7 Reasons Why Investing in Bitcoins in 2018 is a Wise Idea Most financially successful people have invested in bitcoins. According to a recent survey that was published byLendEDU in December 2017, about 78% of the investors believe that bitcoin returns in 2018 will be more than those of 2017. 75% of the investors intend to increase their bitcoin investments in 2018. What is making these investors very optimistic about bitcoins? The article looks at 7 reasons why you should invest in bitcoins in 2018. The entry of hedge and banks into bitcoin investing has increased the popularity of cryptocurrencies. No other asset in the financial sector history has ever offered such crazy returns. Until the crazy returns stop, the boom will continue. …show more content…
Decentralization means that all transactions remain anonymous. Transacting parties in bitcoins only share their wallet address and nothing more. This ensures that the personal details of the transacting parties are never known. Decentralization also prevents governments from levying taxes on cryptocurrency transactions. Most countries do not tax gains from cryptocurrencies. This lack of taxation makes transactions very cheap as compared to traditional forms of payment. The decentralized nature of bitcoins make them immune to geopolitics and happenings in the international financial arena. The value of bitcoins is not dependent on oil prices, the dollar or even Euros. 3. Transactions are Effected Immediately Traditional means of payment usually take a lot of time. Let us take an example, assume that you want to send your friend some money via his bank account and it happens that he belongs to a different bank. Normally, this would take about 2 days before he is able to access the money. This results in the wastage of precious time and delays many other things. Transacting using bitcoins offers instant solutions. You are able to transfer any amount of money within seconds. The most a transaction can take is just a few hours. This is a more effective way of making and receiving payments in business. Within a few minutes, you are able to receive or send payments using bitcoins. You do
Cryptocurrency is a digital asset that serves as a medium of exchange with no central authority and was created to prevent the issue of double spending. This problem is solved with the use of blockchains where miners confirm transactions on a public ledger. As of today, there are over 1,000 different types of cryptocurrencies, and at least 600 of these have listed market caps of over $100,000. Bitcoin, Ethereum and Litecoin are top cryptocurrencies trading today with their combined market cap topping $331B. Bitcoin, created in 2009, is the biggest cryptocurrency and has recently reached a net value of over $270 billion, with much of its growth being in the last few months. This has led to much
The policy of cryptocurrencies tends to be different across the world where the government can support or resist the implementation of cryptocurrencies (DeVries, 2016). For instance, the US government is likely to support cryptocurrencies by allowing those digital currencies to be used as local currencies (Hillard Heintze, 2014). In the UK, however, the government opposes by withdraw research grants in Bitcoin because of the stockpiling bitcoin (Chan et al., 2017). Although China is considered as the best place to mine bitcoin because of its cost efficiency, in 2013,
In the ever-changing and uncertain world we live in, peace of mind comes at a premium price. The federal government is working hard to fix the current economic crisis. James Crowski, the Senior Counselor of the Economic-Relief Advisory Sub-Committee in United States Senate, is proposing a radical shift in the way Americans interact with money. In hopes of reforming and strengthening the American economy, we propose to replace the primary currency of the United States from coins and paper tender to gold-infused cinder blocks. For example, a 20 dollar brick will have 20 dollars worth of gold molten into it. “After much deliberation” says Crowski, “we have determined that this is the best course of action to help the American people to
This is dangerous thinking and no one can predict the future. They will say what they can to calm you and to try to convince you, but it's a lie and the information that they present can be misleading. In addition to upward trends, markets also go through long periods where the investors lose money. Market timing is not an exact science and is very difficult. It's hard to identify the tops and bottoms even for the most seasoned professionals. You need to make sure to protect yourself as well as possible from loss.
Blockchain technology innovation is proliferating in the hedge fund industry. Blockchain technology plays a primary role in front office and investment functions, in the securing of crypto assets, but also in private investment fund managers’ attempts to satisfy the growth expectations of clients. Although the use of blockchain technology in private investment fund strategies is still in its infancy, as it evolves and accelerates, the associated innovation benefits promise lasting change for the industry.
