The world can’t seem to define crypto, and that is a problem. Not that there aren’t a million different explanations floating around the internet distinguishing money system coins from utility tokens from security tokens, there are. The big problem arises from how all these different crypto entities are being treated by nearly everyone in the space, longtime hodler and newcomer alike. No matter the function, all crypto is being handled in the same, investment-minded manner, and it is holding the technology back.

Cryptocurrencies were originally a fringe technology. Your tech-savvy friend might have owned some Bitcoin early on, but they also might have owned a large collection of comic books or action figures, which didn’t scream to the rest of the world “this person is really onto something.” Crypto existed more conceptually than as an actual system to transact in. Who can forget the famous 10,000 bitcoin for a pizza story? At the time, crypto was simply an experiment in peer-to-peer transaction.

As this fringe community began to grow, so did cryptocurrencies’ value, both in price and public understanding. Like in nearly all modern money systems, the value of a cryptocurrency is derived from a mutual understanding that it functions as a store of value. Borderless, peer-to-peer transfer sweetened the deal, offering something more efficient than fiat currencies. Momentum began to build … then crypto “mooned.”

Even the most ardent crypto enthusiasts could not have predicted the mainstream blow-up in 2017 (even though they might claim otherwise). Overnight, everyone and their grandmother was suddenly caught up in crypto mania. Wild speculation sent prices through the roof. A mad scramble took place to swipe up as much crypto as possible before the prices soared into the stratosphere forever.

Fortunes plopped on to unsuspecting crypto owners’ laps overnight, but this unexpected blessing has also become crypto’s biggest curse. The rapid rise of crypto, especially cryptocurrencies like Bitcoin, fundamentally changed the way the systems were meant to operate, scrapping usable transaction functions by forcing them to behave as investments. The wave of FOMO also wildly miseducated the public on what crypto entities could be, forcing nearly all cryptographic tokens, no matter their function, into the same “this is an investment” bag.

Crypto’s success is holding the entire industry hostage.

As mainstream interest drove prices up, early adopters found their meager holdings turn into teetering piles of virtual gold, like an entire community winning the lottery simultaneously. The rest of the world watched in awe and hoped to do the same, buying crypto and crossing their fingers, driving prices higher and higher.

The early adopters, the ones that were buying pizzas with 10,000 Bitcoins less than a decade ago, were now caught between a rock and a hard place. Why would you spend your cryptocurrency holdings if its value would continue to skyrocket?

This perception stripped Bitcoin of its original function: a better way to transact.

You can blame newcomers’ speculative ventures for driving up prices and thus undermining the transactional utility of cryptocurrencies. But their real (and unavoidable) sin was naively buying into anything and everything blockchain-related, blowing the crypto bubble bigger and bigger until it popped.

The crypto community shares a good portion of the blame, too, for selling anything blockchain-related (working or not, investment or utility token, etc.) to the newcomers in an effort to make a quick buck. It didn’t take a PhD in economics to realize the market behavior was unsustainable by early 2018, but if you didn’t “get in while the getting was good,” then someone else would, leaving all participants in a catch-22.

As the market cooled and prices declined, participants were forced to make a decision: cash out or hunker down and wait for peak value to return. Either way, using crypto to transact was not an option.

“Hodl” cries within the crypto community rang from rooftops to Reddit forums. The boom gave early crypto enthusiasts a taste of the forbidden fruit. But these same people weren’t hodling 10 years ago. They were pioneering a new way to transact.

The cryptocurrency boom essentially kneecapped digital coins. A new way to transact became a new way to get rich. Cash essentially turned into stocks.

Right now, the road forward is unclear. If you hold crypto, no matter your personal philosophy, the market dictates that you treat it like an investment, not cash. Unfortunately, what is learned first is learned best, and the world’s introduction to crypto may have doomed daily transaction functions for almost all current cryptocurrencies. But there is a silver lining.

If the world wants to treat crypto like a security, why not let it? While it is nonsensical to treat currencies (like Bitcoin) or utility tokens (like Ether) as securities, rolling out tokens designed explicitly as securities presents a way to use the revolutionary technology that powers cryptographic tokens.

Security Token Offerings (STOs) could offer an asset class for the digital age, backed by the value of the underlying company and allow token owners to take advantage of traditional benefits like profit-sharing and voting rights as well as new perks, like discounts and rewards for owning tokens and engaging with the company in other ways, like ordering its goods, or using its services.

