Blockchain Systems Could Soon Be Used for Standard Financial Apps

Ethereum is something of an anomaly within the crypto world, as its purpose wasn’t just to conduct transactions but also to provide users with decentralized features and services. It is a pioneer in the field of decentralized apps and finances, single-handedly creating these terms and being the originator of the processes. While the pricing situation has been quite dire over the past year, with figures plummeting quite severely, Ethereum appears to be on the mend.

Investors must remain prepared for resistance, as values won’t climb significantly overnight, but it’s plain to see that change is underway.

Traditional finance 

The use of crypto and adjacent systems within the classic financial platforms and services is still controversial to some. Regardless, technological progress is set to take place, and the two designs might merge sooner rather than later. Notably, card giant Mastercard is seemingly set to venture into the blockchain environment as part of its latest offering for its customer base.

This is set to involve a marketplace that’s solely powered by a decentralized ledger system. The initiative was reported on June 29th and will be in the works for the following months. The feature’s name is allegedly set to be “Multi Token Network” and was described by Mastercard’s Head of Crypto and Blockchain as a means to use the blockchain to improve regulated applications.

However, this isn’t the first time that the company worked with digital assets and tokens. Previously, it was involved in NFTs, as well as crypto infrastructure development and digital coin-linked cards. It also offers its customers several other products and features, increasing the system’s overall transparency. These applications come with names such as “Crypto Secure” and “Crypto Credentials.”

The blockchain would help by improving the data flow in banking, with the company hoping that, in due time, it will be able to bring its products to every single customer anywhere in the world.

Mobile Games 

The concept of play-to-earn is nothing new and has remained relevant over the years. However, it appears that the industry is recently experiencing a resurgence, most likely fueled by the good news in the market. As the industry continued to progress, the games players could access became more diverse, and now there’s basically an endless amount of options out there. They include traditional, classic options, such as solitaire, as well as newer ones, like puzzles.

The only thing that makes these games different from others is that you can earn cryptocurrencies by playing. Some of them have this as a built-in feature, so the moment you start playing, you begin to accumulate crypto as well. Others are different, and you only start seeing the rewards after watching ads or moving on to a new level. All of the coins you earn can later be deposited into an account or in your wallet for safekeeping.

Some games, however, ask you to use a specific website in order to deposit winnings. They will also show you exactly how much you’ve earned and what that equates to in crypto. In most cases, you’ll have to play quite a lot before seeing substantial earnings. For instance, 60,000 points can be as low as $0.02 worth of crypto.

Many also allow users to cash out during certain times. For example, if you’ve already deposited your money in your wallet, you’ll have to wait another week before doing it again.

Blockchain connectivity 

Connecting different blockchains so that each can benefit from the other’s features is nothing new. Yet, different solutions continue to appear. Recently, a new project was developed to help users that hold other altcoins, such as Solana, access the Ethereum Virtual Machine blockchains, like Arbitrum. As a combination of different scaling solutions, this platform provides low-cost trading environments that nevertheless come equipped with high throughput. The technology is essentially the same one that powers ETH.

Arbitrum is layer-2 scaling and is compatible with the Virtual Machine all the way to the byte code. This has enabled developers familiar with the programming language and requirements to create decentralized applications quicker. So far, other digital coins could access the Ethereum Virtual Machine space, but only by using wrapped tokens or derivatives. While this provided investors with easy accessibility, it also posed security risks.

Now, this interoperability is more transparent. Before, traders had to transfer liquidity and dealt with limitations because of the lack of it within the available pools. Now, the new feature allows the preparation of any EVM smart contract for on-chain execution. Peer-to-peer liquidity has also replaced the pools.

Staking 

Since the latest upgrade, staking has become one of the most discussed subjects in the Ethereum world. While many believed mass withdrawals would cause significant problems for the market, the reality is that many users actually turned to staking even more coins following the initial shifts. The number of staked ETH coins is over twenty-three million as of June.

The figures represent a continuous growing tendency that has been underway since April. So, while the first week of withdrawals, following the Shapella update on April 12th, saw exits that exceeded over a million Ethereum coins, the staking growth ever since has been like nothing the platform has seen before. There are several reasons as to why this was the case.

According to experts, what the upgrade managed to achieve best was that it eliminated any possible risk by allowing investors to stake and unstake however they see fit. It has also allowed the network to catch up with competitors and surpass their native coin staking percentage, a crucial thing for the entire Ethereum network. However, others have doubts about these movements’ long-term sustainability, as the regulatory aspect remains strong.

The United States, the seat of ample regulatory efforts, is home to around 48% of all regulators on the Ethereum blockchain.

There are several things you must have in mind when arranging a comprehensive investment plan. As the market develops, investors must be mindful of all changes in order to have a successful portfolio. While losses are inevitable sometimes, a strong strategy will take you further.