As with the cryptocurrency itself – opinions are divided. Some believe that blockchain will revolutionize multiple industries, including logistics and supply chain management. Others are of the opinion that the technology is still too young to place any serious bets on it.

Hong Kong’s history as a rather lenient financial hub makes it an excellent candidate for the blockchain technology centre. Naturally, the most obvious implementation of blockchain is in finance, and Hong Kong officials have been investing into the technology, even going as far as developing their own digital currency. In contrast with neighbouring China, Hong Kong is a lot more lenient towards cryptocurrencies, which led to the most prominent Chinese exchanges moving there after the recent ban.

Hong Kong, however, is not the only financial hub embracing blockhcain and cryptocurrencies. Singapore seems to be just as dedicated in its pursuits of cryptocurrency opportunities. It’s a serious competitor, offering major tax breaks and government assistance to businesses.

Despite its spotty tech startup record, Hong Kong hopes to become the capital of the emerging cryptocurrency industry, solidifying its role as THE financial hub of the region.

An early investor in bitcoin, Smith has moved to other cryptocurrencies and tech stock, diversifying his portfolio over the years. What’s more interesting, eToro – the social network for the traders –  uses contracts for difference commonly known as CFDs. This adds a lot of risk to an already unstable market, allowing investors to bet on the cryptocurrency prices. While the company claims to protect the users from losing more than they originally invested, the risks are considerable. This does not stop people from following Smith on the platform and copying his every move.

A school dropout, Jay Smith has been involved with eSports from a very early age and was quick to recognise the value and potential of cryptocurrencies. He went on to purchase a number of digital tokens, earning on the price differences. In his opinion, CDFs and cryptocurrency are a natural fit, and with the protection provided by the platform and experienced investors as guides, there is no harm in trying.

With the volatility of the market, people need to be prepared to weather losses, and Smith does not worry about 20% drops. He has seen worse, having survived the 2013 crash. The ebb and flow of the cryptocurrency market is familiar to him at this point, and with experience he has gained confidence. Considering the number of people that follow Smith on eToro, this confidence might not be misplaced.

As for the future of the market, here’s what we’re advised to expect:

The traders who like volatility will go there and to similar cryptocurrency markets as Bitcoin continues to grow and stabilise.

 

If you look at what has happened in the past when it comes to reaching those type of heights, be it tulip bulbs or a bunch of other things over the centuries, the odds are against those who actually think that this is going to be the future.
Stefan Ingves, Governor of Sveriges Riksbank

So, what should we expect if this cryptocurrency surge is indeed a bubble?

The prices will most likely fall and become a lot more stable. Current volatility actually works against the cryptocurrency’s main purpose – facilitating access to the financial services. If the cost of blockchain transactions can increase tenfold or more in a very short period of time  due to the price hikes that become rather common, how can we expect to build a stable foundation for anything?

A significant number of currencies will fade away into oblivion, leaving only the most common and stables ones. Bitcoin and ethereum appear to be the two most likely survivors at the moment. There seems to be enough momentum behind those two to keep them afloat even in the grimmest scenarios. Provided the volatility issue is dealt with, these currencies can indeed become a significant part of our financial future, even if traditional banking is not likely to disappear altogether.

Far be it from me to disparage any of you from pursuing your goals in an emerging profitable field, but I would advise approaching every such venture with respect and care it deserves. So, what are the basics of the successful business?

• Foundations

Do not disperse your attention. Formulate your goals and core values from the outset and let them pave the way from what’s to come. You are your most important asset, and trying to cover as many bases as humanly possible will not help your case, especially early on. Being first can be a tremendous advantage, but it only helps if you have tenacity, insight and acumen to build on that. Otherwise, you’ll be left on the forest floor, feeding the emergent growth while slowly wilting away.

• Information

Get educated in the topic and industry you want to pursue. Don’t simply rush into something promising without the clear understanding of what the risks are. No formal education will make you a business savant, but you should never underestimate the power of information. There are few things worse for an entrepreneur than following someone blindly, even if they promise you a city where the streets are paved in gold.

