What are Cryptocurrency Market Value and Its Growth Drivers? - New Report

NH Bureau Tuesday, 01 November 2022 09:25:31 PM

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New Delhi : What is cryptocurrency?

Cryptocurrency is a kind of digital asset, decentralized currency. It is a class of assets created using cryptographic techniques that allow people to buy, sell, or trade them safely and securely. Their potential to store and grow value has caught the eye of many investors.

There is no physical coin or bill connected to the crypto you own; owners hold cryptocurrency in a digital wallet and buy or sell through an online exchange. Your wallet may be online (some popular exchanges like Coinbase offer an in-app wallet) or stored offline on a hardware device, such as a USB drive.

Cryptocurrency transactions are recorded on a decentralized ledger called a blockchain. The transaction is added to the blockchain when cryptocurrency is bought or sold. Anyone can join and participate in the blockchain, but data on individual transactions and those involved are secured using cryptography (the basis for cryptocurrency). There's a digital validation process for each transaction added to the blockchain to verify and prevent fraud.

Cryptocurrencies are decentralized and not related to subject to government or financial institution interference. The most common and valuable cryptocurrencies are Bitcoin (BTC), Ethereum (ETH), and Solana (SOL). Cryptocurrencies are not physical banknotes or coins.

Cryptocurrency Market size:

According to Report, the cryptocurrency market was valued at USD 826.6 million in 2020. The global cryptocurrency exchange platform market is expected to grow to USD 30.18 billion by 2021, with a compound annual growth rate (CAGR) of 27.8% from 2022 to 2030.

We expect the global crypto population to reach 1 billion by 2022. The global crypto population increased by +178% in 2021, rising from 106 million in January to 295 million in December.

Bitcoin's dominance in the cryptocurrency industry is because it was the first cryptocurrency. It laid the foundation for the cryptocurrency market and continues to influence the entire industry. Ethereum is growing in popularity alongside the emergence of digital assets, such as NFTs and Decentralized Finance projects.

These assets are mostly built on Ethereum because of its secure network and architecture. Additionally, the proliferation of several altcoins, such as Litecoin, Bitcoin Cash, and Bitcoin Diamond, is expected to boost the segment's growth in the coming years.

What are the growth drivers?

We find that there are two significant drivers of cryptocurrency growth.

The increasing market for transparency in the payment system.

The cryptocurrency market is expected to experience significant growth in the coming years due to improved data transparency and independence in payments made by banks, financial services, insurance, and other business sectors.

There are various benefits to using cryptocurrency across banking industries, such as sending and receiving payments transparently and securely storing customers' detailed information. PayPal announced it would enter the cryptocurrency market on October 21, 2020, allowing customers to buy and sell Bitcoin and other virtual currencies using their accounts. That is a boost for the adoption of cryptocurrency in the future.

The potential for emerging economies to be tapped into.

Cryptocurrency provides developing economies easier access to capital and financial services, offering significant opportunities for businesses to expand. Bitcoin, the most prominent of these cryptocurrencies, has already allowed many people and companies to develop and flourish by providing them with a source of income.

The rise in consumerism and openness to new technologies in developing nations provides opportunities for cryptocurrency to grow. Mobile payment service providers can offer sophisticated services with the increasing number of people using smartphones. That leads to more people adopting cryptocurrency, making the country one of the world's most significant users.

Top 5 currency list

There are the top 5 cryptocurrencies in the global market.

1. Bitcoin

The largest cryptocurrency by market cap, Bitcoin is a good investment for those willing to take on a high risk. Investing in Bitcoin may be a good option if you're in a solid financial position and want to increase your portfolio's exposure to digital currency.

2. Ethereum

Ethereum is the second-largest cryptocurrency by market cap and competes with Bitcoin for dominance in the digital currency space. If you're interested in investing in Ethereum, be aware that it comes with a higher degree of risk than many other investment options.

3. Tether

Tether is a stablecoin in the cryptocurrency market. Its worth is pegged to the US dollar, meaning that one USDT should always equal one dollar.

4. BNB

BNB Coin is a cryptocurrency that can use to pay transaction fees on the Binance exchange.

5. USD COIN

USD Coin (USDC) is a digital asset or cryptocurrency that is fully reserved and price-stable. Unlike other cryptocurrencies that fluctuate in price, USDC is always worth $1.

Metaverse project: A new world of gaming

The metaverse is an online universe that operates on the blockchain. In the metaverse, users can explore different digital worlds, explore casino «districts,» lottery sambad offering a variety of games such as slots, poker, roulette, blackjack, and more. You can also attend shows and nightclubs or purchase real estate.

The Metaverse coins are what people use to buy things in the metaverse. It is a 3D universe where people can purchase avatar clothing, real estate, and other products. Can also use coins to create and sell products, goods, or services within the platform.

There are three kinds of metaverse coins in the market. Play-to-earn (P2E) games, 3D virtual metaverses, Metaverse platforms

Here is the list of the Top 7 metaverse crypto Projects worldwide.

1. Decentraland – MANA

2. The Sandbox – SAND

3. Theta Network – THETA

4. Axie Infinity – AXS

5. Enjin Coin -ENJ

6. WEMIX – WEMIX

7. Worldwide Asset eXchange -WAX

Here is a list of the Top 7 Meme tokens crypto Projects around the world:

1. Dogecoin – DOGE,

2. Shiba Inu – SHIB,