Hopefully we will one day see stable crypto transactions, but right now, public perception of all crypto assets, regardless of intended function, is too set in stone to make that transition. Security tokens aren’t the answer to crypto’s daily transaction paralysis, but they will give the world a concrete reason to purchase tokens and hodl on.

Once security tokens are firmly established, maybe we’ll be able to loosen our hold on our other crypto assets and buy some pizza with Bitcoin again …

*This post is credited to VentureBeat

The Cyberspace Administration of China (CAC) has introduced new regulations for blockchain firms that are operating in the country. The announcement was published on the regulator’s website on Thursday, Jan. 10.

According to the CAC, the guidelines, which will come into force on Feb. 15, were developed to contribute to the healthy development of the industry.

The document describes the firms that are subject to regulations as websites or mobile apps that provide information and technical support to the public using blockchain technologies. As soon as the regulations come into power, they will be obliged to register their names, domains and server addresses at the CAC within 20 days.

The guidelines require blockchain startups to allow authorities access to stored data, and to introduce registry procedures that would require ID card or mobile numbers from its users. Moreover, they will be obliged to oversee content and censor information that is prohibited under current Chinese law.

If a firm fails to comply with the regulations, it might face fines from 20,000 to 30,000 yuans ($2,900 and $4,400, respectively). In case of serial offences, the company might face a criminal investigation.

China first released draft guidelines in October for blockchain companies, which also contained recommendations that sought to eliminate anonymity in blockchain.

At the time, Asian newspaper The South China Morning Post wrote about an anonymous open letter that alleged sexual harassment at a top Chinese university that was published on the Ethereum (ETH) blockchain in April. The media outlet believes the publication of the letter could be a motivation behind the new regulations.

China is currently mainly piloting blockchain legislation in three regions — Beijing, Shanghai and Guangzhou. According to a December report by local finance publication Securities Daily, there are 11 blockchain-related policy projects concentrated in these areas.

In the meantime, the country has upheld a de facto ban on domestic crypto trading since 2017, which was completed in February 2018 when the government added international crypto exchanges and initial coin offering (ICO) websites to its Great Firewall. The decision was approved by the People’s Bank of China, the country’s central bank, and regulators.

*This post is credited to CoinTelegraph

Binance cryptocurrency exchange is cheering blockchain developers during the Hackathon to boost up the blockchain solutions development for solving the security issues.

Moreover, the exchange decides to hold its initial “Binance SAFU Hackathon” at Singapore probably on January 19/20, 2019. This event intends to develop an overall safer and progressive cryptocurrency ecosystem. Moreover, this event will empower blockchain engineers and developers to rapidly enhance ongoing distributive ledger technology standard solutions.

Also, the company via an email says this 32-hour round session (the clock event) will motivate blockchain developers around the space. This helps to step up their prototype development regarding blockchain solutions. Moreover, they will be able to offer solutions to the frequent issues currently buzzing around systems. The statement reads:

With the theme ‘Query Platform for Address Security: Is the transaction address you are sending your crypto to SAFU?’, the Binance SAFU Hackathon encourages long-term, sustainable growth of the blockchain industry, calling for top developers from around the world to build a safer community where users are protected from scams, hackers, and money laundering.

Binance may join hands with majority of the groups. Hence, letting the Binance SAFU Hackathon attain some good and top talent across the industry. The announcement also says that winning team will earn worth $100,000 in prizes.

There were many previous pre-hackathons that have ended, few taking place from December to January at, Hong Kong, San Francisco, Singapore, and Seoul. The first pre-hackathon ended up last December at San Francisco, California. Good news is, the developers, not able to attend the last San Francisco event are still eligible for the final Binance SAFU Hackathon at Singapore.

The can join and qualify one amongst the three remaining pre-hackathons. Moreover, for more information on registration preferring parties need to follow Binance Blockchain Week via Twitter. The panel of judges will choose the hackathon winners depending on quality, innovation, technology pitch, and demonstration.

Apart from cash prizes, the winner will grab a chance to meet senior executives working at Binance as well as incubation program of investment arm at Binance- Binance Labs.

*This post is credited to Coin Pedia

This year has been particularly bad for Indian crypto traders and investors with constant government crackdowns and a shroud of uncertainty about the future of the industry in the county. That may be all about to change as a recent report indicates that regulation and legitimization could be on the way in India.

