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These Are 3 Australian Startups Benefiting From Cryptocurrency Popularity


Crypto is in. There is a spotlight being shone on the world of digital currencies and blockchain technologies. In the first half of 2017 alone, the cryptocurrency market cap grew by 800%. This has been driven by the high incidence of ICOs, inbounding public excitement and accelerating profits realised by investors.
Although there is opposing opinions to the market’s exuberance, the presence of such debate is indicative of market attention. 
Crypto is in. There is a spotlight being shone on the world of digital currencies and blockchain technologies. In the first half of 2017 alone, the cryptocurrency market cap grew by 800%. This has been driven by the high incidence of ICOs, inbounding public excitement and accelerating profits realised by investors. Although there is opposing opinions to the market’s exuberance, the presence of such debate is indicative of market attention.
This intrigue represents interest. And this interest dovetails into a signal for local startups to take notice.
The adage goes that talent follows money. Financial incentives, although not the monomaniac driver of creativity, can be a leading indicator for innovation. Investors are drawn to opportunities where there is yield and this often creates a self-fulfilling cycle that draws in the necessary talent to realise this potential.
Tellingly, cryptocurrencies are showing similarly seductive characteristics.
The growth of the market in 2017 exemplifies a swelling investment enthusiasm. This seems to have a cascading effect. Through a herding psychology, where market participants follow the collective’s behavioural leads, the injection of new capital sends a signal that there is an opportunity. As new entrants follow this purported positivity, their investments catalyse greater enthusiasm from the majority, which consequently leads to more investments. This cycle repeats itself as the appetite for these digital assets gain momentum.

But whether this optimism is justified or not is subject to time. Crypto assets are still an embryonic asset class, and despite an accelerating bullishness, there is a lack of precedent to which the market can be compared.
Counterintuitively, this ambiguity is the opportunity for startups.
If there are no definitive laws by which the boundaries of innovation can be restricted, startups therefore have freedom to create. Coupled with the availability of capital, entrepreneurs are rewarded for ambitious visions as a means to further develop a relatively infantile eco-system.
Source: James Nguyen , CONTRIBUTOR Opinions expressed by Forbes Contributors are their own.
https://www.forbes.com/sites/nguyenjames/2017/12/20/the-australian-startups-riding-the-wave-of-cryptocurrencies/#20f56081650a



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