Under what circumstances can digital currency soar

1. Doggie coin has been doing well recently, but it's suspected of laundering money. Make a little bit of it

2. Hello, this year is a bear market, but this year is the first year of blockchain. We are all developing blockchain technology. In the second half of next year, digital currency will make a comeback. However, by that time, it will not be bitcoin and eth. With the continuous development and improvement of blockchain, the previous mainstream currencies can no longer keep up with the times.

3. The price of bitcoin is determined by supply and demand. When the demand for bitcoin increases, the price of bitcoin rises; As demand decreases, prices fall. At present, only a few bitcoins are in circulation, and new bitcoins are issued at a predictable rate of graal decline, which means that demand must follow this inflation level in order to maintain price stability. Compared with the market scale it may become, bitcoin is still a relatively small market at present. It does not need a lot of money to make the market price fluctuate up and down. Therefore, the price of bitcoin is still very unstable.

4. There are many factors that can affect the price of digital currency, which can be summarized as follows:

1. The factor of investment supply and demand is actually not independent, and investors' demand for digital currency is also affected by various news factors. However, from the price surge of last year, in the absence of obvious policy and other news, The admission of investors and investment institutions will also promote the price growth

2. Policy factors are also important factors affecting the price of digital red packets. In the past, the implementation and formulation of policies in South Korea, Japan, the United States and China have affected the price trend of bitcoin

3. The real financial factors and the instability of the real financial world make the demand for digital assets rise from time to time. For example, the Chinese government's policy adjustment, the brexit of the UK, the setback of the global stock market at the beginning of 2018 and other events all give play to the hedging characteristics of digital currency

4. Technical factors. Although the security of digital currency has been highly respected in its development, several technical crises still occurred in its development history. For example, bitfinex, the largest bitcoin dollar exchange, was attacked by hackers and stole 120000 bitcoin, and bitcoin fell by 25% in the following six trading days

5. Good news and bad news will affect the fluctuation of currency value

6. The market trend will be affected by the actions of the leading enterprises in this field, platforms, digital currencies with large market share, leaders with great influence in the market, etc

besides, choosing a good project can avoid risks to a certain extent. For example, HNB, the next generation of decentralized blockchain economy, is a reliable project. It relies on the real economy, and at the same time uses value exchange to continuously create endogenous value. It uses blockchain to build an economy, so that everyone can participate in it and get returns through labor, instead of relying on currency speculation.

5.

Why does the central bank issue digital currency? There may be the following reasons:

1. It helps to lower the threshold of financial services and better promote economic development

recently, the State Bureau of statistics released the relevant economic data in 2015: GDP growth in 2015 was 6.9%, a new low since 2009. Among them, the contribution rate of financial instry to GDP was the highest, with a year-on-year increase of 15.9%; In the first quarter, the contribution of added value of financial services to GDP increased by 20%. Before, for example, from 2012 to 2014, the contribution of financial services instry to real GDP growth was less than 10%, which shows that in the case of economic downturn and the contribution rate of real estate instry to GDP was only 3.8%, the financial instry has become an important support for China's economic growth

in order to further promote the development of finance, on January 15, the State Council issued the development plan for promoting Inclusive Finance (2016-2020), which proposed to "actively guide all kinds of inclusive financial service providers to rece financial transaction costs and expand the breadth and depth of inclusive financial services by means of Internet and other modern information technology.". The digital currency based on blockchain technology has the characteristics of convenience, quickness and low cost. The issuance of digital currency helps to build a new financial infrastructure, further improve the payment system, improve the efficiency of payment and clearing, help Inclusive Finance, and promote economic upgrading

2. Help to rece money laundering, tax evasion and other illegal activities

"digital currency" is convenient for cross-border circulation, and has the characteristics of easy use, anonymity and instantaneity. The current "digital currency", such as bitcoin, can be purchased and traded anonymously through the third-party Internet trading platform, which is more hidden and difficult to be found, so it is often used to launder money

in addition, at present, there are many internal accounts in the domestic financial structure, which are very scattered and lack of a unified national account, so it is impossible to supervise the specific flow of each sum of money or the process of each transaction, giving opportunities for tax evasion, corruption and money laundering

in the future, with the application of blockchain technology, the issuance of digital currency will help to enhance the central bank's control over money supply and circulation, better regulate and supervise digital currency, improve the convenience and transparency of economic transactions, and rece money laundering, tax evasion and other criminal acts

It can better rece the cost of currency issuance and circulation. For example, the proction of RMB requires raw materials (paper), machinery, labor costs, etc. At the same time, as a special commodity, the proction, circulation and recycling of RMB need to invest huge human, material and financial resources to ensure safety. In order to better anti-counterfeiting, we need to constantly update the printing technology. Although digital currency also has the cost of anti-counterfeiting, compared with paper money, it is more convenient to issue and circulate, which can rece the high cost of traditional paper money issuance and circulation, and also better serve our virtual economy

in addition, foreign countries are increasingly accepting digital currency. For example, California in the United States has recognized the legalization of digital currency such as bitcoin. Russian President Vladimir Putin thinks that it is possible to use digital currency as a unit of account. The Bank of England has also considered issuing digital currency, which has laid a good foundation for the circulation of digital currency

6. Why does it go up after setting currency mapping? It's mainly because digital currency is concerned by a market, so it's called the president

7. Buyers' confidence in the future of digital currency, as well as the impetus behind big capital, and many retail investors follow suit.

8. I don't know, but I know that the dynamic of the project itself will affect or even determine its price. For example, in the EOS super node election in June, the value will reach the peak before the results come out. For example, HT's vote on hadax will attract demand for HT as a vote, and the price of HT will certainly be higher.

9. Will dog coin go up?