How BITCOIN Will Also Survive This Crash?
Start writing a post
News

How BITCOIN Will Also Survive This Crash?

Crypto Winter Hangs in the balance after the crash of Bitcoin!

1937
How BITCOIN Will Also Survive This Crash?

For the time being, the Bitcoin price losses had behaved similarly to those of tech stocks - but then developments around the stable coin Terra USD and the associated Luna Coin dragged the crypto market down in the middle of this month, which is why we can now speak of a crash with a clear conscience.

However, the market has already experienced many ups and downs, and it was not uncommon for a "crypto winter" to be followed by an even bigger high.

On top of that, several other factors play a role in this crash, such as the multiple industries that already use cryptocurrencies on a daily basis. A clear example is the iGaming industry, with Slotsia - your guide to quality casinos - demonstrating the immense amount of platforms that accept cryptocurrencies for both deposits and withdrawals.

Overall, data shows that Bitcoin has already been declared dead 449 times, only to be resurrected afterward. And even this crash won't spell the final end for cryptocurrencies, as Bitcoin-critical author David Gerard explains in an interview with tech medium Wired.

Greed is a Dog

The reason, according to Gerard, is a simple one: there will always be greedy and gullible people looking to make a quick buck - and as long as there is, it will always happen after a price drop that investors will be lured in and cause the price to rise again through purchases. He also does not shy away from the comparison with tulip bulbs.

In the process, he says, there are always giddy projects that use supposedly unfair methods to get the money of gullible hangers-on - and the Terra project has now also received lawsuits.

"I'm not saying you can't make a fortune in crypto," Gerard says: "But you're betting on being a smarter shark than the sharks who built Shark Tank."

Unregulated Market

A particular factor in this environment is the fact that cryptocurrencies are an unregulated market, but many investors mistakenly treat them like a regulated market.

This is where lawmakers are gradually starting to take countermeasures. ECB President Christine Lagarde, for example, recently made derogatory comments about Bitcoin while at the same time beating the advertising drum for the digital euro.

A complete Bitcoin ban, originally planned for the EU, was ultimately rejected - at least for the time being. However, the remainder of the draft law, which provides for the regulation of cryptocurrencies in the EU under the name "Markets in Crypto Assets" (MICA), was accepted.

According to Gerard, the upcoming regulation - even in other economic regions like the US - is a good thing.

This is because it should prevent crashes in the crypto market from dragging down an entire economy. He also believes that financial institutions should be prevented from integrating cryptocurrencies into retirement products.

Benefits in the Real World?

Aside from the speculative aspect, the question is whether Bitcoin will have any use in real life - as a means of investment or payment, for example. After all, the project's initiators started out with the ambitious plan of creating a decentralized monetary system without central banks.

Gerard is skeptical here and emphasizes that any plans for the future are formulated in the subjunctive - and could, therefore, turn out to be castles in the air.

In this context, a video in which a crypto user buys a beer in El Salvador also made the rounds at the end of 2021. The process is rather slow - to say the least. An entirely different question is whether the blockchain technology behind Bitcoin can be applied in real life.

It can be used, for example, to conclude contracts in a forgery-proof manner and to document ownership of works of art and real estate. Multiple countries are also working on numerous projects that show a lot of potential.

Here, however, Gerard notes that all of these scenarios do not necessarily rely on blockchain, but could also work without it.

So, What Now?

Futures are difficult to conclude. Something unexpected always happens, especially in the mysterious environment of cryptocurrencies. Moreover, 2022 is not the calmest year either.

What we do know is that this crash can by no means be called the death of Bitcoin and the other coins.

In fact, many hopeful investors are seeing this crash as their future harvest for when cryptocurrencies recover. So, it will only be a matter of time until we are once again immersed in news about the promising future of coins.

Report this Content
This article has not been reviewed by Odyssey HQ and solely reflects the ideas and opinions of the creator.
Featured

Safe Spaces Or Regressive Spaces?

Turns out shielding yourself from ideas can be detrimental to your ability to learn

78
www.semipartisansam.com

College is a place for people who want to learn. That is the primary function of any academic institution. Its purpose is not to coddle us, nor should the community always be in agreement with us. We are supposed to surround ourselves with a variety of viewpoints that challenge us to learn, not the same repetitive points of view that make us happy.

Keep Reading... Show less
Featured

Black Friday is back to being Black Friday

This year, malls are standing up against Black Friday beginning on Thanksgiving. Doors won't be opening until Friday morning.

1453
Lifehack

Last week my twitter feed was full of exclamations of how excited people were that our local mall, Westmoreland Mall would be closed on Thanksgiving Day this year. For those who work during the busy holiday days and hours, a celebration was in order. For the die-hard deal finders and shoppers though, they didn’t seem very happy.

Keep Reading... Show less
Politics and Activism

Is Thrift Shopping *Actually* Ethical?

There's been a recent boom in the popularity of vintage style looks and up-cycling thrifted finds to sell at, usually, an outrageous price. Is this ethical? Or does it defeat the whole purpose of thrifting in the first place?

3634
Is Thrift Shopping *Actually* Ethical?

One day, I was scrolling through Twitter and came across a tweet about upper-middle-class class people thrift shopping. I personally was against the up cycling/re-selling trend because I thought it to be greedy. Then, I began to see more and more tweets, and then stated to see ones about those who buy thrifted, name brand items and sell them for what they're actually worth instead of the very low price they got them for.

Keep Reading... Show less
Featured

Holidays With the Family?

Should retail outlets close on holidays so their employees can be with their families?

3844
Pexels

For the past few years, having stores open on Thanksgiving has become a popular trend. The sales have started earlier on the day known as Gray Thursday. Now, the Mall of America has taken a bold stand and is closing its doors on Thanksgiving. They are very excited in giving the day back to their workers so they can spend time with their family.

Keep Reading... Show less
Featured

Black Friday: Explained

Time to question this unofficial corporate holiday.

6066
Flickr/John Henderson

On a personal level, Black Friday has always confused me. Everyone just ate a ton and spent all day with their families—why would we want to go out and vigorously shop, fighting crowds? I totally see why other people want to go do it, but I’ve never quite understood the concept myself. While I’ve been Black Friday shopping once or twice, I don’t get that excited about it unless it’s an opportunity to spend time with family or friends. Don’t get me wrong; I am the queen of bargains. Still, I never seem to have the energy to go out into the jungle of shoppers early the day after Thanksgiving, or even immediately after Thanksgiving dinner. Many people, though—including my loved ones—are enthusiastic about Black Friday shopping, and it seems most other Americans are the same way. So, it’s worth looking at the reasons for this commercially-driven, unofficial American holiday.

Keep Reading... Show less

Subscribe to Our Newsletter

Facebook Comments