Bitcoin has taken over the world in the last decade, and it seems almost like it could be compared to a gold rush. The price of Bitcoin rose a lot in the last decade, and people are really going all-in on the possibility that it could be the next big thing. With all of the hope, there has also been a lot of negative opinions formed about the future of it. This post will focus on the positive aspects of investing and using Bitcoin in the future.
There are actually quite a few reasons why Bitcoin has gained popularity. It has really gained popularity from the younger generations, but even older people have taken notice and invested in the cryptocurrency. Below are a few of the reasons why people are investing in Bitcoin and why it has gained so much popularity.
Low Barrier of Entry
The most obvious answer why people are so involved in Bitcoin is because it is a very easy space to get involved. You can use fiat currency to get right into the cryptocurrency market, so it is relatively easy to go ahead and buy bitcoin or other cryptocurrencies that are on the exchange.
When any type of investment has a low barrier of entry, then it is likely going to get many more investors involved. It is common sense that if something is easy to do, then more people are going to do it. It is also pretty easy to switch your Bitcoin back to a fiat currency because exchanges offer satoshi to usd so that you can switch your Bitcoin back instantly. Satoshi is like the building block of Bitcoin. Satoshi to Bitcoin is like cents to a dollar.
Another huge selling point to Bitcoin is that it is has a lot of freedom in the payment system. When using fiat currency, there are records and traces of transactions everywhere. However, Bitcoin is a much more anonymous method of payment, and people like the privacy that it has if they are paying for something.
Let’s face it, most of us do not like there to be records of bank accounts, transactions, and other financial instances because we are private about our money. With cryptocurrency, there is a major allure to it because it is very private, and it seems more secure.
It is also why some people believe that illegal transactions take place with Bitcoin because there is less of a chance of getting in trouble from it. It does make sense to use Bitcoin is you need more privacy with a transaction because it certainly does promote privacy much more. In a digital world like this, your information could easily be leaked so crypto is appealing because it is more secure and trustworthy to people that use it for transactions.
No Dependence on the Government
The third thing that I would like to point out is that Bitcoin is a decentralized currency. With fiat currency, the value is heavily affected by what the government is doing. Things such as interest rates, yields, and other monetary policies can have a huge effect on how much fiat currency is with.
With Bitcoin, governments have basically no control over the value, so people feel that is a much more alluring option. There is a large push in beliefs that the government should not be involved with currency, and it should be decentralized. For that reason, cryptocurrencies like Bitcoin have become very popular.
For people that do not like the government and them getting involved in everything, Bitcoin makes sense because it takes some of the power out of the government’s hands with currency. Bitcoin lets the people dictate the market and takes the power out of the hands of one powerful party or person.
Possibility of Universal Income
Another reason why people are buying Bitcoin and believing in it is that there is a small probability that it could become a universal income that everyone uses to pay for things, even if you are in a different country. Right now, with fiat currency, it is a pain because there are exchange rates and other headaches involved with using the currency to buy things internationally.
With Bitcoin or another cryptocurrency, it could lead to fewer headaches because we do not have to worry about exchanging money ever again. It is definitely a long shot before Bitcoin would become an international currency, but it could be a possibility in the far future.
If it were to become the universal income and replace fiat currency, there would have to have been a lot of changes in legislation and beliefs because there is a good amount of people that are not on board with the idea.
As far as investing in Bitcoin for the long term, a lot of people are very bullish that it will rise in price dramatically. Even though it may seem like gambling, there are people that are putting a lot of money into cryptocurrency because they believe that the market is seriously undervalued.
There are groups of people that are certainly bearish and negative about Bitcoin and the crypto world, but some people are the polar opposite. There are experts out there that think that we are just at the beginning and that Bitcoin could be worth ten times or more than what it is now.
A large part of the buyers in the crypto space is buying it for the long term as an investment that could pay off in a huge way. With a lot of risks involved, there is a chance of a lot of rewards involved also.
If you found this post interesting about Bitcoin and the crypto market interesting, then please share it to spread the word about the world of Bitcoin. It would be beneficial if all of us learned a lot more about it and became informed. Thanks for reading this post!
I am a UK tech blogger and have been in the industry for over 10 years now, running Mighty Gadget and its sister sites and contributing to other sites around the web. I am passionate about all tech, including mobile, wearables, and home automation. I am also a fitness fanatic, so I cover as much fitness tech as possible.