The current market conditions are potentially pointing towards a shift in focus from cryptocurrencies to the blockchain. Cnbc.com reported that major firms around the world are trying to tame the blockchain technology instead of investing in cryptocurrency. As bearish markets are making casual investors shy away from the markets, falling prices are worrying the bulls.
As is apparent in 2018, digital currency is taking a beating, but the underlying blockchain technology is being used in various businesses around the world. The founder and chief executive of BKCM LLC, Brian Kelly, said that the breakthrough technology is providing surprising returns.
He claimed on CNBC’s “Fast Money” that, “Last year was all about the froth,” Kelly said of the overvaluation of assets like bitcoin. “And the promise of, ‘Hey, this guy’s building the new Facebook.’ I think this year is going to be about building the Ciscos.
As of now bitcoin and ripple have seen a 70 percent decline in value this year. Kelly said that 2018 will be the year of infrastructure development and uprising ethereum competition.
He has invested around 90 percent of his money in cryptocurrencies. He also backed Cardano that uses the blockchain technology for assisting the crypto, Ada. He looks at Cardano as competition for ethereum as it enables the creation of smart contracts and blockchain 3.0.
Currently, Ada is being traded around 15 cents, but Kelly mentioned that digital currencies tend to fall in the second quarter of the year. According to Kelly Ada proves to be a high risk-reward asset. He wants to know more about names “that are bottoming. That are competitors.”
He further added, “I actually think there is room for plenty of different coins,” he said. “It really depends what’s being built on it. But you want to buy the infrastructure name… Maybe some have different specialties that others don’t. I think there is a place for them all to exist.”
In the news related to Cardano, cryptorecorder.com reported that it has announced the launch of the much-hyped Daedalus on Linux. The information was given through the Cardano community forum. The company did not provide much detail about the software but stated public beta testing was its next step. Valid information is being collected by the network to ensure the wellbeing of various Linux distributions. The software will also be customizable to enhance the user’s experience. Cardano has tailored the beta version to assist Linux users who are more comfortable operating a script in a terminal.
In respect to the crypto market, the blockchain technology has grown by leaps and bounds. In a world where digital currency is looked upon as a possible threat, blockchain is being backed up by governments all over the globe. It should also be noted that cryptocurrencies made the blockchain technology popular and their avoidance can be harmful to a blockchain using society. Some experts believe that cryptocurrencies are bound to bounce back by the end of 2018 which will again attract casual investors. Even if crypto does not upsurge, it will always be in use for remaining anonymous.