As we start 2020, there are the usual questions surrounding Bitcoin (BTC) that often follow the popular cryptocurrency. Such as, can BTC continue to bring value for users? Can it remain the de facto digital currency of choice? Will it face increased challenges from altcoin options that are available?
It seems Bitcoin’s reign as the leading cryptocurrency will continue into 2020 and beyond. That’s mostly because it has become so ingrained and integrated. Services are now embracing bitcoin, such casino games online for payment. Other cryptocurrency alternatives don’t have that backing. Bitcoin’s maturity is now vital to its success.
There are still numerous competitive advantages bitcoin has and the currency will retain them through 2020.
When comparing BTC to crypto currencies, its fixed availability is hugely important. It has become a relatively reliable source in terms of its model and production. For example, it is nearly impossible to manipulate Bitcoin’s supply. People know there are 21 million units, so the currency is unlikely to be diluted.
Why is it nearly impossible to enact changes in this way? Well, there is no current body that has the computing power that could harm the value of Bitcoin. The only way to do it would be to increase supply, and no group has the computational means to accomplish that.
Because Bitcoin is secure amongst cryptocurrencies, it has become a valuable denomination for anyone. As a financial means that is apolitical, the currency is even safer than hard currencies, which are often at the whim of socio-political situations.
The politicization of traditional monetary systems is not new, but it has ramped up in recent years. Bitcoin is not affected by these changing economic tides simply because it is not controlled by any country or coalition power block.
In terms of altcoins that could challenge BTC, Bitcoin is comfortably the most technical and technically sound. That comes with being a market leader in the crypto sector for many years. This technical prowess is exemplified by hash rate, which is better than rivals, even the popular Ethereum.
Centralization is also important and has helped Bitcoin remain one step ahead of other networks.
Security remains a major benefit of trading in BTC because it is not centralized at all. Blockchains driven by corporations are bound by the regulations that parent organizations must adhere to. BTC does not have the problem and has no influence from political actors.
We have seen how this will play out through the 2019 launch of Libra, a crypto developed and released by Facebook. Of course, Facebook has often been the target of regulatory clampdowns and CEO Mark Zuckerberg was forced to appear before lawmakers to defend Libra.
The company was widely criticized for its entry into the cryptocurrency market. Most of the critiques centered on the company possibly looking to corner the crypto market through monopolization.
Because Bitcoin is not bound to an organization, there’s no regulatory call to answer. There are no CEOs that will need to appear before regulators.