India’s Year-long Oppression of Crypto

The crackdown culminated with a ban on holding crypto assets as the Reserve Bank of India (RBI) spent the best part of 2018 trying to quash them.  Banks were banned from dealing with crypto exchanges which made it very difficult to trade them using fiat without turning to OTC platforms. Court cases involving the RBI and local exchanges were postponed and delayed leaving the whole industry in a quandary as to the legality of digital currencies.

According to a recent report however things maybe about to change with a committee meeting resulting in a more lenient outcome for crypto. A senior official who attended the meeting said;

“We have already had two meetings. There is a general consensus that cryptocurrency cannot be dismissed as completely illegal. It needs to be legalised with strong riders. Deliberations are on. We will have more clarity soon,”

The first interdisciplinary committee comprised of various state and banking departments was setup by the Indian government in March 2017. By July they had recommended a total ban on digital currencies but a number of exchanges continued to operate and the public still had an appetite for crypto. The RBI and Finance Minister, Arun Jaitley, enforced the harsh stance earlier this year.

A second inter-ministerial committee, led by the Department of Economic Affairs secretary Subhash Chandra Garg, was setup to take another look into crypto asset viability. Some of the ministers on this new panel attended the recent G20 summit in Buenos Aires where crypto regulations, not outright bans, were recommended.

According to the report these ministers are likely to share insights garnered at the global summit and make recommendations based on them for the Indian situation. The next committee meeting is scheduled for January 2019 and observers are optimistic about a turnaround in stance on crypto assets.

“We have also taken inputs from cryptocurrency exchanges and experts and will be examining legal issues with the law ministry. It’s a complicated issue. Once all aspects are decided, then we will have more clarity,” the official added.

If India does loosen its grip and allows regulated crypto trading to flourish, it could open up one of the largest markets on the planet.

*This post is credited to NewsBTC

The crypto world appears to be sobering up from a year-long hangover according to recent research by Sky News. At least 340 registered companies in the United Kingdom with ties to blockchain or cryptocurrency went bust in the last year, after launching at the height of the crypto boom.

Now, not only is the gold-rush over, but of the crypto firms that didn’t throw in the towel, many have chosen to remove the words crypto and blockchainfrom their company names – such is the extent of the turning tide.

Crypto Companies Fold

According to research from Sky News, the 2017-2018 business year proved to be a short one for crypto-focused firms. From the piece:

“…at least 340 companies related to cryptocurrencies or blockchain were dissolved or liquidated this year, compared to 139 in the previous year. More than 200 of those companies were incorporated with Companies House during 2017, when the value of Bitcoin surged 1,500% through to its peak in December.”

Most of those liquidations (60%) came between June and November, and were likely triggered by BTC’s fall to the high $5,000 range towards the end of June. And in a very rare sight indeed, the number of companies being dissolved is now out-pacing the number being registered in the blockchain space, at least in the U.K.

Bad Reputation

As a perfect example of the stark change of direction in terms of crypto’s reputation: just last year the Long Island Iced Tea company changed its name to Long Blockchain, and its stock rose by close to 300%.

But now, according to Sky, companies are running from the names crypto and blockchain as quickly as they can:

“Of the businesses which haven’t been dissolved, Sky News has found more than 50 which have changed their names to no-longer reference Bitcoin, blockchain, or cryptocurrencies.

The chief executive of one business said this was because opening a bank account with one of those words in the company name proved a nightmare – although Sky News identified hundreds of other businesses with similar titles.”

Unsurprising

Is it really any surprise that opportunists who entered the crypto space when the price was high would leave when the price was low? It’s worth bearing in mind that many of these companies were never really going to have a lasting effect on the crypto space. Any company that needs BTC to be trading high just to exist isn’t running on a very efficient business model.

Despite the turning of public opinion on BTC and the crypto space in general, Bitcoin is still trading at a price higher than it was for nine out of its ten year history. Ironically, now would be the best time for companies to make their move. But they’ll probably wait until it’s too late again.

*This post is credited to Hacked

Bitcoin prices have bounced back recently, climbing more than 25% over roughly four days and showing that the sentiment surrounding the cryptocurrency can remain strong even after sharp losses.

The digital currency rose to as much as $3,929.10 today, a more than 25% increase from its 2018 low of $3,122.34 reached on December 15, CoinDesk bitcoin price data shows.

[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]

When explaining these gains, analysts pointed to factors including strong support near the $3,000 level and a short squeeze that manifested as speculators closed out their bearish positions.

Joe DiPasquale, CEO of cryptocurrency fund of hedge funds BitBull Capital, spoke to these developments.

