However, the market is quite turbulent with its frequent bullish and bearish phases. Investor interest keeps fluctuating, which results in market ups and downs. The crash in 2018 was probably the hardest that the market had ever been hit.
So what exactly is the biggest challenge that cryptocurrency is duelling with?
Well, one of the toughest challenges that the cryptocurrency market is facing is lack of security. Although various crypto exchanges brag about the advanced security measures that they are adopting, security still remains a major concern till date.
People need to realize that the system can be infiltrated, since all transactions flow through an online network. Once this network is breached, all the assets can be compromised. Despite security measures being in place, the system by virtue of being online, are vulnerable to hackers and security breaches.
Investors who funnel a lot of their money into crypto investments, find their sensitive information jeopardized. Many end up losing millions of dollars because of such attacks. As we had reported before, 2018 has been the year of crypto hacks, once again indicating how security remains one of the toughest problems that the industry needs to battle.
With greater resources and financial backing, the security systems can be developed further to resist such attacks from outsiders. However, external threats are not the only concern here. Internal security is equally important for most exchanges, because the price to pay for a disgruntled employee leaking sensitive information, can be too hefty.
There can be issues in the code or any other internal issues with the project, that need to be taken care of. The industry needs to come together and help strengthen the security of the system.