3 New Ways Cryptocurrencies Are Being Used
Cryptocurrency has become extremely popular. Last year, Business Insider reported that more than 100 million people around the world now actively use cryptocurrencies. What’s more, crypto investors are some of the most diverse, with traders ranging from Baby Boomers, to Gen Xers, millennials, and Gen Zers. But what makes this relatively new and highly speculative asset so universally attractive?
According to reports, aside from its accessibility and novelty, crypto’s rising popularity is thanks to its versatility. Unlike more traditional investments (real estate or stocks) that offer limited flexibility, crypto can be acquired and used in a variety of ways. While crypto is still most commonly traded via an exchange and, at best, used to make retail purchases, there are a number of rising crypto opportunities that enthusiasts should take note of:
Given that crypto has been billed as a universal currency, it makes sense that it’s now being used in global travel. AskMoney.com, a finance resource that has covered cryptocurrencies at length, reports that crypto is being used to overcome foreign transaction fees related to travel. More specifically, the crypto tourism industry offers pre-packaged travel bundles. In these all-inclusive packages, travellers can acquire their lodging, transportation, food, and all other necessities. More often than not, these trips involve a cruise or domestic tour. To purchase said crypto tourism packages, travellers only need to pay their tour provider a single fee using their digital assets.
That said, while crypto tourism aims to streamline travel, it doesn’t make it more accessible. Today, most crypto tourism efforts are geared towards those who’ve already got larger incomes and can afford to spend their speculative assets. On top of this, because cryptocurrencies remain unregulated, crypto tourism similarly exists in a grey area. Considered more of a promotional mechanism than a vacation-producing industry, crypto tourism leaves room for many scams. Consequently, it’s important to do your due diligence before wiring any tokens or sharing any personal information.
Using intuitive play-to-earn models, crypto gaming encourages players to buy virtual currencies that they can use to enhance their gameplay. Depending on the game title, this can come in the form of making in-app purchases or in-game betting. For instance, in online crypto poker games, players use cryptocurrencies to fund their digital bankroll. Meanwhile, in more casual online game universes, you use digital currencies to improve your player profile.
To date, The Daily Gazette reports that about 75% of all online gamers want are interested in using virtual assets as in-game currencies. This has drastically helped further the reach and popularity of crypto, while also enabling more people to improve their cryptocurrency exposure. British crypto entrepreneur Herbert Sim told the BBC that he believes that this represented a “paradigm shift, which will revolutionise the gaming industry”. Of course, crypto gaming is not without risk. As soon as player interest wanes, the value of the game’s currencies dips too. On top of this, hackers have begun targeting crypto gaming. Just a few months ago, Axie, a popular play-to-earn model was breached. This resulted in over £500 million being stolen.
Arguably, much of cryptocurrency’s popularity arose from social media anyway. Therefore, it only seems fitting that today, there are social blogging websites on which users can earn crypto. While this premise seems fairly straightforward, it actually requires significant effort to earn crypto. Since your crypto rewards are reliant on your online activity, you do need to be using the website for some time to make money.
Currently, crypto blogging is the least explored of the alternative crypto trading options. As such, even the leader in this field Steemit has been forced to do major reshuffling to stay afloat. As per TechCrunch, the company had to shed 70% of its employees in 2019 as part of cost-cutting measures. That said, considering that many users have testified that the platform is legitimate, it’s not a bad way to earn more crypto. Before anyone starts turning to blogging for crypto, though, analysts suggest keeping it as a secondary option rather than a primary means to earn. In this way, you can take advantage of its highs without also falling victim to any dips its currency experiences.
At the end of the day, though, crypto remains a highly volatile asset with a questionable background. Keep in mind our previous article here by Alex Noble in which he discusses cryptocurrency’s more political background. If this theory is to be believed, then cryptocurrency may be farther from the decentralised currency it claims to be. Thus, while it’s exciting for crypto fans to stay updated on new opportunities (like the ones listed above), it’s still important to maintain a modicum of caution.
For more updates on financial diversifiers, please visit ContinentalTelegraph.com.