Bitcoin is a digital currency that was first introduced in 2009. It’s operates on a public ledger called blockchain, making each transaction pseudo-anonymous and unable to be manipulated. When Bitcoin was first introduced, only a select few underground computer nerds really knew about and used the cryptocurrency. Over the last decade, its popularity has grown immensely.
Some of the longest-running and most-respected industries are beginning to accept bitcoin and/or build applications that allow them to conduct businesses using bitcoin and its underlying technology, blockchain. With all that said, you may be wondering what are the real benefits to investing in bitcoin. In this blog post, Coin Cloud explores four benefits to investing in bitcoin.
Offers Several Uses
When Bitcoin was first launched, it was built with the aim of replacing fiat currency as the main means of buying and selling everyday items. While that idea has started to come to fruition with many companies, both small and large, now accepting bitcoin as a legitimate means of payment, the usages for bitcoin expand far outside of that.
Some of the other services that can be completed using bitcoin is the trading of securities, trading of land titles and property, insurance claims, payment rail for remittances, customer rewards, crowdfunding and so much more. We are very much still in the early stages of bitcoin and all that it can do. As it continues to mature, these services will become more developed and other usages will continue to pop up. So, if you’re in it for the long haul, investing in bitcoin makes sense because of the several impending benefits that will be present in the future.
Bigger Gains Than Losses
Although it is still hypothetical and there is no definitive answer, several experts believe that bitcoin will become a major component of the global economy in the next few years. If this does happen, bitcoin will begin to seep into every aspect of our lives in both domestic and international trade. This widespread adoption will continue to skyrocket bitcoin’s price, meaning the profits gained from this increase in price will be greater than the potential losses. While of course this is just a prediction, the positive progression of the cryptocurrency market as a whole over the last decade is a great signifier of what’s to come in the future.
Bitcoin is a Commodity
Sure, bitcoin is absolutely a currency and, as mentioned earlier, can be used to buy and sell everyday items like any other fiat currency. However, due to its price-instability, it should instead be viewed as a digital commodity, kind of like a digitized form of gold. By buying bitcoin, holders can take advantage of the fluctuations in its value and profit in exchange. As time progresses, the cryptocurrency will continue to gain traction and momentum causing its value to increase before eventually allowing it to be traded like gold.
Quick Returns and Easy Access
Unlike fiat currencies, where your funds must be tied up in a long-term investment account in order to make any real gains, the fluctuations in bitcoin’s price allow holders to profit in a short amount of time. In addition, any funds that you invest into bitcoin can be accessed immediately. For example, let’s say you have bitcoin account that’s valued at $10,000 and you go to a theater and want to purchase your movie tickets using bitcoin, you can very easily and immediately use a portion of your bitcoin to complete this transaction. With fiat currencies tied up in an investment account, liquidating those funds to be used for everyday transactions cannot be done as quickly as bitcoin.
These are just 4 benefits to investing in bitcoin. There are far more that exist outside of this list, but for the sake of your time, we’ll explore others in a later article. In short, buying bitcoin is a great move and the value of your investment will likely continue to increase over the years. As the cryptocurrency matures and more applications are developed, bitcoin will surely become a major asset within the global economy, and those that hop on the train early enough will reap all of the benefits that bitcoin will have to offer.
What Is Coin Cloud?
Coin Cloud is a Bitcoin ATM company headquartered in Las Vegas, Nevada. With over 627 locations nationwide, Coin Cloud boasts one of the largest and fastest-growing networks of two-way Bitcoin ATMs in the world. Our network has helped more than 144,000 customers buy and sell cryptocurrency since opening our doors in 2014. To find your nearest Bitcoin ATM, please visit CoinCloudATM.com.