Whatever the eventual outcome of the current market volatility, one thing is for certain: Things will never be the same again--nationally or globally. Something is definitely up, or down, and those who have wealth to invest would do wise to heed the warnings of many top investors. Choose wisely when investing--if at all.
Cryptocurrencies such as bitcoin, ethereum, and ripple have blown up in popularity recently. But with that popularity, they have also lost a ton of popularity which has ultimately led to a loss of the overall value of these coins and left people feeling as though they have been ripped off. People recently have been wondering whether or not these cryptocurrencies are a safe invest after the most recent crash of the market leaving some of the more new investors losing more money then they are gaining. Therefore, cryptocurrencies are not as trustworthy as some people believe them to be, very few may have made a lot of money from cryptocurrencies but you can never truly tell whether or not investing in these coins will completely backfire on you
Demand for bitcoin has grown in eight years to a market capitalization of more than $40 billion.
Currency acts as a store of value, a medium of exchange and a unit of account. Physical currencies are promissory notes payable to the bearer on demand. Digital currencies are internet-based form of currency. They represent both developments in payment systems and a new type of currency. Digital currencies, in hypothesis, serve as money, at present day they act as money to a small amount of individuals and institutions. It has been often questioned as whether the decentralised digital currency, such as Bitcoin and Litecoin, will emerge as the preferred method of payment for Internet Services or will remain a superficial payment method compared to well established existing payment systems.
In the present day, the world's economy is ever-changing and adjusting. Many different reasons control the reasons for this. The future of currency is something that can only be predicted and is not guaranteed. However, there are many determing factors behind the changes that can take place. Asia and North America are two continents that have economies that have recently changed or are in the midst of change.
First, if it's still an international concept for you, cryptocurrency is any of a number of digital money that can be made use of for online deals without intermediaries such as financial institutions. Without financial institutions, cryptocurrency can be traded and made use of for business between 2 or even more individuals without the oversight-- as well as expense-- of those intermediaries.
Bitcoin has no value of its own contrary to what many argue. Its value is derived by the number of people adopting it and pouring their money into the BTC ecosystem. Investments by deep-pocketed investors like Winklevoss twins (estimated BTC stake around 11 million USD back in April), Chamath Palihapitiya, ex-Facebook executive and early employee, who has already dropped $5 million into BTCs and has plans to invest another $10 million are the reasons for skyrocketing price of bitcoins [3] [4]. Add to this, the publicity and trust in the system they are generating. Bitcoin's future potential was a hot topic this October at emTech, an MIT conference on emerging technologies [5]. Considering BTCs more as a start-up rather than a currency, its growth curve makes more sense but unlike a start-up it’s not generating any value itself but gaining people’s trust. And that’s what gives it value.
Nowadays, the Internet has implemented great impacts on people’s life, and it also has changed the business world significantly. In order for companies to cope up with the changing customer demands, they must adopt new technologies not only to support their business functions but also to reduce paper works, reduce costs, and provide better services. Bitcoin is a currency of the Internet, distributed, worldwide, decentralized digital money that be developed as a new payment method. In Australia, the regulator has defined Bitcoin as property instead of currency for accounting purposes (King, 2015 February). Although Bitcoins are not materially existed, it can be exchanged for goods and services at places that accept it, the same way you would give someone a dollar for a cookie.
It’s important to note that since Bitcoins are produced without the involvement of governments or banks, they avoid taxes. Lastly, the cap of 21 million bitcoins has driven the value of a single coin up as shown by the below graph depicting expected growth of coins over time.
Blockchain Technology supports a distributed ledger system and maintains a growing list of records that are confirmed by the participating people. In blockchain framework, each transaction is recorded in public ledger and stores the information of the transaction. In Current scenario, all the currency transactions between persons or entities are centralized and controlled by some other organizations (Interoperability team). Transferring money will needs bank and merchants who process the payments and they charge fee for each transaction. This is the common phenomenon in every domain and this complexity is simplified by Blockchain technology by creating decentralized environment where no interoperability team is required to control the