Is Bitcoin a Good Investment?
Bitcoin (BTC) is known as the most wide-spread of the cryptocurrencies. If you are looking for some success ways to invest money, pay attention to this cryptocurrency. Those who believed in BTC and invested at the beginning (in 2009), have long received an impressive profit. They bought it for a few dollars, or even cheaper. Today they have billions of dollars in their accounts. Nevertheless, each investment has its own advantages and disadvantages.
Benefits of Investment in BTC
#1 You will never be stuck with inflation. The price of BTC directly depends only on how many people are willing to pay for it, because this currency is unaffected by any state in the world, or to any ordinary currency. BTC has limited emissions of 21 million units (users already have 16.8 million VTS), so the market will never overwhelm it. By the time of approaching the maximum, the price of the crypt will soar.
#2 No need to use the services of a third party. BTC is not tied to any bank. There is no center that would control BTC, which means that there is no official transfer fee. Wallets and exchangers still take a small fee for BTC transactions.
#3 Transparency and protection. The user may look through the chain of transactions. BTC wallets are at a first-rate level of protection, thanks to the special blockchain technology.
Risks of Investment in BTC
#1 You can both earn and lose. BTC rate is very changeable and unpredictable. It can bring not only income but also large material losses. The relatively small or big circulation of BTCs in the market leads to the changing of the exchange rate.
#2 BTC is not equal to real money. In a real sense, BTC exists only in the form of computer code. And if suddenly you have a problem with its sale, nobody will help you. The system has no connection with the real world. In addition, if you lose access to the wallet, it is no longer possible to restore it.
#3 Controversial regulation. BTC is faced with the problem of excessive state regulation. And in some countries, it is completely prohibited. After all, some cryptocurrencies have appeared today, and tomorrow they can also simply and quickly disappear, bringing losses to the investor.
In this way, taking into account all the pros and cons, the point is whether BTC is a good investment does not have a definite answer. In terms of profitability, yes. If reliability, predictability, and stability are crucial to you, then BTC is not the best option. The final choice depends entirely on you and on how much you are desirous of taking the risk.