Cryptocurrency: it’s becoming such a household name that even your grandparents probably know about it. In fact, they might even have a little tucked away in their digital wallet. 😉
In all seriousness, cryptocurrency is enjoying an incredible rise in popularity, but this is not to be confused with a rise in value. As everyone is well aware, Bitcoin has taken the world by storm and is now considered by many to be a promising investment opportunity.
We’re even seeing people in our own dividend growth investing community switching investing strategies, opting to invest solely in crypto. Last week, I personally had a good friend mention he purchased some digital currencies for the first time! The Cryptocurrency Pig? Not going to happen… i’ll stick with my dividend portfolio.
The volatile nature of certain digital currencies is not quite indicative of the public’s interest or even disinterest in cryptocurrencies in general.
Today, we’re ignoring the investment potential/risk and taking a closer look at how cryptocurrencies and blockchain technologies are making their way into the mainstream inside of four business industries.
While it might go against your misconceptions of the farming industry, the world of agriculture is a tech leader. And so, it makes sense that once they realized the power of blockchain technology and cryptocurrencies, they would be on board.
Mobius’ token, known as MOBI, facilitates transactions between producers and distributors in nine countries. Doing so allows farmers the opportunity to bypass traditional banking methods and save a ton on fees and charges.
Although this may not be quite the mainstream use that you were expecting, it is notable nonetheless. One could see it having a significant impact on how producers and top distributors handle their transactions.
Cryptocurrency and gambling make sense. Whether it’s online or at the racetrack, the ability to bet or claim winnings without handing over credit card information or walking around with a hefty wad of cash is priceless.
Real-world casinos have yet to dip their toes in the water, but there is already a revolutionary online poker room built on blockchain tech. This platform, CoinPoker, has already garnered a lot of interest from online poker players eager to enjoy the benefits of gambling using cryptocurrency instead of traditional means of funding. The fact that the platform is increasing in popularity indicates that crypto is on the minds of people who gamble online.
While paying for smaller items with cryptocurrency may seem a little strange, given that one Bitcoin can be worth thousands of dollars, for larger purchases, it’s taking off in a big way. For example, realtors around the world are now accepting digital currencies, and property sellers are lapping it up.
Developers in England started the ball rolling last year when they sold two houses with Bitcoin used as the paying currency. The previous owners of the properties would have enjoyed a significant profit had they sold their coins when the currency spiked at the start of the year. And this potential for gains makes it quite an attractive option for people selling their homes. Especially for early investors who want to turn their digital assets into physical assets. We are also seeing realtors here in the U.S. follow suit.
Obviously, we can’t leave out technology. Our good friends at IBM are spearheading the blockchain push into big business. They have developed a blockchain platform that they are billing as practically a one size fits all solution to all business transactions. With cool terms like hyperledger fabric and ultrahigh technology, how could it not be a success?
Cryptocurrencies and blockchain seem to have a place in our future. I, for one, have not made any investments in any cryptocurrencies. However, I do believe it’s a worthwhile technology to watch as there is clearly something to the underlying blockchain technology. What business wouldn’t want hyperledger fabric?
While these four industries may not have an immediate impact on our daily lives or investments, they do indicate the shape of things to come. It seems that perhaps it’s only a matter of time before more industries climb on board the blockchain ship. Some talking heads now predict that by 2025, the public will have fully embraced cryptocurrency with such vigor that its use could even surpass real-world cash. We’ll see about that.
Last year, before I began thinking about DGI, I spent some time speculating (and I refer to it as speculating versus investing) in various crypto.
I still hold, or should I say HODL, the coins that I bought and every three months or so I take a look to see how they’re doing. It is something I have planned to go to $0 but if not then I will have a pleasant surprise.
HA, HODL – Hold On For Deal Life… I remember seeing that a lot.
I suspect many existing cryptocurrencies won’t go to zero unless a government backed crypto is formed… which I doubt will happen anytime soon. However, 99% of my money is digital – it’s not like it would be a big change to go to an all digital currency for many of us.
Do you have a big chunk of change in cryptocurrencies?
No, not a big chunk of change but enough in my mind where if something goes to the moon I will be rewarded fairly well. =)
Gotcha! To the moon! 😉