We live in a world that is constantly changing and it is said that nothing lasts forever. However, it is a known fact that the human mind has an affinity for stability and that it doesn’t work well with dramatical changes. The shape, nature and value of money has changed over the years. There are some key characteristics for the currencies (sustainability, rarity, portability, divizibility) that determine their acceptance among the society. Despite the evolution of the currencies, we have a tendency of thinking that the current ‘shape’ of the money is undying and unchangeable.
The volatility of the Bitcoin is and has been a very disputed subject among online platforms and that is claimed to be its main characteristic. In the past year, even if Bitcoin has proved itself to be the most ‘high-tech’ currency there still are many skeptical people that don’t believe that the coin will last for long, because they think that it is impossible for a currency that doesn’t exist physically, to be worth a penny.
The experts’ opinion is that the volatility state appears two times for every currency: when a currency is born and when the currency dies.
This volatility is an essential ingredient in the currencies transition.
Nobody knows what will come next, but analysts and experts are speculating in regard to what will happen. Some might think that this will all end soon, some tend to think that this is just the beginning. The path to adopting a new currency is not an easy one, but the cryptocurrency available range could be a step to a form of money globally accepted. Still, the volatility part will continue to be the reason why these virtual coins are questioned.