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Aging FB Users and Low-Income Teens Unlikely to Embrace Facebook’s GlobalCoin, Report Says

An analytical report says that massive adoption of the
soon-to-be-launched Facebook’s GlobalCoin will not be as easy as everyone may
think

On May 28, an analytics company Diar published its weekly report which says that Facebook’s coin aimed at the market of remittance and online payments may have serious difficulties due to the demographics of Facebook users.

Even though Facebook is one of the largest social media platforms in the world, aging FB users may become a significant barrier in GlobalCoin’s mass adoption.

Amount of retirees on FB has been doubling

Diar’s study demonstrates that among people who regularly use Facebook there are less than half younger than 35. As for retirees on Facebook, their number has been growing more than double since 2012 (people over 65).

As many researches have shown earlier, elderly people (from the Baby Boom generation) are the smallest group to make cryptocurrency investments, let alone understand how Bitcoin and other virtual coins work.

So, the report points out, they are highly
unlikely to change their attitude once GlobalCoin appears, since this age group
is a major barrier in crypto adoption, even from a popular social media
platform.

The study says:

“Facebook will be facing an uphill battle on multiple fronts, primarily starting from an aging user base whose knowledge of cryptocurrency likely to be near nil.”

It adds:

“Educating 25% of the world’s population about current cryptocurrency infrastructure that requires private-key management and the glaring reminder of the possible ultimate loss of funds is also unlikely as it would result in the project’s near instant failure.”

Facebook is losing battle on the teenage field

Apart from getting the majority of its users aging, Facebook is also noticed to be losing its teenage audience.

A recent study by the Pew Research Centre believes that Facebook has lost its attractiveness to teenagers as opposed to its rivals.

85 percent of US teen audience prefer making and watching YouTube content. Even SnapChat has got more teenage users than Mark Zuckerberg’s platform.

The study states that currently the growing dominant group of Facebook users are households with low income, including teens. That seems to be a poor basis for adopting GlobalCoin which Facebook has global plans for.

Contradictory data

On the other hand, a recent study by LendEDU reveals quite an opposite thing. As per the research, adult US population believes Facebook’s GlobalCoin to be an even more attractive investment than Bitcoin, XRP and other similar assets.

Many who took part in the LendEDU poll believe
that ‘Facebook Coin’ will be used not only for remittance to India via WhatsApp
but will generally transform the crypto market.

As previously reported by Ethereum World News, Facebook has set up a startup in Switzerland (a country with a ‘crypto-friendly’ attitude) to work on its upcoming stablecoin.

The post Aging FB Users and Low-Income Teens Unlikely to Embrace Facebook’s GlobalCoin, Report Says appeared first on Ethereum World News.

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Binance’s Bitcoin (BTC) Trading Share Falters In Crypto Bear Market

Binance’s Bitcoin (BTC) Trading Dominance Dives

Another week, another crypto-centric analytics report from Diar, a leading research unit in the nascent cryptocurrency ecosystem. In the startup’s most recent installment, released on Monday, Diar drew attention to the ever-changing role that Bitcoin (BTC) and that exchanges that support it have played in the cryptocurrency market at large. Interestingly, per data compiled by Diar, sourced from this industry’s foremost exchanges, Binance’s nearly-unquestioned hegemony over crypto may be at risk.

According to Diar, “Bitcoin trading volumes have taken a hit across major token exchanges over the course of 2018.” The research team, doing their best to portray this happenstance, noted that while Binance continues to dominate the crypto trading scene, its in-house BTC/USD(T) pair only accounts for 32% of the entire market’s total BTC/USDT volume. While this may seem like a hefty figure in and of itself, considering that this statistic for Binance peaked at 47% in June, the unprecedented growth of interest in altcoins through Binance may be worrying to Bitcoin’s diehard maximalists.

Binance isn’t alone in its inability to attract active Bitcoin traders. Hong Kong-based Bitfinex saw its BTC/USD market undergo an even worse popularity decline, with the pair now only amounting for 27% of the market’s aggregate BTC/USD volume, compared to 51% at the turn of 2017. This can likely be attributed to the platform’s uncanny ability to generate immense controversy in recent months, as seen by the Tether debacle and banking qualms.

Interestingly, “State-side” platforms, exchanges based in America, have “suffered” the largest losses in BTC/USD in recent months, with Bittrex and Polniex now only accounting for 2.7% of Bitcoin trading volumes.

There’s been one notable outlier in this case of ‘bear market blues’, with OkEX, widely lauded as Binance’s primary competitor, seeing its primary BTC market post a 6x market share gain since January.

Report: Crypto Market To Consist Of 66% Bitcoin in 2019

Although Diar’s report didn’t paint a positive picture for the short to mid-term prospects for Bitcoin’s hegemony over the cryptosphere, as it seems that traders are looking to altcoins yet again, a number of analysts from A.T. Kearney expect for BTC to continue to rule over altcoins with an iron fist, no holds barred.

Per reports from Forbes contributor Panos Mourdoukoutas, who has taken a liking to Bitcoin, A.T. Kearney, a multinational management consulting firm, reportedly issued a report specifically on Bitcoin’s market dominance statistic, which is currently situated at 55%. The corporation noted that it expects for the statistic to “nearly” reach two-thirds of the aggregate capitalization of cryptocurrencies. Citing reasons for this ~66% target, which isn’t out of the realm of possibility, the American firm purportedly stated that altcoins have “lost their luster” due to growing risk aversion tactics enlisted by retail investors.

Investors’ growing penchant for liquidating their altcoin positions for Bitcoin can potentially be chalked up to the U.S. SEC’s renewed crackdown on ICO-funded tokens. Just recently, the American financial regulator fined AirFox and Paragon, two lesser-known ICOs, in a precedent-setting case, instilling fear throughout the crypto investor base as a whole. As is common practice, if there aren’t enough rewards to justify the risk, investors won’t allocate capital to the asset class in question. This case with altcoins, a majority of which were parented by ICOs, is undoubtedly no different.

However, A.T. Kearney says this isn’t exactly the case, with the firm drawing attention to the ever-growing complexity of the nascent altcoin subset. Courtney Rickert McCaffrey at A.T. Kearney wrote:

“Our prediction is that Bitcoin will regain its dominance is supported by the ever-growing complexity among altcoins, most recently demonstrated by the ‘hash war’ that occurred in the Bitcoin Cash ecosystem.”

Although this isn’t a well-documented issue, a number of crypto-centric consumers took to Twitter during Bitcoin Cash’s hard fork to express how confusing the whole fracas was. This, of course, only legitimizes the aforementioned firm’s report, albeit only be a smidgen.

Title Image Courtesy of Andre Francois Via Unsplash

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