In the HBO hit “Game of Thrones”, the main characters like to refer to the fact that winter is coming. But for cryptocurrency, winter has come—and stayed for quite a long time. It all started at the tail end of 2017, when Bitcoin prices skyrocketed up past the $20,000 mark. Suddenly, it seemed as if everyone and their extended families were buying cryptocurrency. However, this wasn’t necessarily good for the market. With inflated prices, it was difficult for real crypto projects to get off the ground amid all the buying frenzies. It’s not surprising that digital currency mavens on Twitter were referring to the trying times as “crypto winter“.
It’s important to note that some crypto experts believe that any more slipping and sliding could lead to a complete disaster, which some are referring to as a potential nuclear winter. For many of those in the financial industry, it’s time for widespread crypto adoption to happen. They crave use cases, and they want to know what happens when the whole world—and not just when tech enthusiasts exchange digital currency.
Although many banks were once initially bullish about Bitcoin, several became much more bearish when the crypto winter rolled around. Some of the institutions that had planned to set up crypto trading desks have either walked back their strategies or put them on an indefinite hold. However, those who believe in crypto are not deterred by any of this. After all, away from the media glare of the spotlight that inevitably accompanies skyrocketing pricers, developers have been able to firm up the infrastructure for their digital assets.
Meanwhile, some may be surprised to learn that Fidelity Investments has not dialed back its efforts to set up a BTC custody service. This project should be going full steam ahead within only a month or two. As crypto enthusiasts scramble to look at candlesticks, charts and other measures of what the future may hold, it seems that the foundation of crypto has been slowly but surely gaining hold. Although some critics may claim that crypto is just a flash in the pan, other experts claim that it is truly the future of finance. And for those who invest now, buying the dip, the rewards may be very fruitful in the future.
