Bitcoin is a virtual currency that is much better than the traditional money and currencies we use. The network, called Blockchain, is essentially software that allows you to manage and secure Bitcoins (BTC). The system is designed so that it is impossible to get into this network in order to steal your money.
Blockchain also does not allow you to know the identity of the users who can make transactions on the network. Blockchain records all of your transactions, which is similar to your personal accountant who records all of your financial activities in the ledger.
If more than 10 years ago, Bitcoin was just a concept of a means of payment, now it has become an official method of payment for many companies.
Bitcoin has become so popular that it is even traded on the cryptocurrency market, which has become a kind of addition to the traditional stock market.
Let’s examine the main reasons for the popularity of Bitcoin cryptocurrency
What are the best ways to keep money safe? Investing in BTC
Banks are building their reinforced concrete, and the money in them is in vaults with a very thick wall. Anyone who has tools can destroy such a physical storage facility. However, in the world of computers, you need an IT genius who has the special skills or knowledge of encryption technologies to crack a particular system. And it is not easy to find such a specialist on the street.
However, even if you find such a specialist, and he knows how to crack Blockchain Blockchain, it is still impossible to crack this system, because it uses complex cryptography, the process of decrypting which requires ultra-fast calculations, which today’s computers simply can’t cope with.
Knowing that your blockchain account with your bitcoins will not be able to be accessed, you can safely make transactions anywhere in the world. In addition to the fact that your transactions are secure, Blockchain Bitcoin allows you to settle between parties much faster than with credit cards. So you can make your payments at the touch of a button on your device.
Bitcoin (BTC) Price
The cost of Bitcoin is increasing as people and even states take it – for example, in Japan Bitcoin was allowed to pay back in 2017. It is not enough to say that Bitcoin is very similar to traditional currencies, as the cryptocurrencies are far superior to them. Bitcoin growth also depends on the market sentiment, while regular supply and demand laws also play an important role here.
There was a time when the value of Bitcoin was as high as $20,000, whereas in 2017, market participants could also include those who bought coins for less than $1 or magnetized them when they could do so on a desktop computer.
This is the opportunity to earn money that attracted the attention of many potential investors.
Long-term investments in Bitcoin
The value of Bitcoin is constantly fluctuating. We often say that Bitcoin is volatile. As in the Forex market, this gives investors and traders the opportunity to earn money. As the number of Bitcoin buyers grows, so does the value of the coin. For such investments it is very important to choose the right time for investments. If you invest at the right time, you can become a millionaire overnight.
A simple caveat to trading any cryptocurrency assets is that before you start trading, you need to make sure that you have learned everything about this kind of trading. In addition to what you hear from other people, you need to conduct your own asset and market research.
Bitcoin’s privacy is getting better
Although all Bitcoin transactions are registered in the public register, specific information about who made the transaction will not be known. Thus, the key advantage of cryptocurrencies is their anonymity.
If you are conducting Bitcoin transactions, you do not need to worry that confidential information pointing to you may fall into the wrong hands – including those of the authorities.
Transaction speed Blockchain, ease of use, no borders
One of the many advantages of Bitcoin is that it can be sent anywhere in the world where there is an internet connection. Since bitcoins are not tied to a centralized system, the transfer of funds becomes much more efficient. However, your cross-border Bitcoin transfer will cost you a fraction of the cost of sending money in a traditional currency.
Impact, Recognition, Popularity Cryptocurrencies
Since it became known to the general public, Bitcoin has become increasingly popular and is widely covered by the media. Websites, newspapers, magazines, social media and television often discuss Bitcoin. There are even documentaries explaining what Bitcoin is.
Now you will find many online and offline retailers who accept Bitcoin as a payment. Among these companies:
- Coinbase (Amazon, BestBuy and other gift cards);
- Microsoft Store;
- Shopify, etc.
Impossibility of counterfeiting
Bitcoin can be mined, although this requires expensive equipment and considerable energy costs. Many people and companies have been doing this, but over time the mining process has become more complicated. This is another reason why Bitcoin has become so popular.
At the same time, the process of Bitcoin mining is what ensures the safety of the network. Bitcoin mining consists in computers solving a mathematical problem for which the answer must consist of a combination of 64 digits. After this answer is confirmed, the Bitcoin transactions are added to the blockchain registry.
Miners are rewarded with new bitcoins for this work, and this work also ensures that the bitcoin transactions are not fake but valid. This is the process that helps all participants to keep proper records of transactions, while the network does not have people who use centralized authority to deal with certain issues. It also suggests that Bitcoin blockchain eliminates the human factor, which, for example, could turn out to be elementary corruption, abuse and manipulation for everyone.
I guess you can see why Bitcoin is so popular now. Bitcoin has gained worldwide interest thanks to its unique concept – a currency with a decentralized system.
Bitcoin is also an excellent investment gateway. Clearly, the higher the risks, the higher the reward, but investing in Bitcoin requires you to have sufficient knowledge of the cryptographic industry and investment in general.