This is huge news with the CEO of Nasdaq saying they would consider becoming a cryptocurrency exchange. One caveat is that Adena Friedman said she is waiting for the market to mature. I anticipate she sees the threat to cryptocurrency as the fact that we don’t know for sure which currencies will be around in the coming years. She is waiting for the dot-com like bubble to burst which is an excellent strategy for managing the risk.
The fact that Nasdaq would even contemplate this plus the big money from Wall Street going into cryptocurrency is a very positive sign of where the industry is heading. The coins that survive the bust will become incredibly valuable and I think Bitcoin is one of them dispute its many issues and drawbacks. It is a tricky call, with one risk of course being hardforks. After more Bitcoin scams and hardforks will people possibly lose interest in Bitcoin or will it increase interest in the real Bitcoin?
Either way it may be a bumpy and turbulent ride, but cryptocurrency is looking like its about to create its own economy. Trading cryptocurrency is not the issue though, as we still wait the “messiah coin” which will hopefully resolve the many issues that we have today. I’d like to see a coin that does everything right or most things right rather than focusing on just a single aspect.
The time will come and the market will follow. Everyone hold on things are about to keep getting interesting in 2018!
I’ve always felt this but hardforks are simply bad, even if in the rare case they intend to fix a problem with the original currency. Most currencies which have issues like Bitcoin are simply not just a “single problem” but a collective bunch of inherent problems. But most often it is so clear like is the case with Bitcoin Gold that the team just copies and counterfeits a coin to unjustly enrich themselves.
Risks and Issues with Hardforks
- Loss of value, normally the original coin is at least temporarily devalued when a hardfork is done. People wonder which coin will survive or be more popular?
- Confusion leading to scams and fraud. Which is the real Bitcoin or real Bitcoin Gold?
- Many forks don’t make a wallet (more evidence of bad intention) and more likely that fraudsters will make a wallet that steals your coins (eg. John Dass and the Bitcoin Gold team).
- Community frustration and division.
Instead of hardforking it is much better to do what Cloakcoin or Litecoin did and the many others did by just copying it, making changes and starting their own blockchain. This ensures the process won’t allow fraud, confusion or devaluation of the original coin and no harm comes to the community that way.
All these coins have stolen value from the main coins like Bitcoin and then people ask why the value went down? If Bitcoin was not hardforkable I think it should be several times the value we see now, almost certainly 2/3s or more of the crypto market cap.