Cryptocurrencies have been used for the greater part of the last decade. As of July 2021, the number of blockchain wallet users worldwide has almost reached 80 million, with the numbers expected to continue to rise. That being said, it appears that cryptocurrency is beginning to veer away from its nature. Let’s delve deeper to understand what all of this means.

 

Contents:

Brief History

How the Crypto Self-limiting Structure Looks Like

Crypto Influencers

Final Thoughts

 

Brief History

Cryptocurrencies have been available for just over a decade. The first cryptocurrency, Bitcoin, was created by a Japanese student back in 2008. initially, it was merely a descriptive paper outlining a different mode of payment that would take place on decentralized markets.

 

The entirety of the paper was centered on the notion that ordinary citizens with financial difficulties could have a place where they didn’t have to worry about the limitations of currency. As a result, anyone with financial difficulties will be able to circumvent such pitfalls and achieve financial stability.

 

Bitcoin was then regarded as a game-changer that would decrease the wealth gap between the richest and poorest members of society. As a new practice, it posed a major threat to the more traditional means of economic influence such as the central banks and exchange markets. In a way, cryptocurrencies such as Bitcoin were seen as a rebellious gesture and the future looked promising.

 

How the Crypto Self-limiting Structure Looks Like

It is safe to assume that many individuals have benefited from blockchain wallets such as Bitcoin and many others that have been introduced since then. However, is it safe to assume that cryptocurrencies are serving the purpose they were intended to? The simple answer here is- not entirely.

 

One of the main selling points of a crypto coin is its incapability to be influenced by external factors. This key feature should enable it to be incorruptible and although this has shown major manifestations it could potentially occur. One of the major developments has been the rise of the “crypto influencers”.

 

These individuals promote the image and value of cryptocurrencies. Their message is simply to let the masses know that crypto is the future and the banks and other influencers of major economies are losing. That being said, this message is not entirely true and Bitcoin and other blockchain wallets have not yet achieved such a status.

 

The Banks are still dominating the flow of money on the centralized platform and it seems that this could be the case for a while.  Why haven't cryptocurrencies achieved the status that was initially promised? Originally, the idea of a cryptocurrency was to exclude the middleman in business transactions. This was a revolutionary idea because many individuals would prefer such a reality. Although most coins have managed to do this, there are still a few things left out of the equation such as:

• Freedom for users
• Equality across the blockchain platforms
• Liberty

 

If you look at the nature of Bitcoin today, it’s quite obvious that only a select group of individuals have benefited from its rise. As such, it’s becoming similar to the system it was initially created to fight.

 

Crypto Influencers

This group of crypto influencers kept perpetuating the idea of economic freedom from the middleman. This message was well-received by the masses and even though Bitcoin can be directly influenced, it can be indirectly manipulated by a few skilled liars. Most of Bitcoin is not owned by the people but by major corporations who are keen on owning as much of it as possible. This means that the platform that was built for the people is slowly getting centralized and could permit the development of monopolies. 

 

Most crypto traders nowadays don’t take part in the actual process of crypto mining. Platforms like Binance are being used for such purposes. If 60% of users do not own a wallet this could only mean that the blockchain is being run by a few individuals which further supports the notion of emerging crypto-based financial monopolies.

 

If you are looking for proof of how all of this is beginning to look like, just look at some of the major banks like JP Morgan, which are beginning to offer services centered around cryptocurrency. This alone defeats the purpose of having a decentralized blockchain in the first place. Unfortunately, such practices are becoming more mainstream and it seems like the banks and major corporations have found a way to infiltrate cryptomarkets.

 

Final Thoughts

The concept of Bitcoin outlined by Nakamoto was designed to prevent the rise of monopolies. It was created to be a platform that could not be influenced by a group of individuals and serve the common man. Nevertheless, this is not the case and it seems like crypto markets have almost been consumed as well.

 

So what does the future look like? It would be virtually impossible to reverse these changes and unfortunately, more corporations will aim to control as much of the decentralized market as possible.

 

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