Blockchains and cryptocurrencies, which have significantly impacted the online world in the past few years, are undoubtedly one of trendiest technologies right now, being endorsed by big names like Elon Musk and Snoop Dogg, and playing an important part in major transformations that are taking place in multiple industries and markets worldwide.
While blockchains and cryptocurrencies were formerly thought to have just a financial influence, they are now being utilized as strong tools to decentralize organizations and create new forms of trading, investing, and even online gaming.
Although digital currencies were originally conceived in the 1980s, it took nearly two decades for programmers to create and build platforms and procedures to implement and handle these currencies. Bitcoin, the most popular cryptocurrency right now, which was first released as open-source software in the late 2000s, was the world’s first decentralized cryptocurrency, albeit numerous additional blockchains and cryptos have since been launched.
Experts believe that last year, there were more than 4,000 cryptocurrencies operating globally, yet the bulk of these are minor currencies that play little to no role in the market.
Even though Bitcoin is the most well-known cryptocurrency, the market for blockchains and digital currencies is significantly larger, and experts put Ripple and Ethereum alongside Bitcoin as the leading cryptos in the world right now. Other coins, on the other hand, saw tremendous increase and reached new levels of popularity.
Elon Musk’s tweets, for example, led the price of Dogecoin to surge in 2024, while Snoop Dogg announced a partnership with a crypto game built on the Ethereum blockchain to create his own metaverse, causing an increase in interest for blockchain gaming.
Now, cryptos are utilized as fiat currency in numerous industries and markets, and in certain jurisdictions, they are even being used as legal tender. Blockchain gaming has also become another popular trend in the past few months, and is paving the way for the decentralization of the video game industry. And according to PwC, one of the world’s leading accounting firms, blockchain technology has the potential to produce more than $3 trillion in annual revenue by 2030.
Nevertheless, many people still wonder what blockchains and cryptos really are, and what can be done with them. In this article, we present some of the most impressive uses of cryptocurrencies and how you can endeavor into these activities.
Investing in up-and-coming startups
The inception of cryptocurrency-based fundraising has enabled anyone with an internet connection to become an investor, especially with innovative up-and-coming startups, while also giving an opportune financial backing to these ventures.
This is done through Initial Coin Offerings, or ICOs, a type of fundraising in which firms can generate funds by selling recently-released tokens or cryptos to early supporters in return for cryptocurrencies like Bitcoin or Ether.
Previously, only experienced venture capitalists would have had access to these transactions, but the emergence of blockchains and cryptocurrencies has made these possibilities available to a far larger range of investors.
In some cases, for instance, successful ICOs have made several digital tokens to surge in value at incredible rates, with cryptocurrency-based fundraising assisting companies in raising more than $12 billion over the last two years, according to Brave New Coin.
Transfering money at low rates
Probably one of the most popular applications of cryptocurrencies is the possibility of transferring money, whether sending or receiving, with low rates and fees and fast speed, without the need of a financial institution or government agency overseeing the transaction.
According to Business Insider, a $99 million Litecoin transaction made in 2018 took only two and a half minutes to be processed, and the sender only paid $0.40 in fees. If this money had been sent through a financial institution such as Western Union, the costs would have been substantially higher, and the transaction would have taken much longer to be processed, particularly if it was an international transaction.
Transactions using cryptocurrencies like Litecoin, Binance Coin, or Bitcoin Cash have low costs, making them ideal payment platforms for international money transfers.
Betting with cryptocurrencies
With this surge in popularity in recent years, several industries and businesses started accepting cryptocurrencies as a payment method. One of the industries that quickly adopted cryptos was the online gambling industry, or iGaming.
Since cryptocurrencies are some of the most secure ways of conducting online financial transactions, and make up for much faster processing than conventional payment methods, many online sportsbooks and online casinos – which can be found at onlinecasinogames.com – quickly started accepting these currencies, therefore attracting a whole new generation of customers.
Faster transactions are the key element of betting with cryptos. Deposit and withdrawals using traditional banking methods might take several days to process and be available to users. However, with cryptos, funds become available almost instantaneously. Just like money transfers, withdrawals made with cryptocurrencies have lower fees and taxes.
Book flights and accommodation
Given the phenomenal expansion of blockchain environments and cryptocurrencies over the past decade, it is now feasible to travel the world using cryptos.
Several travel agencies across the world have begun to accept Bitcoin and other cryptocurrencies as payment for booking flights, vehicle rentals, and hotel reservations. Even those who would rather stay in an apartment when traveling may book accommodations using Bitcoin or Ether on services similar to AirBnB.
Additionally, because of the rise of the Bitcoin ATM business, travelers may now change their Bitcoin into local currency in most major cities across the globe.
You can even book space flights using Bitcoin, since Virgin Galactic, the space travel branch of Richard Branson’s empire, accepts the cryptocurrency as payment for space travel bookings. The company is scheduled to launch the first paid passenger flights in 2024.
Earning interest
Trading cryptocurrencies for profit takes a lot of time, knowledge, and experience, hence many cryptocurrency owners prefer to store their coins for long term benefit. DeFi lending and crypto staking are two methods for earning consistent interest on cryptocurrencies.
With traditional bank account interest rates at all-time lows, lending your cryptocurrency to a reliable platform is undoubtedly a possibility – with a 10 percent per year being given for highly liquid cryptos like Bitcoin.
However, it’s crucial to understand that this sort of loan is not risk-free and is not insured by the Federal Deposit Insurance Corporation or other government entities in other nations.
How Blockchain can benefit your business
Blockchain technology has the potential to revolutionize businesses across various industries. By offering transparency, security, and decentralization, blockchain can bring numerous benefits to your business.
Firstly, it enhances trust among stakeholders by providing an immutable and auditable record of transactions. This fosters transparency and reduces the risk of fraud. Secondly, blockchain enables secure and efficient data management, reducing the need for intermediaries and streamlining processes.
Smart contracts, powered by blockchain, automate and enforce agreements, improving efficiency and accuracy. Lastly, blockchain can enable new business models, such as decentralized finance and supply chain traceability, unlocking innovative opportunities and competitive advantages.
Learn about blockchain for your business here. Embracing this technology can position your business at the forefront of technological advancements and drive growth in the digital age.
