can we expect from the upcoming year, and what trends are just waiting to happen?
This guide will cover the top seven blockchain trends that you should look out for in 2021, whether in the cryptocurrency market or governments and the banking sector.
What are the Blockchain Trends?
Before diving right in, it’s essential to look at the primary term of this guide which is blockchain trend. Blockchain is a technology used as a middleman in transactions. Even before they were used to develop some of the most popular cryptocurrencies today, they were well-known as a system used by top companies to carry out the transaction.
Blockchain will continue to be quite popular in 2021, and will continually develop as time goes on. By understanding blockchain trends, it becomes easy to know what you can expect from cryptocurrencies in the next year.
7 Blockchain Trends of 2021
- Bitcoin Will Be a Good Investment
Bitcoin is well-known as one of the most popular cryptocurrencies and is at the top of the list when they are arranged in terms of market capitalization. Even if someone doesn’t know much about digital currencies, they will most likely know what Bitcoin is. The currency is the first to be based on blockchain technology.
Although Bitcoin has had a lot of ups and downs, even in 2020, it is expected that it will have a great year in 2021. In 2020, Bitcoin also suffered from the market crash in late March. Even with this, it quickly recovered in June and July, already reaching an all-time high of $9,000.
Price predictions for Bitcoin are expecting a massive increase in its value, so it’s best to start investing now so you can benefit from the anticipated rise in prices. You can buy Bitcoin for cash in the USA or use other cryptocurrencies to purchase it.
- Businesses Will Benefit from It
Since blockchain has become very popular in 2020, it is expected that many businesses will start applying it in 2021. It’s a great way to power any business, whether it’s a large company or a small business.
Blockchain provides an easy way to store data and carry out transactions without needing an intermediary or spending a lot of money. It is also easy to use once you learn about it, and it can track fraudulent transactions too.
It will most likely experience different upgrades in 2021, and this will benefit businesses.
- Ripple Will Surprise Investors
After Ripple, an altcoin emerged, it became viral in 2017. It also recorded its highest growth this year, going up to 36,000%. The altcoin is still quite famous and increasing in value, and it is expected to do more in 2021.
In 2021, RippleNet and Ripple XRP are expected to become very popular among investors. They are also very affordable presently, giving investors the chance to buy them at a low price and watch the prices increase once next year hits.
It’s an excellent alternative for anyone who doesn’t want to invest in Bitcoin.
- No More Fake News
Fake news affects many aspects of life, and crypto investing is one of them. Many investors end up putting money in a currency only to lose it because they believed fake news. Fake news can also encourage investors, leading to an increase in a currency’s value, only for the value to drastically drop once the news is proven to be inaccurate.
Cases like this, especially those that affect unsuspecting and inexperienced investors, will be less in 2021. Blockchain technology is expected to tell fake news apart from real information, allowing the user access to the news that is real, accurate and relevant.
- There Will Be More Crypto Gambling
Cryptocurrencies are developed based on blockchain technology, and they have become one of the most popular payment options for online casinos. Since cryptocurrencies have the same value globally, offer speedy transactions, anonymity and security, they are accepted by many casinos.
If you’re interested in gambling, 2021 will be a good year for you. 2020 already saw a lot of crypto casinos, and since they are popular among players, more companies will open more of these kinds of casinos.
You can use your stored cryptocurrency, especially the popular ones like Bitcoin, Ethereum and Litecoin, to bet on online slots, casino games, sports and more.
- The Government Will Use Blockchain
Although only small states have integrated blockchain into their systems because of the security risks, larger governments are expected to do the same. South Korea has already given out over a million driver’s licenses with blockchain.
Thailand is planning on using a blockchain-based judicial document storage system, Columbia will start supporting blockchain payment systems, and Vietnam is using a blockchain platform to increase its digital transformation.
It is also expected to be used in voting and other everyday activities.
- Blockchain Supported by Banks
In 2021, you can expect the lines between cryptocurrency and the banking sector to clear out. Financial institutions will start using blockchain to provide better digital functionality, transaction speed, security and more. They will also need it in storing documents.
Banks might also start supporting cryptocurrencies since the latter have become a prevalent method of exchange apart from fiat currencies. This will be to meet customer demand. We might even see cryptocurrency companies buying or building traditional banking institutions, rather than the other way around.
Conclusion
As we enter into the New Year, you can expect to see any of these trends and more happenings in the blockchain, digital assets and cryptocurrency markets. The primary trend is the expectation of more investors, not only in Bitcoin but altcoins as well, because of how well cryptocurrencies stood against inflation in 2020.
All in all, it’s expected to be a good year for all blockchain-based products, whether cryptocurrencies or otherwise.
