Cryptocurrency and its underlying technology have revolutionized the internet and finance over the last several years. What is so exciting is that innovators are constantly developing new applications for it. The applications are so varied that they may seem like completely new technologies.
Whether you are just getting started in cryptocurrency or have been investing for years, you will have something to learn or get excited about when it comes to new applications of cryptocurrency technology. Here are the ones we are most excited about!
Decentralized finance, or DeFi, really started becoming concrete well after Bitcoin was launched. It actually required the innovations made by the Ethereum blockchain to be able to carry out these operations. The launch of the Ethereum network, which is set to go through a major upgrade soon, really expanded the possibilities. Here are two:
Many people are now able to take our cryptocurrency loans. You can use cryptos as collateral and then take out a loan. This is allowing more people to get into cryptocurrency and has increased liquidity on decentralized exchanges.
Smart contracts do not rely on any external party to enforce them. Rather, the computer code executes it automatically. Smart contracts are a type of code that can document and execute legally relevant actions. This helps free all kinds of applications and actors from intermediary or third-party financial institutions.
More and More Online Sites Accepting Them
Of course, one of the main ways that cryptocurrency function is as currency. This means that you can exchange them for a number of goods and services. More and more online stores and even entire industries are accepting cryptocurrencies. So, for example, if you are looking to reform your home, you can spend your cryptos at the Home Depot online store.
Another example is online gambling sites, which are truly the vanguard of accepting Bitcoins. If you want to try to make even more Bitcoins, check out these online casinos where you can play games for real money. This guide will not only connect you with the best real money slots but will also show you tips to improve your chances of winning. You can even organize them by payment method, so you make sure to sign up with the right Bitcoin betting site.
You may be surprised by the growing list of companies accepting cryptos. In the tech world, you can use them at Microsoft. In the automotive industry, Tesla accepts many cryptocurrencies. And in entertainment, you can buy tickets to the movies online with AMC Theatres. There will be more and more as cryptos are increasingly accepted for their original use: as a currency.
Extending Banking Services
Cryptocurrency and blockchain technology has promised to extend banking services to the unbanked. Because all you need is an internet connection to be able to take out a loan, for example, people can suddenly access basic banking services.
Another advantage is that cryptos do not know national boundaries. So, people can more easily access international markets, as more and more of them are linking up with cryptocurrencies.
This potential is one we are all excited about, and many NGOs are working toward this goal. The potential to have a huge impact on the lives of the world’s poorest and least-resourced people is inspiring. This is definitely a trend to keep your eye on in the coming years.
The Metaverse and NFTs
Many of us began hearing buzz surrounding the Metaverse when Mark Zuckerberg decided to officially change the name of his company from Facebook to Meta. But what exactly is the metaverse? And, how does it relate to crypto technology?
The Metaverse is the digital world that is currently being constructed, which makes it tough to say exactly what it is. It will blend the physical and digital worlds in imaginative ways such as meetings with avatars, or walking directions highlighting turns in the glasses we wear.
It makes use of blockchain, the technology underlying cryptos, through NFTs, or non-fungible tokens. Blockchains can verify that each NFT truly belongs to a person and is unique and protected. These NFTs can be avatars in a game, a background on Zoom, or a key you need to be able to play a game.