We can all agree that the trading industry is a very dynamic industry that is constantly changing.
Much of that can be credited to the industry being very tech-driven meaning leaders of the industry often jump on new trends and tools. Another reason is the high competitiveness that is driving innovators within the space to constantly find new leverage against its competitors.
Naturally, this means that whoever can predict the next big trend for the trading industry will be able to reap the benefits from that. In turn, this had us thinking, what could be the next big thing for the trading industry?
In order to try and figure that out, we’ve evaluated several of the biggest trends in trading and talked to experts about where they think we’re headed and the result is the following three changes that could happen to the trading industry.
1. New Technology and Devices to Trade On
So the most obvious but not necessarily the biggest change that the industry is facing is the introduction of new devices and systems to trade on.
Only in the last three decades have we seen this happen several times with the introduction of home computers, the invention of the Internet, as well as smartphones and tablets.
Each time this has happened, the trading community has been quick to adapt, and oftentimes the first in society to embrace the change. Not long after the computer and the Internet became mainstream did brokers from all over the world start adapting their systems to be supported on these new innovations.
The invention of the smartphone looked similar, and today, all best platforms offer you the opportunity of trading and handling funds directly from an app on Android or iPhone. There are even some brokers that provide certain versions of their platforms on Apple Watches.
Our point is that the most likely change that we should all expect is the introduction of different and better software to trade with. How and when this will happen is harder to predict, but it will come.
2. A New Instrument
At first, a new instrument might sound crazy or even impossible, but you’re probably forgetting two times that this recently happened. And we aren’t talking about new company stocks or a brand new commodity.
No, we’re talking about new assets with completely new markets.
The first one is the introduction of binary options that were created as a new and quicker alternative to other similar derivatives such as CFDs.
However, the biggest and most influential introduction of a new instrument is Bitcoin. Now, it’s true that Bitcoin wasn’t meant to be traded as an asset to begin with, and it would take a few years before it sparked the creation of a new market. But today, cryptocurrency trading is hugely popular.
One can trade on more than 2,000 available assets on a range of tools and with everything from world-renowned exchanges to well-established brokers and everything in between.
In terms of a new asset being created, there are two ways it can happen. It can either be through new inventions and innovation like Bitcoin and cryptocurrencies or it can happen when tighter regulation forces traders to look for new opportunities.
3. An End To it All
The last potential change is worrying yet highly unlikely.
There is a possibility that all forms of trading would become criminalized and that brokers and exchanges would have to stop offering their services.
Although, this is nothing to really worry about.
You see, there is too much money involved and too many traders and multi-billion dollar businesses that would be losing out on this if it ever happened.
Moreover, both forex trading and stock trading are backbones of our modern society and without those markets, the global economy would collapse.
Those are three potential and likely changes that the trading industry will experience in the next few years.
However, as always it’s hard to predict how a dynamic industry will change over time, and we will be following the development closely.