2020 was unlike any other year. It was disorganized, happening, and has surely come to an end.
The year 2020 was unlike any other period. It was intense, happening, and has certainly come to an end. In the cryptocurrency, the prior year was important as bitcoin prices increased to new highs. Due to greater recognition among users and tremendous institutional concern, the digital currency and crypto/bitcoin industry are on their way to immense growth in 2021.
Dependent on the exceptional growth made in the previous year, the global crypto world is anticipated to reach an amount of USD 5,191.63 million by 2027, increasing at a CAGR of 32% from 2019.
Let’s dive deeper into the most notable bitcoin and crypto trends to look for in 2021:
1. Blockchain Demand will Increase
As estimated, the global blockchain technology industry is anticipated to increase exponentially present year. Companies from an array of institutions exhibited a rising interest in the selection of this advancement, specifically for increasing their everyday company operations. The COVID-19 novel outbreak increased digital transformation in several areas, particularly through the adoption of blockchain or DLT.
Therefore, the global blockchain market is anticipated to increase at a CAGR of 68% between 2020 and 2026, with the amount growing from USD 4 billion to USD 40 billion during the projected period.
2. Government Regulations will Grow
Another trend that will attain influence in 2021 and further is the rigorous monitoring of KYC and AML laws by regulatory authorities. Therefore the world of crypto is the latest to such laws, rising crypto-associated scams, an uptick in the global blockchain market, and increasing technological advancement has influenced regulatory authorities globally to issue compliance standards for blockchain technology, crypto, bitcoin, and online banking.
The influence of artificial intelligence-powered IDV lies in its capability to give a correct and safe solution for blockchain-based markets and crypto exchanges. This is why it is no surprise why the global blockchain IDV market is anticipated to rise to an amount of USD 11.53 billion by 2027, up from USD 108 million in 2018.
3. Cyber-attacks will Persist to Survive
Therefore 2021 is examined as the era of investment for crypto exchanges, the adverse effect was a significant rise in crypto/bitcoin scams.
Due to these technological advancements, it is only a subject of time before blockchain in the virtual payment scope undergoes massive adoption. Crypto/bitcoin exchanges globally underwent sophisticated hacks in the prior year. Therefore more than 50% of total scams from Defi business hacks. Based on these figures, professionals anticipate the trend to stay all through 2021.
Types of cyber-attacks that are anticipated in the upcoming period involve forged crypto-wallet frauds, false crypto websites, new sorts of malware affecting the adoption of blockchain in healthcare, use of the latest cryptocurrencies, and crypto mining thefts such as crypto-jacking.
4. Monetary Institutions will Control the Market
Amongst all the company divisions that were affected by the novel outbreak pandemic, monetary institutions were struck particularly hard. Reducing gains and restricting margins enforced by the banking sector and other financial service providers to modify to changing user expectations and the latest digital world.
With the employment of bitcoin/crypto and financial technology solutions, monetary companies were able to smooth and improve their company operations. This has the capability to remodify the panorama of the standard economic services industry, driving a steadfast increase in the market for touchless payments.
5. The rise of Non-Fungible Tokens
One of the prominent bitcoin/crypto trends of 2021 is that of non-fungible tokens. NFTs are distinct blockchain-based tokens that are non-interchangeable and give a distinct value.
The most prominent non-fungible tokens are the ERCs. They are exchanged on marketplaces such as LedgerDex, Enjin, Decentraland, etc. Therefore encountering critique, there are already several successful plans.
Therefore, the online nature of these NFTs has put the exchange under threat of fraudsters using it for financing terrorism. This problem can be effectively overcome with the employment of proper anti-money laundering and know your customer(KYC) compliance procedures.
Consequently, this increase for non-fungible tokens will persist to increase since its market is presently showing no indications of slowing down. As of February 2021, the joined market cap of famous non-fungible token-based projects has skyrocketed by 1,875% within three months.