One of the biggest names in the financial game in recent years has certainly been with cryptocurrency, and particularly with the two biggest coins of Bitcoin and Ethereum, but news had broke earlier this year too with the emergence and fast but temporary growth of Dogecoin too. A big question throughout the current lifespan of these big cryptos however is whether or not they’d be able to find legitimacy and widespread use, but as markets have continued to shift and change it seems to be less of a possibility and things have only got harder, and it leads to the question of whether or not cryptocurrencies as a whole are losing some of the good will they’ve been able to nurture in recent years?
Some online services have certainly already picked up crypto and found some more mainstream uses for it, particularly within gaming with the likes of online gambling sites just like these that have found crypto to be a great part of their business, but others have since turned away from the option, the biggest came from Tesla as the electric car manufacturer had initially hoped to start selling cars for the currency, but due to environmental concerns that had been publicly stated, it seemed that was no longer a course of action they’d like to follow.
(Image from Bloomberg.com)
Speaking of environmental concerns, this has been something else hitting hard on crypto recently – when NFT’s released early in 2021 they certainly did bring a lot of attention to just how much energy was being used for different crypto and blockchain options and highlighted something that hadn’t really been a consideration up until that point. Different currencies have certainly went through their ups and downs to try and secure this legitimacy spot, but environmental concerns may be one that becomes a little more difficult to get out from underneath, particularly if big names are shunning for that very reason.
Volatility has always been a huge part of cryptocurrency so it’s no surprise that it’s finding its way to different areas rather than just pricing, and with the ongoing crackdown in China which could see the move of industrial scale mining farms have to move, it may be a bit of a quiet period for the biggest in Bitcoin – even then there’s no guarantee for a huge change as finding cheap energy on the scale required to keep these big mines going will still be quite difficult too, especially with so much attention. So, is crypto falling out of favour? Well not really, as it didn’t have too much to begin with, but those heavily invested hoping for the big boom to come may have to hold out just a little bit longer as the market continues to settle following a lot of change this past year already.