Crypto currency is a form of electronic cash. It is a form of digital currency without a single administrator like the central bank, and can be transferred within a block chain network without intermediaries. Bitcoin is one of the first crypto currency to ever exist. It is popular and currently it is the standard unit in most cryptocurrency exchange platforms. The idea of lack of a centralized overseer in the bitcoin trade has left many people wondering, is bitcoin a good investment? Bitcoin trade is an open trade where anyone can participate and there is no controlling. There are several reasons why bitcoin investment is a good investments.
Reasons why bitcoin investment is good
Bitcoins are scarce and useful. The rareness of bitcoin in the trading platforms has made it a valuable asset. Very few bitcoins exist and this has made it a very expensive item. Investing in bitcoins brings a good profit since the market rates are always high.
Cross border payment. Bitcoin can be traded to and from all corners of the world. Transfer of bitcoins can be made without any restrictions from any bank. This makes it a wonderful investment since it will be an easier way to make cross border transactions.
Resourceful. Bitcoin is an internet currency. The same impact that the internet has brought to world is the same impact bitcoin can do. It enables online transactions to be much easier. If one understands how bitcoin has a good impact in trade then investment should not be a problem.
Technology. Currently we are in a digital era with many technological improvements. There are various technologies that have been developed to assist in the bitcoin networks. Technologies like the lighting networks and peers to peers networks enable one to transfer bitcoins instantly without any delays. The users create payment channels that allow direct transfers of bitcoins without any interference by third party systems. This makes bitcoin investment efficient and reliable.
Trade strategies. Business people have come up with efficient strategies that can be used to trade bitcoins. Maker-taker strategy and arbitrage trade are well designed to sustain bitcoin trade. Bitcoin investment is a good investment with existing and useful business strategies and methods.
Current global economy. The current global economies are not well stable. The unstableness has made trading with the traditional currencies a risky business. This is a good news for bitcoin investors since the collapse of traditional currencies will mean a rise of the crypto currencies.
Available markets. Crypto currency has become a global phenomenal and many countries have adopted policies that support crypto trade. With bitcoins at the forefront, bitcoin investment is a good investment due to the global available markets.
Censorship resistant money. The call for doing away with cash is getting louder and louder each day. Many countries want to adopt censorship resistant money. This makes bitcoin investment a good investment being the most popular censorship resistant money.
There are tons of reasons to invest in bitcoins. However, being an investment that relies much on technology it is affected by technological hitches. Investment is all about taking risks. Good investments are those that rise above the risks to prosper. So if you have been asking yourself, is bitcoin a good investment? Then you have your answer.
You may also like to read: What Is The Best Bitcoin Wallet?