Bitcoin Dominated Crypto Markets May Provide Better Alternative than Outdated Legacy Financial System: Report

The team at Blockchain.com, a leading crypto wallet service, block explorer, and trading platform notes that Vladimir Ilyich Lenin (the Russian revolutionary who founded the Soviet Union) had said that there are “decades where nothing happens; and there are weeks where decades happen.”

Blockchain.com writes in a blog post that they believe future historians will look back on the unprecedented events related to the trading of GameStop (GME) stock as “extremely significant to the future evolution of financial market infrastructure.”

In their blog post, titled “When the Game Stops” (because of their growing conviction that more people are “waking up” to the major problems with our financial system and are “demanding change”), Blockchain.com notes:

“The problems exposed in our opaque and inefficient market infrastructure are not new. What just changed was the broadening visibility of these problems. GameStop helped more people see behind the curtain of how the financial system game is played. And the bipartisan outrage, which is winding its way to Congressional hearings, is justified.”

Blockchain.com also mentioned that it can be difficult to imagine a “more perfect” advertisement for why blockchain or distributed ledger technology (DLT) and decentralized finance (DeFi) should “underpin” the financial system of the future.

According to the digital assets firm, one of the ”most exciting” aspects of a truly decentralized financial system is that DeFi provides “a rare and open opportunity to everyone to invest directly in the next generation of financial infrastructure as it is being built.”

The blockchain firm claims they’re working hard to make sure that anyone with Internet access and a computing device (including those without a lot of investable capital) can take part in this emerging decentralized financial system.

Blockchain.com points out that if you’re reading this content, then you don’t have to take a back seat and simply hope or wait for the future financial system to unfold. You can’t only help “make it happen, but you can profit from making it happen,” the company claims.

They added:

“Crypto has always been a call to arms.” 

The company recommends trying out digital currency trading and investing by creating a crypto wallet and perhaps purchasing Bitcoin other virtual assets like Ethereum. Thera are now many companies across the globe like Coinsquare from Canada which has made crypto trading and investing even easier for newcomers to the space.

According to Blockchain.com, it’s important to actively get involved in the crypto space because it’s “the first step in joining us and others as we build a more transparent, efficient, and equitable financial system.”

While sharing key developments in the crypto industry, Blockchain.com confirmed:

“Bitcoin set another all time high in early January at just under the $42,000 before selling off as our head of markets, Charlie McGarraugh, correctly predicted during last month’s webinar; it finished the month +14%.”

Bitcoin (BTC) continues to set new all-time highs with the leading digital currency trading at over $47,600 at the time of writing (another new high). The dramatic increase in the BTC price has been accelerated even more after Elon Musk’s Tesla invested $1.5 billion in the cryptocurrency and plans to accept it as a form of payment.

Going on to share further updates in the nascent blockchain sector, Blockchain.com noted:

“Ethereum significantly outperformed Bitcoin for January (+77%) on anticipation of an upcoming listing on the US Chicago futures market and DeFi growth.”

They added:

“Asset markets in general dropped in January, with stocks (S&P500 -1.1%), gold (-2%) and especially long-dated US treasuries (-3.6%) all registering losses; the US dollar rebounded on the risk-off move and was up 0.7% for the month….Rising DeFi token values are subsidizing what otherwise might be unsustainably high stablecoin borrowing costs, raising concerns about another near-term correction.”

The Bitcoin (BTC) network has become even “more efficient in processing ‘payments,’ which better reflect fundamental on-chain economic activity than ‘transaction’ metrics,” Blockchain.com revealed.

They also noted that the rising average transaction fees for Ethereum “potentially open the door to competitors that might be able to better support any dramatic increase in stablecoin flows.”

The report pointed out that although the Binance Mining Pool has “further diversified the number of top pools, its rising hash rate (amount of computing resources securing crypto networks) has coincided with a decline in hash rate share amongst smaller miners.”

(Note: you can check out the extensive crypto market report from Blockchain.com here.)

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