Wondering whether to invest in Bitcoin or not? Worry not as this article will help you know what bitcoin is, its importance, how it works and also if it is a good option. Well, I will let you know a few things about Bitcoin before you invest. Also, note that this article is to guide you to be able to make a decision that you will never regret after that.
What is Bitcoin?
Bitcoin is a cryptocurrency and also a worldwide payment system, or you can call it a digital currency. It is an online money. You can exchange it with other currencies just like any other currency. For example, you can buy bitcoins with US dollars or vice versa. Note that it fluctuates about other currencies as well.
This system is decentralized, meaning it does not work with any central bank, government or country. Therefore this means that bitcoins are not easily affected by the government or central bank mismanagement.
Arguments for Bitcoin
Easy To Send Money
We all love something that is fast and easy to use. No one would want to spend a whole day just doing one thing and not moving on.
As i said earlier, this system is decentralized, and thus it means that you can be able to send money to someone on the other side of the world in just seconds without the need of going through a bank intermediary, which will cost you banking fees.
With this fact, bitcoin becomes very popular. It has made it easier and simpler since you get money in just seconds, unlike the wire transfer which can take days for you to receive your money.
There are about 21 million Bitcoins that will ever be mined. And therefore this limits the amount of Bitcoin that can ever be produced at any given time. The price of Bitcoin has risen due to the limited supply. Your purchasing power can only be preserved when there is a set supply, and the currency is immune to runaway inflation.
We all love privacy, right? No one would want to get exposed or get their bank details exposed to anyone out there as this is a very private and sensitive matter.
Most people tend to think that bitcoin is simply a mystery. But actually, it is not. It is very private. You can see all Bitcoin transactions that have ever been made on the public Bitcoin ledger known as Blockchain. Your identifying details and name behind the transaction can never be seen, and so many people who do not like their banks spying on them prefer this privacy feature.
Cheaper to Transact
A lot of businesses today have to take MasterCard or Visas to stay competitive in the market. Remember these cards have to take some considerable fees out of each sale transaction. But a dealer who accepts Bitcoin cannot pay such hefty fees for their business. So the dealer saves more money compared to those using MasterCard or Visa.