The Future of Finance Is Bright and Cryptographic
The crypto industry has taken over the world. In recent years, blockchains and cryptocurrencies have gained a lot of traction and are all the rage. As a funding source for startups, initial coin offerings have exceeded traditional venture capital. They have leveled the playing field and provided entrepreneurs with an invaluable opportunity. With the aid of crowd sales, anyone can now use their idea to raise money anywhere in the world. The concept is no longer limited to Bitcoin alone. Alternative cryptocurrencies (alternative currencies) now number over 1,500, and their applications are far-reaching – and they might grow every day, especially with the right cryptocurrency marketing services.
That said, with the advent of digital currencies like Bitcoin, Ethereum, Ripple, and a host of blockchain-based projects, traditional currency as we know it is facing a threat of extinction. Paper money may not be destroyed completely, but it will definitely receive a huge blow from the smart and speedy transactions of cryptocurrencies. Does this mean that the future of finance will be totally different from what we imaged ten years ago?
How will your money change?
At the moment, it seems highly likely that cryptocurrencies will become mainstream, – regardless of any dismissive opinions of the banks and governments. In a future where cryptocurrencies are the norm, transactions could become faster, smoother, and safer, and we will enter a future of true globalization. There will be no boundaries and people will be able to interact with each other, send money and trade freely using applications like OWNR Wallet!
Of course, there will be multiple cryptocurrencies on the market, but a basket of 10 to 20 top currencies could be accepted the world over. Trading one currency for the other will take a matter of seconds, and the financial system will become ever more transparent. Even the banks may even eventually have to shift to blockchain to reduce costs and honour customer sentiment.
What about lending?
If there is one industry heading towards being completely reborn ten years from now, it is lending. There are already several digital lenders across the finance industry, offering a variety of financial services, including banking and investment as well as lending on both short and long term bases. The lending process – right from application to approval and loan disbursement to repayment, could be handled on the blockchain in the future. Entire transactions could be done using cryptocurrencies. It is hoped that the market values of digital currency will stabilise in the coming years to allow it to function as a working means of payment. Of course, there are many factors that will need to be taken into consideration – such as the demand for record-keeping and payment logs. At present, cryptocurrency transactions are anonymous – meaning it could be difficult for lenders to monitor how and when their customers are making a repayment.
Short-term loans may still operate using traditional currencies like the GBP for now, however, it is unlikely that they will be completely untouched by the digital currency revolution. In the future of finance, it could be possible for people to borrow money from lenders around the world and repay it using smart contracts or other such blockchain concepts. Digital currency-based lending could become a reality in the tangible future, with FCA authorised creditors such as Mr Lender potentially moving away from transacting via more traditional means, using a simple cryptocurrency wallet to carry out transactions instead.
In the foreseeable future, the likelihood of a paperless currency and cardless transactions becoming the norm is high. The shift towards mobile payments, whether for daily groceries or monthly subscriptions, is imminent. However, this evolution presents lenders with valid concerns regarding the potential risks associated with paperless transactions.
Fortunately, a reassuring solution emerges in the form of people tracing services by Bond Rees (you can Make contact now if this has piqued your interest) and similar companies. By capitalizing on their expertise in the digital domain, these services can assume a pivotal role in upholding the integrity of financial systems. Through the reinforcement of security measures, they instill a sense of confidence not only among lenders but also among borrowers and stakeholders at large. The synergy of technological advancement and meticulous security provided by people tracing services can, therefore, ensure a smooth transition to paperless transactions, mitigating risks and fostering a resilient financial landscape.
Overall, we are looking at a more robust, more transparent, and less wasteful financial system that will help small finance companies and small lenders and debtors as much as it would help larger competitors in the market. This could be the best time to be alive, especially considering that such a world has the potential to solve problems related to foreign remittances and inflation while reducing fail rates or transactions.
