5 predictions for bitcoin, NFTs and the future of money

While it has been here for a while, Cryptocurrency made more of a noise in 2021. Critics have pointed to crypto’s massive environmental footprint, as well as its popularity in online crime. The general public is showing more interest than ever. With the rise of this digital currency, there is no doubt that this is the next thing to watch in the digital playing field. CNET’s Julian Dossett shares 5 predictions for cryptocurrencies such as bitcoin, NFT and the future of money as we know it.

  1. Crypto moves further into the mainstream. “Big companies are trying to figure out how cryptocurrency fits into their business. Everyone from hedge fund managers to Starbucks executives are making moves that could impact how we use digital money this year. ‘I hope we’re going to see a lot more focus on utility,’ said Denelle Dixon, CEO of Stellar Development Foundation. ‘Instead of focusing just on a few use cases that create a lot of hype, we’ll see more focus on the use cases that drive real value. And more discussion around financial inclusion.'”
  2. NFTs create new ownership opportunities, and remix old ones. “NFT, or nonfungible token, is a buzzy term that many of us heard for the first time in 2021. A new way to determine ownership of digital property using a blockchain ledger, NFTs are increasingly popular in the art and collectibles scenes. But the potential of NFTs goes far beyond eccentric digital artworks. NFTs are also used for digital land purchases in virtual worlds and for next-generation music ownership, licensing and publishing. Some observers see a future in which NFTs offer access to special sales or limited-edition products. How about using a NFT as a concert ticket? Or when you log into your favorite video game online? Expect to see all of that in 2022.”
  3. Bigger hacks and bigger ransoms. “Cryptocurrencies were used to facilitate millions of dollars of ransomware payments in 2021. They’re difficult to track, they’re borderless, and once the payment goes through, it’s nearly impossible to unwind. ‘We should expect to see more criminals turning to cryptocurrency and services that promise to obfuscate illicit funds due to the misconception of total anonymity,’ Gurvais Grigg, a senior tech officer at Chainalysis, said in an email. ‘Bitcoin is appealing to criminals for the same reasons it appeals to those using them for legitimate purposes: It’s cross-border, instantaneous and liquid.'”
  4. You’ll hear more about stablecoins. “Bitcoin and other cryptocurrencies have grabbed headlines because of their volatility. You can become a millionaire or lose it all at the hyper speed of the internet. But try buying a latte with bitcoin, and that volatility can make things confusing fast. Enter stablecoins. This subcategory of cryptocurrency, which is tied to an underlying asset, mitigates much of that volatility. Stablecoins could play a vital role in turning cryptocurrency into something we can easily use to conduct the ordinary transactions of everyday life.”
  5. New crypto rules appear on the horizon. “Washington lawmakers sense that cryptocurrency is a big and important thing. But they are struggling, perceptibly, to understand it. It may only be a matter of time before crypto gets its “series of tubes” moment from a hapless representative out of their element. There could be more milestones to reach before Americans see a comprehensive framework for crypto-focused legislation. But if industry leaders and elected officials can work together, regular cryptocurrency users and investors may benefit while environmental and security concerns are addressed.”

As the cryptocurrency industry grows up, we can guarantee that Crypto will be a part of our economic future for a long time.