What Led to the Cryptocurrency Boom?

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Crypto Boom

If you had heard the word “cryptomania” five years ago, you might have assumed it referred to a new video game, or a resurgence of 1990s cartoon Tales from the Crypt. Fast forward to 2018, and “cryptocurrency” and “blockchain” have become household terms, evidencing the staying power of this digital currency trend. Everywhere you look, there’s more news about the success of various altcoins, and investors are scrambling to figure out which coin will follow Bitcoin’s success.

The foundational technology of cryptocurrencies and the blockchain system stem from the vision that new tech can benefit society by improving the everyday actions of users. Today, people are embracing these new technological advancements, which has led to a widespread adoption of cryptocurrency.

But what sparked this obsession with and adoption of cryptocurrency? What was going on before mainstream media put crypto and blockchain on everyone’s radar? What caused cryptocurrency to spike with such force over the last six years? And what does it mean for investors looking to participate in the space?

A foundation for digital commerce

Everywhere you look industries are contributing to the rising popularity and adoption of cryptocurrency with enthusiasm and haste. This hysteria draws a striking resemblance to the Internet boom in the 1990s. During the 90s, the Internet became a brand new infrastructure for many new kinds of businesses to exist. Society was excited about the Internet’s potential impact, but it was also at a crossroads—was the Internet really going to make life easier? Today, it’s hard to imagine a world pre-ecommerce.

Nearly two decades later, in 2009, people were introduced to Bitcoin: a cryptocurrency “mined” through software, then logged in transaction histories. Over time, competitor “altcoins” were created in an effort to offer various improvements on the original cryptocurrency. Today, new platforms are being built to support these currencies, again disrupting major industries with new, advanced ways of conducting business. Cryptocurrencies are becoming more and more popular for the same reason as the world wide web not so long ago: they promise to drastically transform the way that people work and communicate, allowing us to perform everyday tasks better and more efficiently.

The evolution and impact of cryptocurrencies

Some people may disregard these advances, assuming that cryptocurrency is only changing the game for businesses and financial institutions. But increasingly, it’s also shaping the way humans are relying on tangible cash and cards—and faster than we may realize. An example of this is the digital wallet. Mobile payments in the US are expected to be used by 56% of the consumer population by 2020, and many other countries such as Canada, the UK, and Australia are looking at different options to become cashless societies.

Today, the possibilities for cryptocurrency are endless. People are buying medical prescriptions and sending money to relatives around the world. As this new technology takes off, financial transactions are becoming less tied to traditional processes, where governments are in control of overseeing money exchanging hands. According to FundYourSelf Now, the boom of cryptocurrency even has the potential to change the dynamics of international trade and foreign relations.

It’s no surprise that more and more institutions are incorporating blockchain platforms—if the end result of cryptocurrency is as good as the Internet boom, there is certain value in adopting these new technologies for day-to-day business.

The investment opportunities on the horizon

When it comes to considering whether or not to invest, not only do you need to inquire into the currency itself, but you also need to understand the nuances of this virtual space.

Dash—a cryptocurrency that takes its name directly from “digital cash”—was inspired by the creation of the digital wallet. Dash can be used to make instant and private payments (something that Bitcoin cannot do), and is revolutionizing the way that payments are made—think PayPal, but better. In an effort to support Dash’s potential, Neptune Dash was created to support Dash infrastructure and create more masternodes (servers that perform specialized functions on the blockchain, including the ability to send payments faster).

Neptune Dash’s goal is to provide value for investors, further the use of Dash, and reform the conventional idea of online transactions. Although there are many cryptocurrencies and blockchain platforms in the landscape, Neptune Dash aims to change the game, supporting the network as a whole, not just its individual players. Based on its market cap, Dash is currently a hot investment for those looking to add to or diversify their portfolio. And just as the Internet’s potential remained to be seen 20 years ago, we have yet to truly experience its promising benefits for society. If this new wave is the “Internet of Money”, rest assured—it’s just the beginning.

Ready to enter the crypto market? Find out more about how to invest in Dash infrastructure through Neptune Dash or visit our listing on the TSX Venture Exchange.

Photo Credit: Shutterstock / whiteMocca

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