The idea of a digital currency was first conceived in 1983 by cryptographer David Chaum. He called it Ecash. The next significant step was only in 1995 though. This was with the creation of Digicash, the first electronic payment mechanism that was based on software and encrypted keys.
It was to be another very long wait until the next significant development. In 2009, Satoshi Nakamoto mined the first Bitcoins (BTC). The intention was to formulate a currency that is owned and controlled by those who have possession of it. It is not regulated by any government and it knows no borders. It is not tied to any commodity and is not physical. It exists only digitally and is worth whatever someone is willing to pay for it.
The Rise of Crypto
The market reaction to Bitcoin was almost non-existent when it was first launched. It had no real cash value until 2010. In May of that year the first transaction took place when 10.000 BTC were offered as payment for two pizzas. At around the same time, another person failed to find a buyer for 10,000 BTC being offered for sale at $50. Cryptocurrency business opportunities would not even have been remotely considered. Although very volatile, cryptocurrencies have gradually been gaining traction.
This is borne out by the fact that over 1,000 cryptocurrencies exist today. And cryptocurrency business opportunities abound. However, this is not for the faint-hearted. BTC has had several spectacular peaks and troughs. The trend is mirrored by most of the other cryptocurrencies too, albeit not with the same violent movements.
Cryptocurrency Business Opportunities in the Markets
The lure of cryptocurrencies is not going away any time soon. If you really do have the courage to dabble in them though, lets have a look at some of the cryptocurrency business opportunities that are available to the individual investor.
- Trading. This is perhaps the simplest way. It is also one of the riskiest. Buying low and selling high depends on getting the timing right. And with it’s volatility, it may be very difficult to judge the right time.
- Investing. Accumulating rcryptocurrencies over a period of time may be a safer bet. Although the price is volatile, the trend has generally been upwards. There is also the prospect that prices may stabilize somewhat if and when crytocurrencies gain wider acceptance as mainstream legal tender.
- Mining. This option is probably not suitable for the average person. Crypto mining becomes more difficult as the number of coins increases. Nowadays it takes some serious hardware and time to mine new coins. A Bitcoin can take an individual miner almost five years to mine. For most people, it’s just not worth the effort. There is also a growing concern over the carbon generated in the mining process. This is due th the vast amount of electricity consumed by serious miners.
- Creating an exchange. This is not as farfetched as it sounds at first. As the currencies gain traction, the demand for payment gateways and exchanges will increase. For those with the requisite technical skills and vision, there are still a lot of cryptocurrency business opportunities.
Crypto Ideas for New and Established Businesses
Cryptocurrency business opportunities are not just limited to individuals. Businesses can also get a slice of the action. In fact. It would probably be sensible for every business owner to take a good look at their model and where cryptocurrencies can fit in. Here are some of the ways businesses can get into the market.
- Accept payments in cryptocurrencies. As we have already said, cryptocurrencies are steadily becoming recognized. In September 2021 El Salvador formally adopted Bitcoin as legal tender. There is wide support among the US public. Getting in now may just garner a new customer or two.
- Create a cryptocurrency. There are already more than 1,000 cryptocurrencies in existence so there is a lot of competition. But, as with anything, if you can differentiate it, you can beat out a lot of that competition.
- Release a non-fungible token (NFT). NFTs are a new breed of digital asset derived from cryptocurrencies. These tokens are essentially crypto coins that have been assigned to represent a unique asset. Each token is unique and cannot be replicated. Ownership is also secure and taceable. They’re very popular in the digital art world and also now in sports. If you own something unique that you can sell, an NFT is a very good way to go about it nowadays.
Is the Crypto Industry Here to Stay?
We believe this is a fairly simple answer. Yes, cryptocurrencies are here to stay. With more and more business being conducted digitally, the hold that conventional currencies used to have, it weakening fast.
Cryptocurrencies are not regulated or tied to anything tangible. This makes them highly tradeable as long as there is a willing buyer and willing seller. And day by day there are more of both. Crypto is becoming more credible as more major companies begin to accept them as payment or just endorse them one way or another.
This can be as much of a challenge as it is an opportunity. Since time immemorial there have been people who have spotted an opportunity early on and made lots of money. And equally, there are millions who waited too long and lost out. Cryptocurrency business opportunities are plentiful now. But don’t leave it too late.
Where is the Technology Headed Next?
Enlist the help of a company like Elly. With its single device, multiple payment method platform, Elly is well positioned to support any business looking to get in on the cryptocurrency action. Elly supports a variety of cryptocurrencies but can credit the funds to the business in local currency. Funds are transferred immediately, thereby removing the price volatility risk from the vendor. Using Near Field Communication technology, payment processing can be contactless. With dynamic encryption, transactions are also completely secure. Having everything on a single hand-held device means that the solution is truly portable. No business on the go need ever risk losing a sale again. This is the power of Elly.