Should you or should you not invest in cryptocurrency? It has to be a journey of self-discovery, self-conviction, and self-decision.
However, down memory lane, many have taken the bigger risk to grasp the bigger WIN. Ask any player at the best cryptocurrency casino they will quip the same!
Owing to history, investing in cryptocurrency is a great idea, especially when you want to invest in other currencies. So perhaps you want to stay clear of FIAT investments & you’re eyeing the big ROI in investing in cryptocurrency, or you got a big win by playing at the best crypto games, should there be a marginal increase of 2011-2020 repeating itself. Well, aside from Bitcoin, there are several coins you can research and invest in as well.
What is cryptocurrency?
Since its emergence in 2008, Bitcoin, fast gaining global adoption and paving the way for other coins like Altcoins, has thrived in the last ten years, even with a different forecast from critics.
Cryptocurrencies are popular for their decentralised system and anonymity. As of 2014, one Bitcoin was mildly above $1000, although the value fluctuates as it is partly dependent on the laws of demand and supply. Fast-forward to 2020, it sits in the range of $11000. The huge implication for those who took the bigger risk some ten years ago is that; for some random individual who had purchased 5BTC at $1000 each in early 2014 valued at $5000, in 2020, he has amassed a whopping $55,000 worth of that same 5BTC.
The founder of Bitcoin, the fastest-growing cryptocurrency, remains anonymous & in the early days of the coin, a global exchange known as Mt. Gox launched in Japan, which handled over 70% of transactions on the Bitcoin blockchain. It eventually closed down due to bankruptcy after they were hacked.
The Bitcoin system in itself is transparent & impenetrable. However, critics claim that history is bound to replay itself. Supporters of crypto technology & investors who turned millionaires in the last ten years are very positive that crypto is the future and will never replace the traditional FIAT system.
Of course, one of the features of money is acceptability! Crypto supporters believe that with the ongoing viral adoption of crypto & backing of professionals and capitalists, and with its legalisation in Japan for a start, plus so many companies and casinos accepting it as a token, it obviously would scale.
The Cryptocurrency Market
Unlike the conventional market space, the cryptocurrency market operates round the clock. Records show that since it started in 2009, it has maintained 99.8% uptime. The concept is quite transparent in that the operational blueprint is not manual, and the system uses software code secured by cryptography.
One of the contents published by the Deutsche Bank forecasts that the era of large paperwork, debit cards, and credit cards is gradually phasing out as smartphones and electronic devices become more sophisticated. To operate a Bitcoin wallet, all you need is a smart device & an internet connection with little or no paperwork, and you’re good to go!
If this were to be, then cryptos would become competitive alternatives to the existing monetary system. Currently, its supporters bank their arguments on its benefits, the speed of transacting, minimal transaction fee, ease of carriage, and its relevance in this digital era.
However, an individual/entity becomes the sole owner of a particular digital asset when an individual/entity owns any of these cryptocurrencies. Transaction within the crypto blockchain occurs in a P2P order, wherein no middleman monitors the investment particularly.
Investing in Cryptocurrency
Investing in cryptocurrencies like Bitcoin has gone beyond possessing them and storing them in your wallet. You can now buy, sell, or exchange using strict exchanges that serve as brokerages. One of the crypto space’s major assets is user autonomy, which provides incredible opportunities to investors.
However, just like any other investment or business, one of the ways to avoid silly risks is to understand them yourself. Regardless of what anyone writes, expert critics want to say at the end of it all, “We said it. It was doomed from the beginning.” The supporter also mentioned, “We said it; We are now millionaires.”
Instead of this, you should consider the following:
1. Having a general understanding does not necessarily make you an expert! But it is more convenient if you’re familiar with terminologies, the coin-market trend & new developments. Bear in mind that it is volatile.
2. You don’t need to be penny-wise and pounds foolish. If you consider going on this journey, you don’t necessarily need to invest an amount you can’t afford to part if things do not turn out well.
3. Have a calculated risk plan so that unwanted situations will not affect your health and plans. It would be very unwise to invest in a consumer loan.
The system is considered transparent, so one needs to follow up with developer activities. For a project of its scale, there should be regular updates.
Besides, find reviews of every exchange before engaging anyone. Many are just swindlers waiting to rip you off your coin.
History plays a vital role in deciding whether you should or shouldn’t invest in cryptocurrencies. Follow with the trending performance to be sure how it has been fairing. This knowledge increases one’s sense of judgment & you can tell if investing would yield a positive dividend.
In any investment space, diversification is expedient. As much as there is a beautiful prospect surrounding the crypto space, there is a need for every investor to be positioned correctly.