It has certainly been a bit of a rocky year in the financial world if you’ve hitched your wagon to decentralized currencies, although many are typically quite volatile this has certainly been a year to go down on record. The success found in the NFT market early in the year led to many coins thriving as blockchain tech was at an all time high, and big endorsements by big celebrities may have seen an opportunity for some to move into more mainstream markets as currently the biggest coins primarily only operate well in certain online gaming options like online casinos offering free penny slots and more – but as the saying goes, what goes up must come down, and down the graphs certainly went.
Having reached heights of over $60,000 a few times during the year, the biggest option in Bitcoin would soon drop to a low of $28,000 before the latest trend upwards once again, and whilst this low is still higher year on year it had been a big swing, and with the crackdown in China against Bitcoin occurring too, there had been plenty of uncertainty swirling around. The latest upset could come with proposed changes within the EU that will impact all decentralized currencies, as calls for more transparency have started to grow.
With the hopes that bigger coins will be introduced to traditional banking services and the likes, the change for transparency would have trades become more public to lend more legitimacy to the offerings, with a potential requirement for names and addresses amongst other information to be part of the process – whilst all trades are currently public, there’s no requirement for any of this specific info. Whilst any number of reasons can be cited for why the change will be made, hopes that it may combat money laundering and other grey areas of the coin have been the most commonly mentioned reasons, and typically have been throughout the life of the coins too.
Much of the concern is coming as these changes would directly contradict what the purpose of decentralized currency had been, providing anonymity in transactions and something that has helped propel the big names to the top, and changing requirements could lead the most dedicated supports to seek out other options too, and with the big swings in price seen recently and concerns around the longevity of crypto options as a whole, individuals leaving is never a great sign.
It could take up to two years for any changes to be implemented so it isn’t all that close just yet, but will certainly be a space to watch closely as any change, even smaller changes, could lead to bigger impacts further down the line.
