According to BTCC, BTC margin trading surpassed PayPal in the volume of transactions, recording an incredible average turnover of around 480 billion dollars per quarter effectively in 2021. it is worthwhile to note that PayPal, the largest digital payment network worldwide could record an average turnover of around 302 billion dollars per quarter in the same year.
It is truly impressive for a twelve-year decentralized digital platform to reach a volume that is much above the globally well-known platform viz. PayPal, and besides is competitively associated with remarkable credit card companies such as Visa and MasterCard. The past skeptics of the crypto market highly claimed that especially Bitcoin or BTC margin trading will never be able to reach the heights of famous credit card companies. This was simply due to very high transaction costs and the speed of crypto in relation to the credit card. Nevertheless, this claim will be soon debunked since more and more people are choosing bitcoin as payment.
Comparing BTC margin trading and credit card transaction volumes
In 2021, BTC margin trading was not significant if compared with the transaction volumes of the famous credit card networks of the universe viz. Visa and MasterCard. Incredibly, MasterCard could report 1.8 trillion dollars per quarter in the same year, whilst, Visa recorded 3.2 trillion per quarter. So, if a user puts them into a perspective, then bitcoin will require to balloon its price to over 260,000 dollars in order to match the transaction volume of MasterCard, or the average transaction of bitcoin should increase by 260 percent, which is simply impossible to happen.
According to the Blockdata report, the year frame when bitcoin or better said BTC margin trading could effectively compete and be on par with MasterCard in terms of the transaction volume in dollars annually would be as early as 2026 to as far as 2060. Nonetheless, this report as well signifies that if bitcoin manages to scale its layer one solution, the blockchain, and adopt layer two solutions such as the Lightning Network, then realistically the transaction volume of BTC margin trading could massively increase.
This is simply because then in BTC margin trading, a user could process, send or receive millions of transactions and it requires two transactions to be recorded on the layer one blockchain. The first one is to set themselves up on the layer two networks and the second one is to settle the balance at the end.
The future prospects of BTC margin trading
No doubt, with the newest technological innovations as well as competent scaling solutions, BTC margin trading could realistically process more transactions exponentially in relation to its current potentiality and it would effectually overtake the globally famous credit card companies in terms of transaction volume.
If BTC margin trading overtakes and replaces famous credit card companies, it will not be shocking for users if its price triples or even quadruples over that time period, wherein an expanding user base must be enticing more investors of bitcoin.
In fine, https://www.btcc.com/ could assist a user by updating crypto margin trading, especially bitcoin.