Cryptocurrency is literally mainstream with PayPal entering the space. Also, CBDCs are the point of main discussion. Microstrategy institutional investment is a major example for several other institutions to follow suit. The pandemic tuned up the thoughts of the people and the government towards the idea of digital currency.
It is noteworthy that when PayPal announced their crypto plan, they stated that PayPal are making cryptocurrency mainstream. The first step to executing this was to make it available for 26 million merchants from across the world.
Cryptocurrency Adoption and Regulatory Challenges
Thus, PayPal Customers will be able to buy and sell Bitcoin as well as other virtual currencies with their PayPal Accounts.
Square have also embraced cryptocurrencies. It is also important to note that Square is one of the many companies, which have opposed to the proposed rulemaking from the U.S. Financial Crimes Enforcement Network (FinCEN).
So, it is very clear that those big names who are adopting cryptocurrencies are also aware of the regulatory challenges, which is slowly growing up. When Big Giants in the money world are taking to cryptocurrencies despite knowing these, this just means that cryptocurrencies are valuable and it makes practical sense to be investing in crypto.
It does not feel like these companies are not scared by regulators as Square stated, “FinCEN will actually have less visibility into the universe of cryptocurrency transactions than it has today.”
Even if regulators are going to come with their set of rules, cryptocurrency advocates will come up with their own set of offsetting defense to stay in business. Thus, there is no way that digital assets would move out of the digital world.
Giant CryptoCurrency Investors Setting the Pace
It is very obvious that cryptocurrency Investors are stepping in from all walks of life like giant Institutions Billionaires and Small Investors.
The price of cryptocurrencies breaking through all-time highs is creating a buying frenzy for Bitcoin and several other cryptocurrency assets. Giant investors like PayPal and Square are fueling the enthusiasm. Of note, Square’s Bitcoin operation is huge and it is set to become even bigger.
As far as investment is concerned, people are closely watching the actions of institutions, hedge funds and corporations and when these players take to cryptocurrencies, investors do not doubt the asset type.
More of bigger investors are entering the cryptocurrency space and the price is moving up. The recent rally of Bitcoin was record breaking and this has in turn attracted new players in to the world of cryptocurrency. Volatility is here to stay with such asset types.