Identity Theft Protection: Enable Cryptocurrency To Bounce Back?
Cryptocurrency was one of the significant stories of 2018 as its fall from grace led to a massive loss of fortune for those who held large swaths of utility tokens and cryptocurrency. In the early months of 2018, the total value of cryptocurrency and other virtual tokens was north of USD 800 billion, but by the time 2019 came knocking, the price of same stock cryptocurrency plummeted below USD 180 Billion. It meant that within the span of few months, the virtual currency lost its value more than 75% which is a staggering and severe blow to the future prospects of cryptocurrency.
But there is still hope for virtual tokens if the virtual currency enthusiasts can sustain a reliable source of the influx of funds. ICOs is one of the most viable option to reverse the fortunes of cryptocurrencies, and large scale adoption of blockchain-based applications can also enable a “rise from the ashes” situation for the cryptocurrency. But surely, there is another factor that can support virtual currencies and utility tokens to earn much-needed legitimacy: Identity theft protection.
Why Cryptocurrencies need Identity theft protection?
The volatility of cryptocurrencies originated from the fact that most people considered it a front for dark web mercenaries. The use of bitcoin for making purchases on Silk Road did not help the case of cryptocurrencies. But with platforms such as nOS.io and many other blockchain based products making headway in conventional corridors of the tech world will surely enhance the trust of the common user on cryptocurrencies. But any future ICO or blockchain based project offering crypto-based currency has a lot to gain from Identity theft protection. Starting from crypto-exchanges and going till the crypto-wallets there is a large number of businesses that need to integrate with KYC compliance to gain prominence after the recent slump in prices.
There are various ways in which identity theft protection will help the cause of cryptocurrency such as:
Customer Satisfaction –
Identity theft protection will safeguard users from account takeover that has quickly become the favored method for identity fraud and digital scams. Cryptocurrency based platforms will do them no favor if they have not integrated a reliable identity theft prevention system and the accounts of their users are being taken over by digital scammers.
Responsible Business Practices –
Integration with a reliable KYC service provider to avoid identity theft will help customers understand the resolve of platforms running on virtual currency. It will send a message that they take their services and security of their client’s account seriously, thus ensuring that only the rightful owner of an account can access their account. Financial and personal information provided for identity verification can easily be secured as most of the third party services are compliant with renowned data protection certifications.
Conventional Service delivery –
Most crypto-based platforms are considered a niche to service only a limited number of customers, but with measures such as identity theft protection and ID Verification services, these platforms can showcase their evolution towards a more conventional business model. It displays the intention of business operators to be more transparent in their operations and generate a user base that is truly sufficient in its right to have a secure platform.
What are the Chances of Crypto Resurgence?
There are 2 simple ways in which cryptocurrency can get the much-needed boost in its fortunes. One path is what researches and reputed analysts claim to be an organic route where the wide-scale use of virtual currencies and utility tokens for blockchain based platforms can help gain this digital currency to achieve similar heights of early 2018. The legitimate status of crypto verse will even enable it to become a true source of alternative economic system guided by individual tech platforms. The other route will only yield the same volatility that saw bitcoin and other major cryptocurrencies prices do a sinusoidal somersault in 2018. Prices might go even higher than previous highs but will decline even more significantly once the initial euphoria dies down.
If the cryptocurrency is here to stay, then the organic route is the ideal path to achieve legitimate status among masses. For that, crypto-based platforms and new blockchain based platforms that aim to raise funds via ICOs have to integrate reliable ID Verification and identity authentication systems. The more strict identity theft protection will be used, the greater will be the trust of end-users on the products and crypto-based economy. The ball is in the court of crypto enthusiasts that whether they want a more stable raise that cannot be reversed because of the pump and dump schemes or whether they want to enjoy the success of few months and want a short-term fortune from the hype surrounding cryptocurrency bubbles.