Despite the potential that cryptocurrency has already demonstrated, particularly during the past year, a selection of financial experts have claimed that the volatility of cryptocurrency will be detrimental to future success. It has been claimed that volatile cryptocurrencies will fail to become mainstream choices.
\r\nWhile it can be said that standard currency is, in fact, volatile – as seen from the 22 currencies replaced by the euro, for example – volatility is seen to be of greater concern for cryptocurrencies. Standard currency values are determined by economics as well as supply and demand, but there is an additional layer to cryptocurrency values, as value is also determined by how much standard currency is invested.
\r\nHowever, others are claiming that volatility is actually a necessary characteristic of any form of new currency, and that these fluctuations are an essential part of eventually being able to \'prove\' a value. Determining a widespread agreed value is a vital stepping stone towards bringing cryptocurrencies into day-to-day life.
\r\nExperts are also claiming that volatility is especially important during these early stages of cryptocurrency; digital currencies that \'test the waters’\' until global unification reaches a stage of being able to fully accept a currency that is accepted on a universal scale.
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