How Blockchain and Cryptocurrency Have Transformed Finance Forever

The Disruption of the Financial Sector Has Led to a Dramatic Increase in Blockchain Careers

The blockchain and cryptocurrency industry boom has led to increased adoption by the financial sector. As such, finance industry has been recruiting more blockchain talent each year over the past three years. The leading positions in the top 10 in demand blockchain careers are taken by developers, solution architects and project managers.

In 2021, the number of contracted blockchain specialists in the sector increased by approximately 40 percent when compared to the previous year. It is expected that the demand for blockchain and crypto currency talents will skyrocket in 2022.

How Crypto and Blockchain Technologies Became Mainstream

Blockchain technology was first used publicly in 2008 following the invention of Bitcoin to facilitate BTC transactions. The technology has since evolved to support numerous other functionalities.

According to the bitcoin whitepaper published by Bitcoin’s pseudonymous creator Satoshi Nakamoto, blockchain was designed to support peer-to-peer transactions while bypassing centralized intermediaries such as banks, which governments control. This was the main purpose behind the creation of Bitcoin and blockchain technology.

That said, the first crypto real-world use-case was recorded in May 2010 when Laszlo Hanyecz, a Florida programmer, bought pizza for 10,000 bitcoins. The bitcoin community celebrates May 22 as the Bitcoin Pizza Day to this day.

Of course, bitcoin has gained enormous popularity since Hanyecz’s purchase. Today, Bitcoin and other major cryptocurrencies are much more widely accepted thanks to their steady rise in value over the years. The price hike has attracted huge numbers of retail and institutional investors and this has inadvertently increased their acceptability.

Consequently, over 15,000 businesses worldwide accept cryptocurrency payments today. Dozens of banks across the US, Latin America, and Europe also accept crypto remittances.

Notable Financial Companies Accept Cryptocurrencies

Numerous financial companies have upgraded their payment systems to accept crypto payments.

They include PayPal, a leading online payment company. The firm currently has an ongoing partnership with Paxos, a New York-based blockchain technology company that allows US clients to buy and sell cryptocurrencies using their PayPal wallets.

Some of the supported coins include Bitcoin, Bitcoin Cash, Ethereum, and Litecoin.

PayPal currently has over 300 million users. The move to support cryptocurrency payments is expected to boost customer retention amidst fierce competition for crypto users.

Goldman Sachs, the preeminent global investment bank, has also joined the crypto foray and now has a bitcoin futures trading service.

Other leading financial companies and institutions that currently support cryptocurrencies include Ally Bank, Fidor Bank, Bankera, Revolut, and the National Bank of Canada.

Why Financial Institutions are Embracing Cryptocurrency

In its formative years, the crypto industry experienced significant pushback from major financial institutions and governments. However, the market dynamics have changed, and more enterprises are seeking to incorporate crypto products and service solutions into their offerings.

The financial sector, in particular, has scrambled to retain clients in recent years as droves of customers started utilizing crypto platforms such as Coinbase, Binance, and Kraken for crypto investment and remittances.

There are over 200 million crypto users globally, and the number is growing. This number is hard to ignore. Subsequently, some crypto pundits estimate that cryptocurrencies will replace physical currencies in the near future.

Some notable jurisdictions, such as China, have already launched their own digital currencies. Others such as Thailand and Hong Kong are considering a rollout of their own central bank digital currencies (CBDC).

Blockchain technology has also gained favor among some governments. China, for example, has been at the forefront of the blockchain movement and currently boasts over 10,000 blockchain patents. Progress in this area has been propelled by government incentives, which encourage tech firms to explore decentralized technology capabilities.

These changes indicate an imminent crypto revolution that will ultimately force the global financial industry to yield. According to current estimates, about 10 percent of banks in the western world support at least one form of cryptocurrencies. Analysts predict that the number will continue to rise in lockstep with surging crypto adoption.

Massive Changes in the Finance Mean Massive Changes in All Industries

The financial industry influences not only key global money markets but also affects other crucial industries in a nation. This is because the sector is a conduit for most transactions. Disconnecting financial institutions from global markets would, for example, lead to closed economies and technically curtail imports and exports.

The introduction of cryptocurrencies into a nation’s financial system has the opposite effect and actually opens up a country’s economy to foreign investments thanks to the decentralized nature of blockchain.

Besides this, some cryptocurrency-related activities, such as crypto mining, also boost local economies by creating employment opportunities in areas where mining farms are set up. Mining projects also provide additional revenues to electricity firms by helping them to monetize excess power on the grid.

How Crypto Is Influencing the Global Financial Industry

That said, the global financial industry is going through a major transformation right now, and digital payments are driving the change.

Increased crypto adoption is increasing reliance on cashless payment modes, and financial institutions are adapting to these changes by building their own crypto payment systems. This is driving blockchain innovation across industries as more businesses and companies seek to comply with the latest payment trends.

The real estate industry, for example, is now using blockchain to improve sales by leveraging non-fungible token (NFT) technology. NFTs make asset sales and ownership verification easy. They also support fractional ownership, making them ideal for crowdsourcing endeavors.

The entertainment industry has also jumped on the NFT bandwagon and is making use of the technology to launch NFT concerts and albums. Other industries that are slowly utilizing blockchain technologies and crypto include the insurance, retail, automotive, supply chain, and travel sectors.

The Rise of Blockchain Careers

Blockchain technology has demonstrated immense growth potential and enterprises around the world are scrambling to keep up. This had led to a rise in demand for blockchain talent. According to the latest LinkedIn statistics, demand for blockchain talent increased by over 500 percent in 2021 compared to 2020.

Furthermore, It is estimated that by 2023, worldwide expenditure on blockchain technology will have soared to almost $16 billion, which is a huge increase from the approximately $6.6 billion spent on the novel technology in 2021.

Some of the companies that are driving demand for blockchain talent right now are established blue-chip firms such as Google, Microsoft, Amazon, Goldman Sachs, IBM, Coinbase, and ConsenSys. Some of them hire blockchain specialists by the hundreds, thereby contributing to a surge in demand for the few remaining experts. Blockchain developers, solution architects, project managers, and UX designers are usually needed for each project.

The rush to develop blockchain systems and cryptocurrency networks is also creating demand for auxiliary professionals such as marketers, PR agents, accountants, and legal consultants who are needed to make each project a success.

Blockchain Careers is the premier job site for blockchain and cryptocurrency job seekers. It is also the Nr. 1 website for blockchain companies looking to hire the best talent in the industry.

The site has numerous utilitarian features designed to help candidates find blockchain jobs and cryptocurrency jobs.

Join Blockchain Careers today to enjoy top-tier recruitment service.