Blockchain and Cryptocurrency 2018 Predictions – Part Vbr>
Block Tribune continues today with its survey of industry leaders predicting what might happen in the coming year. We will run several each day through the New Year, offering insight from the people on the front lines of creating this bold new world.
The year 2017 has been a wild time for blockchain and cryptocurrency – more than $3 billion was raised via initial coin offerings and traditional investments, countless new companies were started, and cryptocurrency prices soared.
Now 2018 beckons, offering further innovations, government actions, traditional players getting more heavily involved, and (hopefully) continuing price increases for cryptocurrency.
Our experts predict:
Zach LeBeau, CEO of SingularDTV: In 2018, countries like the USA, Russia and China will continue to exert control over how their citizens participate and interact with blockchain technology, resulting in suffocating regulation that slows development. This will result in the most exciting and progressive innovation happening in countries that are more open to blockchain. The three emerging leaders will be Switzerland, Japan and New Zealand. Enterprises launching from these countries will have an international strategic advantage to grow and proliferate their brand and mission.
Gabriele Giancola, CEO and Co-Founder, qiibee: 2018 will see the blockchain community come together and drive mainstream adoption. To date, we have already seen a huge influx of consumer-focused start-ups and businesses adopting blockchain and token technology while the introduction of Bitcoin Futures enabled a completely different investment group to speculate on crypto. In the coming year, we will see three main evolutions: First, projects will continue to solve the issue of scalability and cost on the blockchain, they will do so by establishing new protocols or continuing further development to existing protocols. Second, we will see numerous platforms focusing on the
infrastructure that will assist both existing and potential businesses to incorporate blockchain technology with ease. The markets best suited for blockchain implementation in my opinion will be retail, travel, telecoms, and insurance. Third, we will see the further creation of decentralized applications resulting in mainstream usage by established tech startups as well as major corporates looking to adopt different use cases such as loyalty programs within the tech industry. In addition to retail, travel, telecoms and insurance, 2018 will see the integration of blockchain technology in industries connected to supply-chain issues, tracking of commodities or payment solutions. Speculation will also continue to rise as more and more retail investors enter the market and push prices up.
Francesco Nazari Fusetti, CEO and Co-Founder, CharityStars:
With the new year fast approaching, there is no better time to be involved in blockchain. 2018 is going to be the year of further legitimization for Bitcoin and cryptocurrencies as a whole. From a valuation perspective, it’s difficult to find any arguments against the 1 trillion USD mark being reached within the next few months. Corrections are only natural and will occur in 2018 just as they have occurred in 2017. Psychologically, they will be more difficult to deal with considering the capital invested in this space has increased dramatically. The technology itself is going to be more widely used within both the private and public sector because of its undeniable benefits and new use cases will come to life as the year progresses. For example, non-fungible ERC-721 tokens will find their way into more serious uses other than just ‘cryptokitties,’ such as tracking charitable donations. More and more projects will deliver on their promise while an equal, if not greater number of them will do exactly the opposite. While the ecosystem of services surrounding cryptocurrencies has been growing, 2018 will see the strengthening and expansion of such an ecosystem similarly to the evolution humanity witnessed when switching from bartering to the use of currencies.
Dmitry Zhulin, Co-founder of INS Ecosystem:
“Thanks to the launch of BTC derivatives on traditional stock exchanges, the opening of more than 100 cryptocurrency hedge funds, and the market capitalization of cryptocurrencies exceeding $600 billion in 2017, the crypto market has become the fastest growing and most promising sector of our generation. In my opinion, it is likely that by the end of next year, more than 100 million people will hold at least one cryptocurrency. At the same time, decisions by CBOE and CME to add the listing of BTC futures and options has made the world’s first cryptocurrency, and probably soon other cryptocurrencies, the same class of assets as precious metals, energy, government bonds, and many other goods and securities. As a result of this next year will likely become even more favorable for crypto and blockchain.”
David Moskowitz, CEO and Co-Founder of Indorse:
While its competitors, Bitcoin Cash, ethereum and other cryptocurrencies take market share as means of exchange and payments, 2018 will be the year that bitcoin is solidified as a purely speculative instrument and commodity. On average, we will continue to see lower amounts raised in the ICO market, with relatively few large outliers. The market itself will start to look more traditional with token buyers looking for projects with already working products and traction, rather than just an idea. There will also be a growth in funds specializing in niche areas of the industry, ranging from small, to mid, to large caps. There may also be consolidation in the industry with some of the better funded ICOs acquiring the teams and technologies of the lesser funded projects. With the very broad interpretation allowed by the Howey Test, the US will throw almost all ICOs into a security classification, we will see increased regulatory scrutiny. Unless of course, there is a major legal challenge presented to the Howey test and a new precedent must be set. Most jurisdictions will finally enact rules which will regulate cryptocurrency exchanges, allowing a major expansion of trading among retail investors. The market value of all cryptoassets will most definitely surge beyond the $1 trillion mark.
