Are you interested in investing in Bitcoins? If so, there are some key facts that you need to know about before starting to invest.
In recent years the world has become even more reliant on the internet. Because of this, there is no surprise that Bitcoin has grown in the interest of investors. Bitcoin is a global, secure, and digital currency.
One of Bitcoin’s unique selling points is that it is open to everyone. Bitcoin is also a whole new asset class. It can take some time to understand Bitcoin and how to actually invest. Does this sound interesting? Here you can read more.
Why is Bitcoin valuable?
It may sound strange but you can actually compare Bitcoin with gold. On this earth, there is only a limited amount of gold. As new gold is being found there is less gold left.
“Gold is a very under-owned asset, even though gold has become much more popular. If you ask any central bank, any sovereign wealth fund, any individual what percentage of their portfolio is in gold…, you’ll find it to be very small… It’s…imprudently small…, particularly at a time when we’re losing a currency regime.”
– Ray Dalio
Here is where you can compare gold with Bitcoin. There will only be a total of 21 million Bitcoin and the more Bitcoin that is being mined, the less Bitcoin is left.
Usefulness
Bitcoin is a very useful currency. Bitcoin provides a policy that easily can be verified by anyone. This policy means that everyone can see how new Bitcoin are being created, when the transaction is being made and exactly how many Bitcoin are in circulation.
You could see Bitcoin as a currency that resists censorship. This digital currency can be sent all over the entire world. There are no banks that can control Bitcoin or close any accounts. Bitcoin makes it possible for people to escape and avoid a failed government.
As soon as you understand the kind of impact Bitcoin can make on the global economy the sooner you will want to invest in the currency.
The price of Bitcoin
The price of Bitcoin is determined by how much the customers are willing to pay. So, there is no official price on Bitcoin. When you read about the price of Bitcoin you often get to know the price of one bitcoin. You can always buy as much Bitcoin as you want.
Get rich with the help of Bitcoin:
You can never be really sure if you will make money on Bitcoin. If you read somewhere that a person is promising you a fortune on Bitcoin it is likely a scam. Investing in Bitcoin is always a risk. You should never invest more capital than you can afford to lose. Of course, you can make money from Bitcoin. We recommend that you consult with a licensed financial planner before investing.
Where can you buy Bitcoin?
Where you can buy Bitcoin is a bit different depending on which country you live in. More developed countries often have more options. Coinbase is the largest Bitcoin broker and the one we would highly recommend.
You can also buy Bitcoin on these sites:
- Coinmama
– This site works in the majority of countries.
– High limit when buying Bitcoin using credit cards.
– A trusted broker.
- eToro
– Support 17 different kinds of coins.
– You can trade fast.
– The capital has a high risk.
Keep your Bitcoin safe
Even if Bitcoin is a digital currency there are thieves and hackers that can steal your money. It is important to keep your Bitcoin safe.
To keep your Bitcoin safe, we recommend that you use a so-called Bitcoin wallet. These wallets are built to keep Bitcoin´s safe.
What strategy is best?
This is a hard question to answer with only one answer. Which strategy is best for you depends on your lifestyle and needs. It is never a bad idea to talk to a financial advisor.
There is one strategy that is very popular and it´s called Dollar-cost-averaging. This strategy means that you buy a little amount at a time. Every day, week, or month. You decide how much and how frequently you buy. You need to keep the same dollar amount on each purchase.
Advantages with Bitcoin:
- User autonomy
Users often appreciate the autonomy. These digital kinds of currencies provide their users more autonomy than fiat currencies do.
- Discretion
A Bitcoin transaction is very discrete. If the user themselves don’t publish their transactions the purchase will never trace back to the buyer.
- Peer-to-Peer focus
A peer-to-peer focus means that every user can pay and receive payments from anyone in the network.
- Elimination of banking fees
There are no traditional banking fees when using Bitcoin. No overdraft charges, no deposit fees, and minimum balance fees.
Disclaimer: This is a paid article. KryptoMoney does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products, or other materials on this page. Readers should do their own research before taking any actions related to the company. KryptoMoney is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods, or services mentioned in the article.