• Connections

Few of us are truly solitary creatures, and no serious entrepreneur can afford isolation. Your relationships are both your opportunity network and your safety net. The trends come and go, but the connections you’ve established with partners, affiliates and business associates last. When push comes to shove, you need someone that has your back, and that’s not something you can get while hopping from one opportunity to another.

• Marketing

No matter how good your business idea is, you need a marketing plan. That’s not optional. Luckily for you, getting the word out about your business has never been easier. Social, SEO, content and email marketing are all very accessible these days, and neglecting the opportunities they present you with is borderline criminal. Leads are essential for ensuring a steady revenue stream, and obscurity will bury your business faster than any crisis.

Every trend is an opportunity – there’s no denying that, but you need to know what you are and what you want. Some opportunities are better left to others. Always aim to move forward, and constant lateral moves won’t help you with that.

This is not the first foray into the Blockchain technology for the foundation, as they have been researching it at least since 2015. Their Level One Project aims to integrate the poor people around the world into the larger economies by making digital finance more accessible around the globe.

The latest initiative is called Mojaloop, and, according to the official press release, this is what it intends to provide:

Interoperability of digital payments has been the toughest hurdle for the financial services industry to overcome. With Mojaloop, our technology partners have finally achieved a solution that can apply to any service, and we invite banks and the payments industry to explore and test this tool.
Kosta Peric, Deputy Director, Financial Services for the Poor, at the Gates Foundation

Mojaloop incorporates Ripple’s Interledger tech, but it’s far from the only financial technology partner involved in the project. The Gates Foundation has proven to be an effective unifying force in the past on a number of similar projects, which makes this attempt to bring inclusivity and interoperability into the world of digital finance an incredibly promising venture.

It’s certainly a contentious issue, especially in the modern world where elections can be swayed by the social media campaigns. Who, if anyone, should be able to control our social media presence?

Quite a few people would argue that governments and corporations should not have a say in what we do in our private lives. And a decentralized social media platform might be the way forward. Currently, the best way to achieve that seems to be the technology behind the cryptocurrencies – the blockchain. And this is not the stuff of a far-fetched future.

onG.social is gaining momentum and has a chance to revolutionize the way we interact with social media. It claims to be both simpler and fairer to the end user. Backed by IBM since 2014, the emergent platform promises stability and security along with rewards for the most prominent contributors. The content posted on onG.social can be automatically mirrored on other social platforms like Facebook, G+ and LinkedIn.

Needless to say, this holds a lot of potential for businesses, as with this platform they will be able to reach new markets that have previously been inaccessible due to the state censorship.

A fork is a result of an update to the specific coin’s programming. And it can either be intentional and unintentional. Both can potentially cause serious price fluctuations, and it is difficult to say which one can be more damaging. In both cases, two ledgers are created, and if an unintentional or accidental fork is a result of an unforeseen bug that is, ideally, promptly eliminated. The intentional hard fork is born out of the decision by the developer to update the programming (which results in discrepancies between the older and newer versions of the coin), and, in that case, users need to upgrade in order to continue to use the currency.

In short, forks introduce uncertainty, and that often leads to panic. They potentially devalue the currency and can downright destroy the smaller ones.

If the fork does come, the risks are very real, so be prepared to lose some of the value. If you prefer to keep your bitcoins, you should be ready for the future.

First of all, make sure you control your wallet without any intermediaries like various custodial services (Xapo or Coinbase, for example). Not all of them support forks, and if you wish to continue using them, make sure you know their stance on the issue. However, creating your own wallet is probably the best solution.

Do not rush in to invest into new coins immediately after the fork. It is better to wait for a confirmation from one of the major players to start buying and trading with them. The times after the fork are rife with scam opportunities.

Not all of the forks end up being real, but it is a lot safer to assume they are. Bitcoin Gold actually happened despite having been dismissed by large parts of the community initially. So, don’t panic every time the fork comes up in the news, but be in control of your assets and exercise caution in case they do.