Cryptocurrencies Losing Their Star Value Status In the FinTech Arena

Cryptocurrencies are officially experiencing their longest bearish trend run since the inception of Bitcoin in 2009. The trade market value of the top 10 cryptocurrencies has been cut short by 80% in last 12 month, which has made many Fintech pros to believe that the time has not yet arrived for the cryptocurrencies to be at the forefront.

The Paris Fintech Forum which concluded last week saw about 3,000 entrepreneurs, investors, bankers, and regulators mark their presence to discuss and decide the future of Fintech industry.

However, the major focus was on the Bitcoin and its continuous bleeding due to bears trends in the market. The discussion was focused on Blockchain technology rather than cryptocurrencies since many delegates are of the belief that crypto boom which is predicted to take place every year might be far from taking the centre stage.

Public Perception Of Crypto Are at an All-Time Low

The National, a reputed publication has recently reported that the public perception over crypto security is falling down, and rightly so, as a total of $1.1 Billion worth of cryptos were lost in theft in the first half of 2018.

The security factor has been a growing concern in major parts of the crypto ecosystem, as there are not enough measures in place to control if not curb such heist from the hackers. Cryptocurrencies were always promoted as a private and secure form of financial exchange, and the Blockchain technology still remains tamper proof for a larger extent.

It’s the crypto exchanges which are at fault, which many people don’t realize. The larger heist which amounts in millions of dollars are always on some exchanges and due to the negligence and not enough measures were taken in time, rather than crypto being insecure.

David Schoenberger, chief innovation officer of a digital security company Krypti, said

Currently, many of the world’s crypto-applications lack the security to prevent hackers from stealing private keys and wallet addresses”

Conclusion

FinTech Conference which used to be majorly focused on the cryptocurrencies up until last year, seemed pretty disappointed with the phenomenon this time around. Investors and bankers were more focused on improving the traditional banking system rather than focusing on cryptos and its current status.

The main problem and major contributor toward security lapses related to cryptocurrencies is the indecisiveness of major governments around the globe. They are neither ready to make cryptocurrencies a legal entity of finance, nor they are ready to completely ban it. This is where new startups and exchanges make use of the loopholes and later become a victim of hacker attacks and thefts.