“Yes, the $3,000 support level and a short squeeze has helped Bitcoin price recover, there is also a lot of media coverage around Mark Dow closing his short position, which he opened when Bitcoin was around $19,000, adding to the positive sentiment.”

Bullish Sentiment Data

Joshua Frank, cofounder of cryptocurrency analytics platform TheTIE.io, offered further data on the attitudes of traders.

He emphasized that according to data gathered by his firm, “66% of tweets mentioning the end of the year and Bitcoin are positive.”

Further, “67% of tweets that mention Bitcoin and News are positive.”

The Twitter word frequency chart below shows the most common terms that showed up in tweets regarding bitcoin, as well as the number of those tweets which were positive, neutral or negative.

This chart shows the frequency of terms used in bitcoin-related tweets, as well as their sentiment.THE TIE

Cautious Optimism

A few analysts emphasized that while bitcoin prices have recovered lately, investors should still be cautious.

Marouane Garcon, managing director of crypto-to-crypto derivatives platform Amulet, emphasized that while the recent price rally points to positive investor sentiment, “traders must be careful as this may be a fake out.”

“Right now it isn’t a good time to buy and it hasn’t been for a while,” he added. “It’s too choppy.”

“While there are bullish signs since the December 15 Bitcoin low, a 25% rally is not enough to indicate there’s a strong case for much higher prices,” noted Jon Pearlstone, publisher of the newsletter CryptoPatterns.

“Price now needs to achieve a 100% move from the bottom just to get back to the key support at $6000 that held through most of 2018,” he emphasized.

“We’re nowhere near where we were a month ago, let alone a year ago,” noted Mati Greenspan, senior market analyst for social trading platform eToro,

“But we’re way above anything that we could have imagined two years ago.”

“Price can be a slippery indicator when trying to measure growth,” he noted.

*This post is credited to Forbes

HONG KONG — Hong Kong is set to tighten regulations on cryptocurrencies, with plans to put exchanges, traders and other related companies under the oversight of the Securities and Futures Commission.

With less stringent rules on digital currencies than mainland China, where all crypto-related commercial activities are effectively banned, Hong Kong has become a thriving market for initial coin offerings. But growing concerns over fraud and money laundering have prompted the regulator into action.

According to the SFC’s guidelines, investment funds will be required to obtain a license if more than 10% of the assets they manage are made up of bitcoin or other cryptocurrencies, and will be allowed to sell related products only to professional investors.

Under the voluntary scheme, exchanges will be able to test virtual currency products or services temporarily in a “regulatory sandbox” before deciding on whether to seek a license.

The proposed regulations, which are to be implemented in stages, will also mean that companies can only issue ICOs for tokens that fulfilled SFC’s requirements. For instance, the tokens must have existed for at least 12 months.

In February, the SFC sent warning letters to seven local exchanges after receiving complaints from investors claiming they had been unable to withdraw fiat or cryptocurrencies from their accounts. Certain exchanges were accused of misappropriating assets or manipulating the market.

In March, the commission ordered Black Cell Technology to halt its ICO and charged the company with conducting unauthorized promotional activities.

Hong Kong’s actions reflect a growing trend. The Group of 20 leading economies is considering ways to regulate virtual currency assets as part of the global fight against money laundering.

As a financial center closely linked to mainland China, Hong Kong is taking steps in the right direction with measures like requiring identity verification for transactions, said Daisuke Yasaku of the Daiwa Institute of Research.

But the “cost of regulations will be high,” he warned.

Depending on the design of its platforms, an exchange can be required to report frequently to the authority and subject to rigorous inspections and monitoring, Yasaku pointed out.

“The requirements of the SFC initiative may prove too burdensome for some operators”, said Timothy Loh, who manages a law firm in the territory. Some will decide not to join the new framework in order to maintain their current shares in the market.

Some argue that higher trading costs also risk discouraging institutional investors from entering the market, dampening hopes that their presence will help stabilize it. The counter argument is that tighter regulations may lead to greater investor confidence over the long run.

*This post is credited to Nikkei Inc

The latest football team to embrace cryptocurrency is the Brazilian football club Atletico Mineiro, who are amidst launching a crypto token for fans called ‘Galo Coins’.

The relationship between the crypto industry and football is at an all-time-high as sports and crypto are a match made in heaven. As crypto looks to gain wider traction in the mainstream, nothing is more mainstream than football.

