Cryptocurrencies have completely revolutionized the way we think of finance, offering a long-term, sustainable technology that needs less resources than fiat currency, while setting limitless transaction capacity for all users. This led many people to ask “Is Bitcoin the money of the future?” and that is a question we will answer in this article.
Is Bitcoin the money of the future?
To see Bitcoin as the money of the future means that, despite all current existing cryptocurrencies, Bitcoin will be seen as the leading currency of a global financial system. Although it’s not a completely absurd notion, there are multiple aspects to consider for this statement.
Bitcoin will certainly continue to exist in the future and, thanks to its deflationary structure, it will most likely be worth much more than it is today. However, assuming cryptocurrencies take over the financial system, Bitcoin could be seen as a safe haven (like gold) and not the universal crypto for daily transactions.
Could Bitcoin disappear?
Bitcoin has a total supply of 21.000.000 BTC, which means there will never be more circulating Bitcoins after such a limit. The shortage of Bitcoin tokens will make its value increase even more, as demand will increase and supply will drop.
In terms of technology and financial building, Bitcoin will not disappear. The crypto ecosystem may find regulation barriers along its way, likely erasing many existing cryptocurrencies in the market.
But Bitcoin is not like any other crypto. Being the highest market-valued crypto asset, the Bitcoin adoption has set solid grounds for it to continue growing.
Is Bitcoin the best candidate for crypto transactions?
Although Bitcoin is the most popular cryptocurrency, it is actually not the best (or cheaper) for transactions.
Bitcoin transactions require more computing power than other networks, making the transactions a little slower than others.
It is highly probable that future crypto transactions will be done on multiple solid assets, especially those with advantageous networks like Polkadot and Cosmos.
Why would Bitcoin continue to grow?
Bitcoin’s halving is the secret to Bitcoin’s success. By cutting Bitcoin production in half every 4 years, accumulating BTC tokens will be harder and demand will be way higher.
Our generation will not live to see Bitcoin reach its maximum supply, but we will surely witness the most important stages of its growth.
Crypto adoption will also push the best cryptocurrencies to their prime financial periods, which are always moved by Bitcoin’s market influence over them.