Month: January 2021
Is Investing in Bitcoin a Good Idea?
These days, the world at large is a lot more dependent on the internet that even some personal debt collection services are doing their collection via email, social media and the likes. Truth is, even in the world of investing, especially cryptocurrency, numerous investors are thrilled with Bitcoin to grow their money.
The beauty about Bitcoin is the fact that everyone is welcome to invest. Furthermore, it is offering exciting opportunities to delve into a whole new asset class. While it seems scary to invest in Bitcoin, but so long as you have taken the time to understand the way it works, you’ll find out that it is just like other forms of investment. In addition to that, you have to take into account the regulatory perspectives towards Bitcoin is varied. Depending on your location, you must do your homework and see how your country sees it.
Should You Invest in Bitcoin?
It appears a silly thought among some people that a piece of Bitcoin or BTC is already worth thousands of dollars. BTCs are extremely valuable which is brought by its scarcity. Let us just use gold as currency example. Everyone knows that earth has finite amount of gold.
Whenever new gold is mined, there’s less and less of it left and makes it harder to find and more expensive to buy. That is basically what is happening in BTCs. Apart from the level of scarcity that it has, BTCs are very useful digital assets too. BTCs offer predictable and sound monetary policy in which anyone could verify.
The monetary policy for Bitcoin is among its critical features as a matter of fact. It is feasible to see whenever there are new BTCs created, when a new transaction is executed or even how many of it are currently in circulation.
Bitcoins could be sent regardless of your location. There is no bank that can block the payment or even close your account. Its level of censorship is resistant to traditional money. The blockchain technology of Bitcoin as well as its public ledge is what making it possible to cross border payments. And at the same time, it delivers an easy way among others to escape the failed fiscal policy established by the government.
Information becomes accessible and global through the power of the internet. A global and sound currency such as Bitcoin carries the same impact on global economy and finance. If you have thorough understanding of the feasible impact of BTC, then it will not be difficult to see why there are so many investors who are hooked to it.
Will Banks Embrace The Use of Cryptocurrencies?
During this digital age, we are hearing more about cryptocurrencies. The public has been skeptical about this and are asking its effect on banks. The question being raised now is will banks accept or adopt its use? Will they also venture in creating its own cryptocurrencies? If yes, how will this affect its clients.
Before moving forward, we should define cryptocurrencies first. Cryptocurrencies are digital currency that has no physical form. They are being used mostly in the web and are kept electronically via the blockchain. For its security, it uses an encryption technology to authenticate the movement of funds. With it’s increase and introduction to the web some Treasuries are considering to make a further research and study about this digital currencies. This would help them determine its role in the financial world and in a bigger picture, the economy.