In December last year, Bitcoin reached a new milestone as it hit a value of over $10,000 for the first time. With fortunes to be made from the cryptocurrency, investing in Bitcoin seems like an obvious choice, however many people are put off by the currency’s volatility. Regardless of this though, there are several benefits that come out of investing in Bitcoin, for both commercial and corporate purposes, with the rise of Bitcoin casinos as well as FinTech. Here, we’re going to investigate the reasons into why you should invest in Bitcoin.
The affordability of Bitcoin is never set in stone, with prices for the cryptocurrency spiking overnight in several cases. With its popularity soaring to new heights in recent years, the digital currency won’t be disappearing any time soon though, although there are several possibilities where the value of your investment could drop. Investing in Bitcoin is all about putting in what you can afford, so it’s as cost-effective as you want it to be. Naturally, investment into any currency is a risk, however the investments that you make can result in ridiculous amounts of profit. For example, if you had invested £1000 into Bitcoin in 2011, you could have £36.7 million today, so it is certainly something to consider.
Evades Political Unrest
Mainstream stock markets are constantly affected by political unrest, whereas Bitcoin alongside other cryptocurrencies are resilient to it. With government-backed currencies, many of our financial options currently are subject to rise and drop in value due to contemporary economic issues, and while Bitcoin certainly isn’t shy from depreciation, it’s able to resist other forms of instability. In fact, Bitcoin is actually quite partial to some instability, as recent political unrest in Asia may have been a factor behind a Bitcoin price surge.
All Bitcoin transactions are stored on a blockchain, which is a decentralised digital ledger which records almost everything of value, meaning that none of your Bitcoin transactions will be processed through a third party. People are often confused about the fact that the blockchain is publically available, however due to the millions, if not billions of nodes within the blockchain, the entire system is virtually incorruptible. When investing in Bitcoin, you’re able to keep your identity completely anonymous, meaning that you can remain safe when making the decision to invest in the cryptocurrency.
Major Investors Are Taking Note
From a business perspective, staying on top of your competitors could be a case of investing in the cryptocurrency. When it was first created, entrepreneurs weren’t interested in Bitcoin, or any cryptocurrency for that matter, however they’re now classed as a legitimate asset that can rake in large amounts of profit. Last year, industry leaders such as Andreessen Horowitz have invested hundreds of millions of dollars into Bitcoin funds after taking note that the financial infrastructure is now largely supported by cryptocurrencies of its kind.
We understand that making the leap into Bitcoin investment can be a daunting one; however the benefits often outweigh the risks. With the rise in popularity, there are now many ways to enjoy Bitcoin, but the way that you choose to invest it is down to you.