Is mass adoption for cryptocurrencies on the way?

New report says ownership is skyrocketing

Is mass adoption for cryptocurrencies on the way?
Steve Randall

There could be a tipping point for cryptocurrencies in 2020 according to a new report, despite the backdrop of volatile values and failed exchanges.

US firm nobl Insurance estimates that at least 25 million Americans will own cryptocurrencies in 2020, approximately 10% of the population.

“This is significant because scientists at the Rensselaer Polytechnic Institute in New York have discovered that when just 10% of the population holds an unshakable belief, this belief will always be adopted by the majority of society,” says Greg Wixted, Chief Innovation Officer at nobl. “So, we believe this will be the most exciting year for crypto yet, the year where we finally reach the tipping point that leads to mass adoption of crypto currency."

Two separate reports from Finder and YouGov suggest that ownership south of the border has already exceeded 14% of the population. While a BoC report revealed reluctance among Canadian investors despite rising awareness.

For younger investors, the adoption of cryptos is likely to be much higher with nobl suggesting that 1 in 5 millennials will own the digital assets by 2021.

The acceleration is being driven by retailers and other businesses accepting cryptos as payment solutions and the expected impact of Stablecoin which may offer reduced volatility and additional security from government oversight.

A change of heart for the banking industry is also set to give more validity to cryptocurrencies with JPMorgan developing JPM Coin and RBC working on a blockchain payments system.

The nobl report predicts that, by 2030, consumers will become convinced of the advantages of the blockchain thanks to low fees and instant transactions, helping the sector to soar over the next decade.

It also expects that, in 2020, Internet-enabled devices will update the blockchain with personal details, which in turn will enable a financial institution to customize products like on-demand insurance and self-insuring devices.