Bitcoin, Ethereum and other cryptocurrencies have been decreasing massively this quarter. However many crypto industry experts agree that this continuous process is just a part of a cycle which proves digital money will not only remain on the market but also hold a strong position in comparison with fiat.
Market manipulations make a little influence on the long-term growth of cryptocurrencies
It is no secret that bitcoin’s price is determined by the amount that people are willing to pay for it. Majority of digital money users are tempted to drive unnatural price movement and make a good profit off the loss of others. That is to say, people will always seek to make cash when there are no regulations.
Talking about Bitcoin, the truth is that its price, under healthy growth conditions, most likely would never have jumped from below $800 to as high as almost $20,000 in less than one year according to coinmarcetcap.com.
This wide amplitude of fluctuations would probably have never happened if not for external factors manipulating Bitcoin price. Numbers given were certainly the range of Bitcoin’s value in 2017, and those who owned it through the year likely went through some ambiguous emotions.
Main crypto market player to reach $1 billion this year
The sudden cryptocurrency price decrease hasn’t hurt key players in the digital money industry. One of them is the world’s largest cryptocurrency exchange, Binance, expects to bring in as much as $1 billion in profits in 2018.
In an interview with Bloomberg, Binance founder Changpeng Zhao said the company has already, netted $300 million in profits since the start of 2018 alone. It has 10 million users and turns over billions in cryptocurrency exchanges daily which proves digital money are widely used globally.
Big whales like Binance gaining such huge profits just prove the fact: cryptocurrencies will continue expanding by its usage.
Crypto starts conquering deeper waters
Japan and South Korea, despite the wider skepticism surrounding the drop in price at the beginning of this year, have started the integration of cryptocurrency payments into a number of major online retail businesses. For instance, South Korea’s Kakao plans to integrate cryptocurrency for 12,000 merchants and millions of users within 2018.
The difference to 2014 is that these countries had already shown their openness to cryptocurrencies, with a prospering trading scene and active cryptocurrency communities. Therefore we might conclude that the existing popularity of cryptocurrency in Japan and Korea laid the way for merchant adoption. Whilst the rest of the world has yet to follow suit in a meaningful way, it does show that approach is shifting towards using cryptocurrencies as a medium of transfer.
As it’s clear from various data recorded all year long that countries like Japan, South Korea, Singapore and more have dominated the cryptocurrency economy, businessmen now have the best opportunity to gain profits and expand to these areas of the world.
A smart move for e-shop holders
There is no secret that every business is seeking smart solutions and ways to achieve profit growth. When the deal comes to cryptocurrencies, merchants must take into consideration the fact, that after all these years, the market had ups and downs but still was growing steadily.
The ones who will be willing to adopt cryptocurrencies now will taste sweet fruits of success. Maintaining received funds till the end of the year would bring good profit as the rule is: Bitcoin and other crypto grow significantly at the end of a calendar year. For example, last year Bitcoin price increased by over 13 times compared the months of January and December. Therefore all the businessmen have a reasonable cause to consider receiving their funds in digital money.
New payment method without risky business
Some merchants can hold doubtful attitude towards obtaining funds in cryptocurrencies. They have second thoughts about market price volatility and whether the profit will not depend on crypto value. Nevertheless, businesses are seeking for the wider audience and by attracting crypto users’ attention it is easy to achieve that.
There are many great options and clever businessmen are making good use of them. In 2013, a man in Florida called a Lamborghini dealership in Newport County, CA and asked if he could buy a Tesla from them using bitcoin. Other dealers had already turned him down, he said. The dealer was acting in a prudent way. The car cost $100,000. But the company didn’t want to reject a sale so it accepted the payment. The buyer paid 91.4 bitcoins and the seller received the money in dollars. According to CNN, news of the sale led to many more potential buyers to contact the dealer.
Bitcoinus platform allows e-shops not only to accept crypto payments but as well as receive it in fiat. Users of digital money transfer their payments using the company’s payment platform. It identifies and locks in an exchange rate and delivers fiat to the merchant’s bank account. Businesses can take benefits of the bitcoin and other top altcoins acceptance with instant conversion to euros or dollars. Now companies can advertise to wealthy crypto owners and welcome their payments without exposing themselves to the currency’s volatility.
If you already own a retail business, you can augment it so that people are able to pay you in crypto. As traditional paper money is steadily rendered outdated, the digital payment methods step in and a certain medium of users would be willing to pay you with digital money.