Note: We just released a video of our 8 shocking predictions about the crypt world in 2019 and beyond. There, we removed the cover of which crypts could go up 100 times, which ones would disappear in the crypt history trash, and some more surprises. This video can really scare you. Click here to review .
Some people think that in order to predict the future of crypts, one simply has to monitor market capitalization. “When market capitalization goes up,” they say, “it has to mean that the market is expanding. If it falls, it means that the market is shrinking.”
Reality: Market capitalization is almost entirely a reflection of the market price. And the price, in turn, depends on the whims of market cycles and the mood of investors.
A much more reliable way to monitor the progress of some industries is to look at the volume of real transactions … which, incidentally, are currently growing exponentially.
Cryptographic transactions take place in two main ways:
First, transactions that take place at exchange offices. They mainly show the activity of investors, speculators and traders. Like prices, trading volumes are cyclical – typically more trading at highs and less near lows.
Second, transactions that take place in the general ledger itself (also called intra-chain transactions). These are real indicators – payments, voting and any real activity that takes place in shared applications (dAppides).
So you know what!
EOS has increased its number of intra-chain transactions by about 670 times. At the beginning of the year, when it was still in the development phase, the block chain had an average of 10,000 transactions a day. The number of these transactions has now exploded to 6.7 million per day.
WAX , EOS’s fork, has made a similar leap forward. Before he came out, intra-chain transactions were minimal. There are now about 5.6 million of them a day.
TRON (another EOS competitor) is smaller, but its growth is also significant – from less than a thousand transactions per year to 600,000 transactions per day.
To understand why this is so important, let’s recall how cryptocurrency technology has evolved …
Bitcoin performs only one relatively narrow function: to transfer money from point A to point B.
So the playing field only became really interesting with the advent of Ethereum.
And this is a place that crypto newcomers often overlook. They think that Ethereum and Bitcoin are just two different breeds of the same animal. Even many cryptoveterans do not understand their radical differences. The fact is that …
Money is just a way to exchange goods.
The goods themselves are assets.
And among them, oil is the most traded in the world. Its total value is greater than that of gold, silver and all other metals combined.
It is so valuable because it has so many uses: It is an essential fuel for the 200 million internal combustion engines produced each year. It is one of the main ingredients in the 300 million tonnes of plastic produced each year. Plus other uses that you probably haven’t heard of.
This essential commodity will keep the global economy running. Without it, the world would simply stand still.
That is why it is so valuable. And that’s why Ethereum and the like can become just as valuable. They are essential ingredients for the future operation of the Internet.
They are like digital fuel. They’re going to support basically everything you can imagine: mobile apps, social media sites, stock exchanges, video games, land registries, Fortune 500 companies, even governments.
The global digital network of the future will use such digital products as fuel. Without them, the economy of the future will stop in the same way that the world would stop without oil today.
This is because every time a new application is created on the Ethereum network, Ether is required. This is not an arbitrary action: it is the key to making it work. Without Ether, the Ethereum network will have no fuel.
(One word to explain before I continue: Although they are mostly used interchangeably, the term “Ethereum” refers to the network itself and the term “Ether” to its local token , the cryptocurrency itself.)
Ethereum and other networks that mimic its design function as global, shared computers. Think of them as personal computers that have been fragmented and distributed to tens of thousands of computers around the world. Like a global supercomputer that everyone has access to.
But it’s not free. Every time I use this supercomputer for anything – from writing a few lines of text to signing a contract and buying real estate – I have to pay the network.
This other side is key, because without a local token, no one has any interest in doing these things for me.
Why would a person let members of the Ethereum network use their computer if they don’t get anything for it?
In the Ethereum network, the Ether token is the fuel that is essential to the operation of the network – it runs it. So …
Ether is more like a digital commodity with intrinsic value than some kind of paper money.
The common currency has value because it has been decided and it requires us to trust its issuer.
Digital assets such as Ethereum Ether are valuable in themselves because they are an integral part of the network and keep it running.
Cryptos like EOS offer us a real estate opportunity.
Each EOS token is basically part of the real estate you buy in the virtual world of the future. The more tokens you have, the more things you can build on that network.
Want to buy a small house? 400 square meters should suffice. Want to invest in a mall? It may take you a whole block to do this. Or maybe you want to lease.
This is exactly how the EOS works. Unlike Ether, EOS is not used to pay any fees. Instead, each EOS token symbolizes a particle of the transfer rate and memory that you literally own or rent in the digital world that EOS hopes to represent.
This digital real estate is yours and you can build whatever you want: a website, a business, a digital community or even a video game like “Space Invaders” !
To sum up: This is an area where we expect great growth. And this has been going on for a whole year, even when prices fell.
Most importantly, the real deployment will ultimately be what will push the prices of the most used crypts to the ceiling.
What do you want to invest in? Check out our video , “8 Shocking Cryptographic Predictions for 2019 and Beyond” to get straightforward and honest answers to your most burning cryptographic questions. In a week, we will join the Weiss Cryptographic Portfolio, the current price is 50% lower and we will give each subscriber a freely chosen cryptocurrency for $ 350, more information can be found here.
Translation: Lucreds Plus OÜ