Cryptocurrency Vs. Covid-19: Will The Crypto Market Survive Or Thrive?

The coronavirus disease (COVID-19) pandemic has shaken the global economy and markets. Countries are scrambling to develop plans and strategies to contain this pandemic and survive while fighting it.

Of course, the cryptocurrency market will also be affected by this situation. Although the cryptocurrency market appears to be in the doldrums at the moment, many experts predict that this could be a turning point and once again dominate the market. This claim is supported by the following discussion: 

Cryptocurrency can provide answers to problems associated with traditional financial frameworks.

Therefore, since cryptocurrencies are not physical, there is no possibility of further infection.

To curb the spread of the virus, the Chinese government has banned used banknotes from public display and quarantined them. This has led Chinese citizens to turn to digital payments. Euromoney reported that major central banks have begun considering creating their own forms of digital currencies and exchanges to overcome this situation. This will further increase the value of cryptocurrencies, crypto exchanges, and crypto wallet-related assets. How will COVID-19 change the application scenario for cryptocurrencies?
Few countries caution against the use of banknotes and prefer online payment methods. That said, when asked if banknotes could spread the coronavirus, a spokesperson for the World Health Organization said,

"Yes, it's possible, and it's a good question. We know that money gets transferred frequently and can harbor all kinds of bacteria, viruses, etc. We encourage people to wash their hands and avoid touching their faces.". We recommend using contactless payments if possible.. 

Against this backdrop, many people are switching to using cards and other digital payments.

There are currently various cryptocurrencies, crypto wallets, and crypto exchanges, all of which can be helpful in pandemic situations like this. Here are some useful usage examples. 

1.Digital cash

For example, Tether (USDT) describes itself as a “blockchain-enabled platform designed to facilitate the use of fiat currencies in a digital manner.” In other words, Tether is electronic money that is especially useful when you need to make contactless payments and save on transaction fees. This cryptocurrency allows users to transact with fiat currency standards using a blockchain system, limiting the negative factors associated with digital currency standards. 2. Supply chain improvement

Operating your supply chain effectively is one of the key parts of a successful business. Using blockchain innovation to improve and accelerate supply chains is a great idea in these crazy times of a pandemic where people are panic-buying products and clearing all the shelves.

Thanks to blockchain innovation, stores can monitor and improve their supply chain operations from the earliest start of the process. For example, Walmart is using blockchain innovation to enable associates to scan products in the store's app and track them from a snapshot of creation to the moment they arrive on the shelf.

Additionally, Maersk, one of the world's largest shipping companies, is already using blockchain innovation to track cargo ships. 3. Use of smart contracts

Perhaps the biggest application of blockchain innovation is smart contracts, which are self-executing contracts. These contracts automatically confirm, validate, and process transactions if all contract principles are met. This allows parties to reduce risks and costs and increase profitability.

This application of blockchain innovation could prove useful even during the pandemic. A good example of this use case is maintaining accurate health records. The situation is similar to storing medical records in smart contracts. Data is available to all parties. This means all hospitals and research institutes have instant access to critical data without delay. All data is tamper-proof and transparent.

4. Is digitalization the right way to go?
However, if a crisis occurs and people refrain from making physical payments in any form, crypto holders will definitely be in a better position. Thanks to the various useful features of several current cryptocurrencies, the needs of each sector are met with tailor-made solutions.

Although cryptocurrencies can only be used as a means of payment, some notable tokens are aimed at understanding problems in specific areas and are created to play specific roles within the system.

For example, Digibyte, one of his cryptocurrency extensions that has been on the cryptocurrency scene since 2014, can be called the Paypal of the blockchain industry. This allows users to conduct fast transactions in a protected manner with minimal fees.

Based on this, Tokoin would like to support the digitalization of development companies' organizations. By issuing $TOKO, MSMEs will be able to interact with each other on the blockchain without making physical transactions; everything will be done within the system. Another company that can help people during this difficult time is MediBloc, a blockchain company that aims to shift the approach to medical data to be patient-centric. The company is building a customer-centric medical information ecosystem.

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As we move towards a more digital future, many cryptocurrency companies are showing they have real value. But perhaps the best example of why we need digitalization is what's happening right now. Doing business online and staying away from cash is one of the main reasons for the increased use of cryptocurrencies as a deadly pandemic spreads across the world.

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