Trevor Koverko, CEO of PolyMath: We’re going to see Bitcoin emerge as a payment network. Currently Bitcoin is being used as a speculative asset and store of value. But as scaling solutions like the lightning network emerge, bitcoin’s utility dramatically increase along with its price. The real question is will it be the bitcoin ‘main chain’ that has the courage to adopt these upgrades or will it be another chain like Bitcoin Cash?
Mike Poutre, CEO of The Crypto Company: 2018 will be the year institutional investors enter the cryptocurrency industry. Less volatility in Bitcoin will allow continued expansion in alternative cryptocurrencies. We will also see the rise of securities tokens in response to increased regulation. Conservatively, I’ll predict the entire industry to reach a market cap of $5 Trillion by the end of the year.
Mark Lurie, CEO of Biddable: In investing, there’s going to be a strong push toward diversifying cryptoassets and handling crypto investment management the way investors look at traditional assets and investing. You’re going to see a focus on that as investors settle into their newfound crypto wealth. There will be a shakeout in ICOs and a flight to quality. There will be a proliferation of ICOs where a few will go bust. There will be a lot more institutional capital that will all go to the highest quality projects. That’s what happened during the financial crisis with venture capital and growth equity rounds, too. Most companies could not raise any funds, but those that could raise funds did it in really high valuations. Even though it was in the middle of the financial crisis, there was a capital flight to quality.
Shidan Gouran, President of Global Blockchain Technologies Corp.: “We all know that 2017 was a banner year for cryptocurrencies and the blockchain. Based on this, we see even bigger achievements on the horizon for 2018. While a significant percentage of the consumer population is either using, or at least comfortable with cryptocurrencies, the same cannot yet be said of governments and institutions. This is to be expected, as organizations, both public and private, tend to have longer learning curves in adopting new technologies. We sense that this learning curve will be the focal point of cryptocurrency and blockchain developments in 2018, overcoming many of the obstacles that have prevented public and institutional involvement in this sphere. This will bring everybody onto the same page, greatly enriching the potential of these technologies with the participation of influential entities, unlocking functionality that would not be possible otherwise. Between continued institutional investment in cryptocurrencies, the offering of bitcoin-based futures, and governments beginning to work on their own blockchain projects, there are already symptoms of these technologies catching on at the public and institutional levels. We therefore predict that 2018 will see sustained growth and adoption, building on existing progress to date by welcoming new stakeholders.
Jani Valjavic, Co-founder of ICONOMI and the Chairman of Columbus Capital: The rise of blockchain and crypto technology has already dramatically altered the landscape in financial and related sectors. Predicting everything that will happen next year, especially in the incredibly fast-moving world of blockchain technology, is nearly impossible, even for those of us who have been working in this space for years. There are, however, at least four major shifts I expect to see next year. Firstly, projects will start delivering, and those that don’t will begin to die off, proving that not everything blockchain is gold. Secondly, more and more people will understand what tokens are and will be able to effectively differentiate between bitcoin and other digital currencies and tokens. Thirdly, not only will blockchain become mainstream, but institutional investors will also start moving money into the space, not just watching it, as they’re doing now. And fourthly, hopefully, we’ll begin to see the first regulations in the space, as well as broad acceptance by governments. The changes we have seen in 2017 will be eclipsed by what the future holds. As the blockchain space matures, the potential for growth, adoption, and innovation is limitless—and we’re ready to embrace it.
Yanislav Malahov, Founder of æternity: 2017 has been significant for the blockchain and cryptocurrency industry, and given the rise in mainstream adoption, I expect 2018 will see numerous countries experimenting with national cryptocurrencies. Although we will see many welcome changes in the coming year, hacks and security issues will continue to rise. We will see an increase in the volume of transactions due to innovations in scalable technology. In the past few months, we saw the modern-day Tamagotchi, known as ‘CryptoKitties’ come to life, and I think 2018 will welcome an array of blockchain-based games similar to this. However, it’s not all fun and games as I expect to see further regulation in the space, although this will not hinder the growth of ICOs.
Miguel Cuneta – Co-Founder & Chief Community Officer – Satoshi Citadel Industries: 1) Bitcoin will have a big correction, but end the year strong and flirt with a 1 Trillion dollar market cap. Ether and other major players will see massive gains as well. 2) Cryptocurrencies will exceed 1 Trillion dollars in value, easy. 3) A government or central bank will seriously consider cryptocurrencies, either making their own or investing directly in them. 4) Institutional money will come in a big way. More futures, ETF approval, and regulated crypto-equity tokens amd financial instruments will begin. Bitcoin and cryptos will be a normal part of any investors portfolio. 5) Layer 2 solutions for Bitcoin will reach a level of maturity and be tested extensively in the market (e.g lightning). 6) More startups will do ICOs and get into blockchain tech. A lot of existing startups will start pivoting to blockchain tech in 2018. ICOs will be bigger, but more regulated and refined. 7) The crypto space will see a lot of growth in general – we wont see a 2014-2015 like pullback, but the opposite. 2018 will likely surpass 2017 in growth.