Are bitcoins a good investment? This is one of the most common questions asked by those who are interested in bitcoins.
Bitcoin is a new type of digital currency that is dispersed to a network computers used by miners and users around the world. It has cryptographic keys and can be used to purchase services and products online. Bitcoin is also accepted as a form of payment in some physical stores and traded in bitcoin exchanges.
It doesn’t have a clearing house or centralized authority such as a central bank. Miners and users manage the peer-to-peer payment network and Bitcoin is transferred directly between users online, resulting in much lower transaction fees.
This digital currency is created through Bitcoin mining. Miners use computers and mining software to solve complicated bitcoin algorithms and approve Bitcoin transactions.
They are given transaction payments and new bitcoins created from solving Bitcoin algorithms.
The amount of bitcoins available is limited. As more bitcoins are produced, the process of mining bitcoins gets harder as well. Blockchain, a public ledger, records all bitcoin dealings and showcases the respective holdings of every bitcoin owner.
It is open to everyone who wants to verify transactions, making bitcoin more predictable and transparent than traditional currently.
The transparency also prevents double spending and fraud.
So, are bitcoins good investment options? An underpinning concept behind this digital currency is that only 21,000,000 will be available.
This means that bitcoins may remain constantly valuable or its value may increase, perhaps even higher than the value of other types of currency that can be printed boundlessly.
The growing popularity, immutability, security, network security and status as a unique type of currency are other reasons why it may seem like a good investment.
Bitcoins also allow users to stay anonymous while purchasing services or products online. The transaction costs are also much lower and the public ledger can be accessed by anyone, which can help prevent scams.
On the other hand, there is still a good reason why you may want to limit your bitcoin investment. This digital currency is very volatile. It’s not very stable, which would make it hard to have confidence in bitcoins as a long-term investment that you can depend on. It would not be very wise to spend all your money on such a volatile asset. A good move would be to avoid investing more than what you’d be willing to lose.
Bitcoins also not protected and insured by government agencies, so they can’t be recovered if the cryptographic key are hacked or lost.
Losing the secret keys means losing the associated bitcoins as well. The chances of recovering your investment are zero.
Bitcoins will probably gain more public approval over time. However, it is very volatile and extremely sensitive to news that could have a negative impact on the currency.
If you want a more predictable investment with intrinsic values, it might be better for you to invest in stocks as it has great business prospects, management teams and strong fundamentals.
The best way to get started and get guidance in investing in Bitcoin or any other cryptocurrency is to join the Crypto Investing Pro program.
Crypto Investing Pro is a course with over 40 videos helping you build and manage your cryptocurrency portfolio while protecting it.
I highly recommend buying this course to get started in a good path to successful cryptocurrency investment.
Now is the TIME! You don’t want to look back and say you regret not buying any cryptocurrency because the market has gone up. It will continue to go up and now is the time to invest in it.
You don’t need a lot of money to do so. You can invest as little as $100 or whatever amount you feel comfortable investing.
Get started now!
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