Many aspects are changing rapidly in the cryptic world. The only forecast that seems safe is that the narratives and indicators that seem important today will be overshadowed by new ideas within a few months. At the beginning of the new year and the new decade, it is worth looking ahead to the important events and issues that will take place in 2020. Here is a list of what is worth looking at over the next 12 months.

Halving of Bitcoin

One day in May 2020, Bitcoin will go through a programmed reduction in the block award that miners who keep the network alive will receive. This means that miners who increase their computing power for network safety will receive half of the BTC for each data block they successfully register in the block chain. To what extent is the Bitcoin price driven by supply side economics? Are there predictable patterns of investment (and disappointment) around the event itself? We will find out in less than six months.

SEC war with Telegram

The telegram, a messaging platform, became the second largest ICO in 2018, raising several billion dollars. ICO shares were sold in the United States with the exceptional approval of the SEC, and shareholders expect to deliver a cryptographic token whenever a blockchain-based Telegram network appears. In 2019. The SEC filed a suit to block this distribution of tokens, but Telegram is still fighting. Let us not expect this conflict to end in 2020. The returns will shape the way developers and investors see their prospects for distribution and use of new coins and tokens.

Facebook Libra

Will the Libra Facebook project remain in the plan to launch the proposed stablecoin portfolio for storage and transfer until June 2020? If it does, we will closely monitor the indicators that will tell us whether or not Libra is fulfilling its promise to bank those who are deprived of the services of financial institutions. We hope to find out whether the concerns about the issuance of private currency that have been identified by the governments have a basis in reality.

Recession and volatility

From the very beginning, Bitcoin was associated with the idea that an economic stimulus stimulated by loose monetary policy is a bad idea. As interest rates are at negative levels in economies around the world, many bitcoiners seem to be observing signs of an impending global recession and are looking forward to it with excitement. Bitcoin’s characteristics tell us that it is “digital gold”. Therefore, it should act as a safe haven in times of economic downturn. Will it prove this thesis, or will it overturn it, or is it too early to say so? Global macroeconomic, geopolitical and geopolitical events and the BTC reaction can give us an answer.

The politicians from the US

In 2019 we saw the first comments about Bitcoin coming from the White House and the US Federal Reserve. Facebook’s entry into cryptographic assets has brought increased interest in digital currencies from the U.S. Congress. In the polarized U.S. political landscape, it is unlikely that a problem such as the cryptocurrencies ones is a bilateral issue. It is worthwhile to watch out for the electoral promises of each of the parties and their individual representatives, who will certainly want to deal with the cryptocurrencies in different ways.

Not just blockchain

In 2019, increasing use of the stablecoin Tether tilted the transaction volume towards cryptographic assets secured by off-chain assets such as the dollar, instead of assets that derive their value from network effects. Was this a turning point or will stablecoins conquer the cryptographic market? Will it turn out that not everything has to be blockchain based to be sexy in the cryptocurrencies market?

DeFi

“DeFi” or, if you prefer, “decentralized finance” is the latest narrative to capture the imagination of the futurist followers who believe that decentralized applications and intelligent contracts are an invention on a par with a stock corporation. For the time being, DeFi is a way of getting little interest from people who have been in this market for many years. Will it attract new users to cryptographic resources? Will banks without bankers allow global finance to enter new parts of the global economy? Will the collapse of Wall Street await us? In 2020 we should come closer to answering these questions.

Cryptocurrencies from central banks

In 2019, Beijing’s announcements on the development of the digital yuan made China the first major economy on the way to issuing its own digital currency, based to some extent on the Bitcoin model for verifying transactions and ownership. How would the digital yuan change the cryptos? How could it change the balance of economic power and the status of the dollar as a global reserve currency? Will other countries join immediately or will they join after a few years? We can see the beginnings of a new chapter for asset categories, which was the first to gain popularity among libertarians.

Institutional investors

Although we have not yet obtained approval in the US for a regulated Bitcoin ETF traded on the stock exchange, other cryptic derivatives such as BTC futures have undergone the necessary checks and controls by US regulators. The Chairman of the Futures and Commodity Trading Committee, Heath Tarbert, went so far as to suggest in this year’s speech that the regulated Ethereum futures market in the United States is not far from being approved either.

How much impact can these new financial tools have on the level of institutional participation in cryptography in 2020? At least in terms of the volume of trading in Bakkt futures, the answer so far seems small. However, this may change in the new year and there are signs of potential significant growth.

Ethereum 2.0

Since its activation in 2015, Ethereum has operated under a similar system of consensus building as the world’s first cryptocurrency, Bitcoin. The Ethereum and Bitcoin model, known as the consensus model, now operate under the proof-of-work model. At the beginning of 2020, Ethereum’s programmers expect to convert this project into a new one, called “proof-of-stake”. While other cryptocurrencies have already tried to build chains using proof-of-stack, Ethereum will be by far the largest cryptocurrency on the market in terms of capitalisation that will experiment with this model.

Travon Temple
Witold Adruszczak CEO of the Bitcoin-Squad.com project for 3 years associated with the crypto industry. This year we have decided on an international project. Our goal is to build Bitcoin awareness in the world. Education and support for people with no experience in the new industry which are cryptocurrencies. If you need more support please write in the comment. For all I always try to answer questions under the articles.