If you’ve been keeping an eye on the news at all over the last month or so, you have undoubtedly seen a story or two about Bitcoins. For years this crypto-currency has been a favorite among Magic The Gathering fans and those looking to fulfill a chemical addiction without the authorities catching on.
With each passing day though, Bitcoins are finding their way into mainstream markets, and are poised to become a real alternative to government issued money. On top of all this is a steadily growing “stock exchange” for Bitcoins, which is making smart day traders a fortune. Could you be one of those day traders? Will your favorite online shop ever take Bitcoins? Let’s explore below so you can better understand why you should buy Bitcoins now.
The Exchange Rates Are Favorable, For Now
Most people that choose to buy Bitcoins do so for the investment value. A little over a year ago Bitcoins were worth around 40 dollars each signal cryptocurrency. Last month the currency reached an all time high at about $206, and is currently holding steady in the $100 range. Fortunes have been made by buying Bitcoins and selling them at the right time.
The Bitcoin mini bubble burst last month, and this has scared off a few novice investors; but this is actually a consistent occurrence best paid crypto signals. The important thing to realize is that each time that the currency recovers, it jumps to an even higher value. It is volatile; but very profitable. Plus, with a limited number of Bitcoins in existence the value is expected to continue climbing for the foreseeable future.
New Websites Are Taking Bitcoins Every Day
What drives that growth though? It isn’t just speculation, this would cause Bitcoin to collapse like so many other crypto-currencies of the past. Bitcoin survives and continues to grow because it is actually seeing adoption online. Currently, this is limited to singular outlets. Online clothing shops, service providers (coding, design, etc.), and other “novelty” products make up the majority of Bitcoin adopters so far; but they are just the first wave.
Currently, PayPal is trying to find a way to adopt Bitcoin into its current model, and this could mean that partner eBay isn’t far behind. This will lead to an explosion of Bitcoin use online. But there is an offline presence as well, with the first Bitcoin ATM opening earlier this month. Content aggregation site Reddit had a post earlier this week depicting a convenience store that had its very own “We accept Bitcoin” sticker, the only thing holding them back is better implementation.
Bitcoin is an online digital currency, just like a dollar or a pound but with a few exceptions. Introduced by Satoshi Nakamoto in 2009, Bitcoin engages in a peer-to-peer payment system where no intermediaries exist and goods can be securely transferred between any two people on the planet. It is associated with a heavy network of computers and the unit of currency for the Bitcoin system (appropriately called Bitcoin) can be simply acquired by joining the vast network. Bitcoin provides a fast cheap and secure transaction alternative but few are willing to take the jump for it. So the one million dollar question still lingers, is Bitcoin a secure investment?
Bitcoin is only a few years old, an interesting creation that has awed many and for the record, has attained a name in the top financial charts. Its popularity has spanned and it has led some of the top businesses like Virgin Galactic to consider it as an acceptable source of payment. Bitcoin prices increase at rates of up to 10% and continue to dominate as the alpha of the market and this has made many interested in investing in it.
Another special feature of Bitcoin is that it does not have a central bank and neither does a central government control it. It’s a global currency and its creation and existence lies behind a complex and geeky mathematical algorithm that enables it to shadow government related mishaps. Cases of political instability and government absurdities that plunge the economy down to shame and lead years of investments in a currency down the drain do not occur in the crypto-currency system. This creates a secure and friendly investment opportunity with low inflation risks.
With an ever-amazing upside, crypto-currency also has its downs. As mentioned, this thing is still taking baby steps; and with that comes great uncertainties. Bitcoin prices are volatile; currently increasing sharply and can fluctuate at 30% to 40% in a month. The world is still surprised at its emergence and there exists very few Bitcoin holders and Bitcoin. This leads to unanswered questions and cold fear among people as investing in a new unpredictable ‘gold mine’ can yield devastating effects. Its newness brings forth lack of regulations and scares off potential investors.