Bitcoin is an online digital currency, similar to a dollar or a pound but with some 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 earth. It is associated with a heavy network associated with computers and the unit of currency for the Bitcoin system (appropriately called Bitcoin) can be simply acquired simply by joining the vast network. Bitcoin provides a fast cheap and safe transaction alternative but few are prepared to take the jump for it. So the one particular million dollar question still lingers, is definitely 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 brought some of the top businesses like Virgin Galactic to consider it as an appropriate source of payment. Bitcoin prices enhance at rates of up to 10% plus continue to dominate as the alpha from 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 will a central government control it. It’s a global currency and its development and existence lies behind the complex and geeky mathematical formula that enables it to shadow federal government related mishaps. Cases of political instability and government absurdities that plunge the economy down to shame and lead years of investments in the currency down the drain do not occur in the crypto-currency system. For more info in regards to how to earn bitcoins on android look at our own web-page.
This creates a protected and friendly investment opportunity along with low inflation risks.
Having an ever-amazing upside, crypto-currency also has its downs. As mentioned, this thing is still taking baby steps; and with that will comes great uncertainties. Bitcoin costs are volatile; currently increasing sharply and can fluctuate at 30% to 40% in a month. The world is still surprised at its emergence plus 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. The newness brings forth lack of rules and scares off potential traders.
The enigma surrounding the Bitcoin system is a major factor to be regarded. Anything can happen and everyone participating in the Bitcoin market is on a high alert. China in December 2013 eliminated the use of Bitcoin and this led to a drastic drop to its value from $1240 to $576 in just three weeks. Programmers also determine the functionality of this global currency and many question the thought of risking their finances for some group of geeks. This stops many from venturing into the program and increases the risk of Bitcoin investment ever so highly.