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The Future of Cryptocurrency in 2024: Matthew Sgherzi Discusses Opportunities and Challenges Ahead

Last year was quite eventful for the cryptocurrency industry. Despite some disheartening news about crypto exchange FTX, entrepreneur Matthew Sgherzi says there was still a lot to like about the industry in 2024.

For one thing, the total value of every cryptocurrency that is listed on CoinMarketCap increased by 115% last year.

“Regardless of how cryptocurrency has made you feel on an emotional level, you cannot argue with the mathematics of effective economics surrounding finite supply, technological use-cases which solve modern-day problems, and the significant returns in this hyperinflationary collapsing environment,” said Sgherzi.

As exciting as last year was, 2024 promises to take things to the next level. Below, Matthew Sgherzi provides his outlook for cryptocurrency in 2024, discussing potential opportunities and challenges that may shape the industry.

SEC Will Approve Bitcoin ETF

One of the biggest advancements in the cryptocurrency industry in years could come true in the early stages of the new year.

The U.S. Securities and Exchange Commission is expected to approve a spot Bitcoin ETF. Major financial institutions have requested approval for such, and if it does come to fruition, it could have wide-ranging effects on the industry as a whole.

Having a Bitcoin ETF available would open up crypto trading to a much wider audience. Through it, investors could invest in the largest crypto token in the world through traditional means, instead of having to buy it on a crypto exchange.

Other Coins Will Come Under Regulatory Scrutiny

The news may not be so good for some other coins, such as Tether and the USDT token.

Regulators are placing increasing scrutiny on the token and its issuing entity, labeling them as high risk. So, even though USDT is a stablecoin linked to the US dollar, it could end up being delisted.

Even though USDT is the most liquid and largest of all stablecoins and plays a vital role for DeFi, it could still end up facing challenges if regulatory bodies break it down.

The outcome of the USDT token situation could have wide-ranging effects on other stablecoins and the DeFi market in general.

Will Another Major Failure Happen?

Unfortunately, there have been some major failures in the cryptocurrency space in recent years, which has cast a dark cloud over the industry as a whole.

Last year, it was the aforementioned collapse of crypto exchange FTX. The company filed for bankruptcy. Eventually, CEO Sam Bankman-Fried was charged with, and convicted of, conspiracy and fraud. He’s set to be sentenced in March and faces as many as 110 years behind bars.

In 2022, Terra Classic and TerraClassicUSD collapsed, causing many people to doubt the stablecoin market as a whole. And the problems with Terra Classic continue.

The hope, of course, is that 2024 will be a “clean” year in terms of cryptocurrency collapses. The industry needs that to happen, especially if it wants to continue making headway into the mainstream market.

As Matthew Sgherzi says: “With the approval of multiple Bitcoin ETFs, and the subsequent future approval of ETFs around Ethereum, XRP, and other digital assets, it proves that those of us who were the riskiest pioneers in Web3 were right all along and those who have tried to beat down cryptocurrency are having the legitimization of this space forcing them to feast on the feet of their own words.”

Full-Blown Regulation Won’t Happen… Yet

Congress is trying to figure out exactly how to handle cryptocurrency in terms of regulation. Based on how slow politicians typically progress in Washington these days, it’s unlikely that anything solid will be in place before the end of 2024.

That being said, it does seem to be increasingly likely that some form of regulation over the market is coming at some point in the relatively near future. Cryptocurrency projects — and investors — will need to prepare for that, though that might be difficult without knowing what regulation will look like.

About Matthew Sgherzi

Matthew Sgherzi is an entrepreneur with a knack for trendspotting. Holding a degree in Information Systems from National University, he is known for navigating emerging trends ranging from Amazon FBA to cryptocurrency and Web3 technology.

Sgherzi is also dedicated to philanthropy and public service, serving as a previous Elder and current IT Administrator at his community Church and supporting the James Project in Central America. Matthew’s contrarian approach sets him apart in the entrepreneurial landscape, consistently capitalizing on emerging opportunities.

Sophia Masters
Sophia Masters
Sophia Masters is our politics writer, and she’s always across the latest breaking stories when it comes to often crazy world of politics. She’s skilled at filtering out the ‘boring bits’ of politics and brings her readers all the juicy detail and analysis.

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