The advent of Bitcoin in 2009 to the proliferation of several cryptocurrencies, including Facebook’s Libra, Blockchain has been truly revolutionary. The global blockchain landscape is highly dynamic.
Bitcoin, the most valued cryptocurrency by market capitalization, rose by 275% at one point this year. Bitcoin along with other cryptocurrencies is flourishing. Ripple, Ethereum, XRP, Lite coin, and Tether are popular cryptocurrencies that are taking the world by storm.
Here are some statistics that prove the growing prominence of cryptocurrencies –
- In Dec 2019, the total value of Bitcoin mined reached 18,080,038 BTC
- Bitcoin is available in 127 countries, according to Coin Dance
- In 2017, the price of Bitcoin reached $19,783
- Europe is the largest region with a cryptocurrency consumer base
In a nutshell, the cryptocurrency industry has grown bigger year after year and is expected to grow at 11.94% CAGR between 2017-2024 according to the market research firm Research and Markets.
Simultaneously, Blockchain, the technology underlying Bitcoin, has been growing phenomenally. The usefulness of blockchain technology can be measured from the increasing number of start-ups operating in the blockchain development space. Enterprises and start-ups are taking equal interest in blockchain technology. With characteristics like immutability and security, blockchain poses a solution for various industry challenges, making business operations more efficient and faster.
According to Statista, the world spent nearly $ 2.7 billion on blockchain solutions. This spending is expected to grow to $11.7 billion by 2022.
Blockchain technology is becoming a priority for enterprises. As per Deloitte’s Global Blockchain Survey, 53 percent of surveyed companies said that blockchain is a critical priority for their organizations in 2019. Here are some statistics that bring out the burgeoning impact of blockchain technology and its adoption to the fore –
- In 2018, venture capital investment in blockchain development increased by 280%
- Total investment in blockchain-based start-ups reached $4 billion according to Diar research group
- Nearly 10 percent of organizations across every industry put blockchain to use
- About 66% of organizations have an interest in blockchain
The next wave in blockchain technology is Libra.
Facebook’s announcement in 2018 to build Libra shook the cryptocurrency industry. Libra is a global digital cryptocurrency yet to be launched by Facebook. As per reports, Libra will be launched in 2020.
Unlike Bitcoin, Facebook’s Libra is a fiat-collateralized cryptocurrency, meaning it will not be as volatile as other cryptocurrencies. The value of Libra will mostly stay stable and change as the value of dollars, rupee, or Euro fluctuates. This differentiates Bitcoin industry where the value of Bitcoin fluctuates continuously.
Libra is a permissioned stable coin, making it very different from Bitcoin and other popular cryptocurrencies—Ripple, Ether, Lite coin, etc. As per reports, Facebook aims to capture more than 2 billion users on its platform and push Libra for adoption
Currently, Libra is operating in an experimental stage and limited code has been out. It is operating as a permissioned chain, meaning the value of Libra will be regulated and transaction verification will be overseen by Libra association –a consortium of mostly large digital payment corporations, but Facebook plans to make it permission less within 5 years of Libra’s launch.
Libra will also be a medium for unbanked population across SE Asian countries bereft from mainstream banking and reap advantages of faster and seamless money transfer.
But, apparently, Libra is largely a bet to cash on Facebook’s growing dominance in the social media and increasing users on the network.
Bitcoin, blockchain, and Libra all are part of the same ecosystem. Yet very different in the way they are revolutionizing the industry. Each has its own applications and usefulness in the industry. As the industry realizes greater benefits of these technologies, these technologies are expected to grow bigger and see more adoption.
Will your organization be the one to adopt these?