Understand Bitcoin: The Currency Which Has Made Many Millionaires
Cryptocurrency is the no. 1 asset that people are investing in today, simply because of the high returns that it delivers, which is far more than what any bank or, for that matter, stocks or another form of investment gives back.
Many cryptocurrencies have again entered the market, but the one highly popular crypto and perhaps is the reason behind people getting to know about cryptocurrency is Bitcoin. If you have been living under a rock and are not aware of this digital asset, then to explain to you, Bitcoin is a decentralized digital currency through which you can make online payment without involving a 3rd agency.
In every digital transaction, a 3rd party such as a bank is involved, which takes away a tiny proportion of money every time a transaction is done; Bitcoin eliminates this 3rd party system, thus making it a peer-to-peer technology.
Moreover, the transaction fee is less considering the other forms of online payments. Another reason Bitcoin is more popular than any other crypto is that there are only 21 million units of Bitcoin in the world. Thus that and that’s why this digital asset only continues to rise.
It was only after Bitcoin made its several holders millionaires that people came to know about the power of this digital coin. However, Bitcoin is not government authorized. All cryptocurrencies, including Bitcoin, is made through a process called Mining.
Why investing in Bitcoin is a decision that you won’t regret
When it comes to whether one should invest in Bitcoins or not, people are divided in opinion. Some say it is an illegal investment, and because of a high volatile market, one is bound to suffer losses; some even refer to Bitcoin as a scam. Others, however, are of a strong opinion that this currency holds the capability of turning people into millionaires.
However, if you do your research, you will only come to one conclusion that this digital currency has a high capability to transform the market and the way we do our online transactions. One thing is for sure; if one decides to invest in Bitcoin, it is wiser to hold your investment for an extended period; it can be one year for some or five years for others.
It depends on how long you are willing to hold your crypto. The more you hold, the greater is the profit. Most people also do trading in Bitcoins. Again, It all depends on your preference; if you have the time and knowledge of trading, you can make some quick cash.
Many big names such as Elon Musk, Bill Gates, Serena Williams, Mike Tyson, and others are a few of the many celebrities who own Bitcoin. 1 Bitcoin is currently worth $47,941, which translates to INR 38,64,044. Of course, not everyone has $47k just lying around, and that’s why you can start investing with a small amount. For beginners, you can start by investing for as low as $5 or $10.
5 years from now, this amount you invested today will be worth $200 or even more. There are some platforms like bitcoin a valuable innovation through which one can buy or sell Bitcoins quickly.
Another significant thing is that the crashing of the Crypto market is quite common. It is a highly volatile market and is subject to booms and crashes. Many people, out of their fear of losing all the money they invested, make the mistake of selling their crypto when the market falls.
When it comes to cryptocurrency, one should not be impatient or in a hurry to make fast bucks. If you are one of them, this market is not for you. In conclusion, investing in Bitcoin will generate a high passive income and is much more profitable than investing in stocks or, for that matter keeping your cash in banks.
However, do your research before entering this market and keep this one piece of advice in mind: never invest more than 50% of what you own.