New Crypto Token for Football Fans

Atletico Mineiro is a Brazilian Premier League club that is making the news for creating their own Galo Coins, which is a crypto for fans of the club that enables them to buy match tickets and merchandise, while also obtaining numerous discounts at the club.

The word ‘Galo’, translates in English to ‘rooster’, which is the club’s mascot. The move makes Atletico Mineiro the first Brazilian football club to launch a blockchain-based crypto for payments across South America.

The best part about the coin is its simplicity, which is essential when trying to attract new crypto users. The Galo Coins are priced the same as the Brazilian Real currency. Fans need to buy at least 50 Galo Coins, which is approximately $13 to be able to use the tokens.

The crypto token is similar to the Foot Coin platform and allows users to exchange the Galo Coins for Ethereum tokens. Other top-flight football clubs across Europe who are currently using the same concept are Paris Saint Germain and the Italian football giants Juventus.

Partnership Between Football and Crypto

Football and cryptocurrency go together like foot and boot! In recent times, we have seen football legends such as Ronaldinho create his own Ronaldinho Soccer Coin (RSC) that aims to launch a variety of VR soccer stadiums across the world.

Other world-renowned footballers such as Didier Drogba, Michael Owen, Roberto Carlos, Luis Figo, and Lionel Messi have joined the crypto affray by either creating their own coins or endorsing another crypto token.

Earlier this year, Gibraltar United became the first football team in the world to pay its players in cryptocurrency. The club’s owner Pablo Dana created his own Quantocoin crypto token that could well be used as a blueprint for clubs looking to fully integrate crypto into their football clubs.

As football and crypto forge a partnership that could change the way fans buy tickets and merchandise, it will be interesting to see how the Atletico Mineiro crypto token pans out in both the short and long-term.

*This post is credited to CCN

Nowadays, crypto projects are strongly diverse, depending on the popularity and financial stability of each company or project. Incidentally, top cryptocurrencies and exchanges prefer to cooperate with those as profitable as they are. It happens here and there with many well-known platforms and even individuals.

Certainly, the crypto market is still a relatively young field. Nonetheless, many enthusiasts and teams have already started dozens of ingenious blockchain-based projects. Incidentally, some of them can really blow one’s mind. Unfortunately, not every development team can earn their place in the sun due to low budget, for instance. This is what often gets in their way to a fruitful cooperation with top market representatives. Consequently, some of these teams are forced to give up their ideas and leave the crypto market, and this is truly frustrating.

However, there are quite impressive projects that managed to fill a niche in the market. That is to say, ADAMANT Messenger. After completing their ICO and working hard on project’s development for 1.5 years, the team drew the attention of one of the most popular exchanges – Binance. What’s more, the ADAMANT team refuses to accept such a strong diversity between the advertised projects and the ones that have little chance to make it into the exchanges. Thus, they strongly support the idea of cooperation and do their best to push it among the members of the crypto community.

The project was launched in 2017 and pursued privacy and anonymity as its major goal. At the very beginning of their path, the ADAMANT team could not even imagine that their icon would appear on a table like this one:

This graphic was made by the crypto exchange’s designers in order to explain to people how to use BNB. Now, you may doubt the relevance of the anonymous blockchain messenger to the payment system. Let us clarify a few things for you.

This is the “Wallet” section in the ADAMANT Web app. The ADAMANT team worked on the crypto wallets’ integration to make their messenger even more convenient and secure. Consequently, the messenger now supports not only ADM (the project’s tokens) but also ETH and BNB. However, the sending options are not to end here.


As a result of hard work, dedication, and creativity, the ADAMANT developers drew the Binance CEO’s attention to their project.

Mr. Changpeng Zhao tweeted a link to one of the articles on team’s Medium blog, raising people’s interest in ADAMANT. Consequently, the number of registrations escalated quickly. Moreover, people started to purchase ADM tokens excessively and ask numerous questions on the team’s official Twitter page.

As you might have guessed, this sudden breakout convinced the ADAMANT team of the importance of cooperation even more. Pavel Yevgenov, the CEO of ADAMANT TECH LABS LP, thinks that popular crypto platforms often overshadow young and promising teams. According to him, 50% of ICO projects are considered a fraud, and this is something that has to be changed. Pavel believes that it is very hard for developers to stay afloat because not all of them can afford advertisement. Thus, many teams cannot bear the test and, as a result, give up their bright ideas and leave the market forever.

