Top reasons to own Bitcoin this Year
Looking to own Bitcoin this year? Here is why you should invest and own this digital currency this year.
This digital currency has been a great investment asset for the past thirteen years. Despite Bitcoin being a very volatile asset, volatility entices investors to invest because it assures them of potentially high returns in the long run. Here’s why you should purchase or invest in this digital asset this year.
Perfect Hedge against Inflation
Fiat currencies are subject to inflation because the government can print more money and release it to the public. On the other hand, Bitcoin is not subject to inflation because it has a hard limit of 21 million Bitcoins. As a result, investors prefer investing in this electronic currency so they can protect their money from inflation.
No central authority can regulate or alter the Bitcoin system. As a result, this virtual money can potentially make more huge returns than the rate at which conventional currencies lose value over time. On the other hand, this virtual money undergoes a halving every four years. The halving process is good because it ensures that inflation is still impossible and this digital money remains scarce.
This virtual asset is inflation resistant and has the potential to generate high returns. Also, Bitcoin is not related to assets like stocks and bonds, which makes it a perfect addition to an investor’s portfolio. However, the investor should consult a financial advisor to make wise and informed decisions.
Ease of Starting
Investing in Bitcoin is not a huge or difficult task. Nevertheless, investing in this electronic currency requires keeping a few rules in mind. For instance, if you are an investor just beginning with this electronic currency, you should only add a small fraction to your investment portfolio. Do your research thoroughly to learn the techniques, advantages, and disadvantages of investing in this virtual currency.
Having understood everything about this virtual asset, sign up for an account with a trusted exchange such as BitAlpha AI, deposit a few dollars and start familiarizing yourself with various Bitcoin basics. Moreover, you will have to set up a Bitcoin wallet on your smartphone, desktop, or hardware device. There are Bitcoin wallets that people store online or in the cloud.
Increased Bitcoin Adoption
When Satoshi Nakamoto introduced Bitcoin to the public, many people did not believe in this virtual currency and thought it was a scam. However, the rate at which people invest and trade this virtual currency has increased significantly over the past decade. There is a growing number of businesses that accept Bitcoin payments.
In other words, one does not have to buy this virtual currency and let it stay in their wallet. Instead, some stores now accept these digital money payments. Several websites are also taking these virtual currency payments.
Blockchain is Here to Stay
After Bitcoin’s introduction, it disrupted the traditional financial system, which showed that blockchain technology and Bitcoin are not going anywhere. As more large-scale and small-scale businesses embrace this virtual money, more e-commerce operations build their entire business on this virtual currency.
On top of that, investors add this electronic currency to their portfolios. While the value of this virtual currency can be highly volatile, there is a reason to believe that the considerable Bitcoin market will become an increasingly firm and accepted part of the regular economy. In the end, blockchain technology, a digital distributed ledger, is here to stay since it enhances transparency. A public database that everyone can access records the Bitcoin transactions.
It is never too late to invest in this electronic money, so if you are yet to invest in this digital asset, you can. This virtual money has a high potential for huge returns in the end.