Consequently, the ADAMANT team issued an article “ADAMANT is looking for partners and friends” on their Medium blog. The article explains the importance of cooperation between newly launched crypto projects. Moreover, it states that partnership is essential for everyone who wants to strengthen their positions on the current market. Furthermore, cooperative relationships not only can boost productivity but also improve the services’ quality. Finally, the article explores the way of supporting the developers’ ideas and enhancing them in order to create something smarter, safer and overall better.

Another matter of interest is the ADAMANT 2FA solution.

 

Briefly, it is a two-factor authentication based on blockchain and processing within the messenger’s system. The developers claim that this is the best way to secure your account, as blockchain is able to transfer and store messages better than any other known systems.

Moreover, ADAMANT 2FA is fairly cheap because messaging fee amounts to only 0.001 ADM (0.00032 USD). Considering the ADAMANT’s security level, the price is simply ridiculous. By the way, there is more to ADAMANT’s characteristics on one of the presented graphics, which can be found on the projects’ official website. The graphic compares ADAMANT with the known “titans” of messaging such as WhatsApp, Viber, and Signal.

Certainly, 2FA is not the only suggestion made by the ADAMANT team. There are other ways of cooperation such as, media and public support and integrating other projects’ tokens and coins.

In conclusion, we must say that young crypto projects are making history at this very moment. Due to their enthusiasm, perseverance, and creativity, we can get closer to the bright future of solid privacy, brilliant IT solutions, and convenient trading. The key to these shiny prospects is cooperation and collaboration. Indeed, there is strength in unity.

*This post is credited to Crypto Daily

Cryptocurrency, Stablecoins–With Bitcoin making a shaky climb closer to $4000, the entire industry of cryptocurrency is still reeling from hitting a relative low on the year last week. Since the start of the year, the number one cryptocurrency by market capitalization is down nearly 80 percent since peaking close to $20,000 in December 2017.

For some, the falling price of Bitcoin and the broader altcoin has raised the alarm and led to widespread selling out, negativity and a soured mood towards crypto and blockchain-based assets. Just yesterday, EWN reported on the significant number of crypto-based startups which have been forced either to close shop or make substantial staff cuts in response to the ongoing bear market, in part due to overexposure through plummeting coin prices.

While the dire state of the industry has some lamenting the future of cryptocurrency–and others claiming Bitcoin to be dead for the 300th time–others see 2018 as a severe correction, but overall miscue for an industry that is still experiencing growing pains on the way to broader adoption and more focused development. During a Crypto Summit held on Friday in London by financial outlet Bloomberg, a series of panelists seem to suggest that, while there’s no denying the immediate outlook for cryptocurrency is shaky at best, the industry is just experiencing a temporary setback that will eventually see the market back on the expectation-shattering pace that characterized the end of 2017.

Speaking on the panel, Chief Investment Officer at CCL Investment Management James Bevan gave hope to investors who have continued to stick with crypto through the falling market year,

“I don’t regard this as an existential crisis, I just regard it as a bump in the road and institutional investors have had plenty of bumps in the road in conventional currencies and transaction systems.”

Interestingly, panelists singled out the areas of stable coins and digital contracts as two potential avenues for cryptocurrency to expand into 2019 and beyond. While the latter has been a familiar mainstay in crypto, with third largest coin by market cap Ethereum being viewed as the industry leader for executing smart contracts, the rise of stablecoins has characterized 2018 in much the same way that “blockchain” became a buzzword throughout last year.

“While no one forecast an immediate rebound in crypto prices — Bitcoin has lost about 80 percent of its value this year — they cast the current downturn as more like growing pains than rigor mortis. In fact two areas of growth for the industry will come from low-volatility tokens known as stable coins and so-called security tokens, digital contracts that represent ownership of assets such as real estate or stocks.”

Given the level of innovation, security and digital functionality instilled by the technology of cryptocurrency, the industry of coins as a whole has a established a precedent that is going to be difficult to fully do away with. Merchants who continue to be rebuffed by the lack of price protection and are looking for a more stable form of Bitcoin to transact in will find more benefit in the less-volatile nature of stablecoins.

Price-stable coins, such as Tether’s popular yet controversial USDT, allow both merchants and consumers to transact in crypto without being exposed to the severe price volatility that has characterized the market throughout 2018. While some, particularly investors looking to trade and speculate on crypto, will find the lack of price appreciation or market-driven value a drawback, the majority may find stablecoins more palatable for everyday use–which is the type of adoption that could set cryptocurrency back on the road to greater acceptance.

*This post is credited to Ethereum World News