Why People Buy Bitcoin?

bitcoin png

Bitcoin revolutionized the way people transfer money over the internet, without relying ever on a third party. It also opened the door for other cryptocurrencies like Tether, EOS, Monero, and many others.  In recent years, it has become popular as the ’digital gold’ of our time, as the demand for bitcoin keeps getting higher. Here we provide an overview of the main reasons why people decide to buy bitcoin and how it remains a top cryptocurrency from its inception to today.

Safe System

This is another major reason why people decide to invest in BTC. The network is completely decentralized; it relies on the miners to approve, verify transactions which also get a reward for their work. Actually, in 2020 they gain for adding ’block’ of approved transactions to the blockchain 6.25 BTC.

Blockchain is a decentralized, digital ledger or a peer-to-peer cash system that it is fully transparent, and it consists of records called blocks managed by a cluster of computers.  Each block records transactions, and because the system is managed across many computers, without a third party, the data of any block can’t be altered without a subsequent impact on the other blocks. 

Another advantage is that there’s no space for errors the transactions are tracked in real-time. Furthermore, the transactions on the network remain secure and anonymous. Moreover, as there are no financial institutions involved in the network, the transactions on the network are much cheaper and are completed in minutes.

The Option to Trade BTC

Although BTC is accepted by more companies worldwide, fiat currencies are still used for the majority of transactions offline and online. Also, by signing up and on traditional platforms, you can obtain BTC. The other ways of obtaining BTC are through mining, which isn’t possible for everyone as you’ll need to solve difficult math problems and a computer with good hardware. And the other way is through selling your products and services and accepting BTC in return.

That being said, there are many safe online trading platforms, where you can register and start trading today. Thanks to these kinds of platforms, a lot of people use their knowledge to earn profit from cryptocurrencies.  A great platform where you can sign up and start trading with an initial investment of $250 is Bitcoin Revolution.

The platform is fully safe and secure, and it is also one of the first platforms to use artificial intelligence and has won many awards such as the Most Profitable Auto-trading Robot award. But, you should always choose platforms that align with your financial goals and budget and do your own research beforehand.

The Value of Bitcoin

Bitcoin is known for its volatile value. Historically, there have been periods when its price has fluctuated significantly in short time spans. For example, the price of bitcoin surged in October 2017 and reached $5,600, and then in just over three months, it dropped to $800. However, as time went on, and more people get acquainted with BTC and cryptocurrencies in general, the price has remained relatively stable. In fact, this year it has stayed in a range between $6,000 and $12,000.

It should also be noted that bitcoin halving also has a great impact on the value of BTC and the demand for BTC. More people decide to invest in BTC when there’s halving because according to historical data, bitcoin always experienced a substantial increase in its price during this period.

Bitcoin halving occurs roughly every four years or every 210,000 blocks, and when it happens, it splits the reward of the miners in half.  The last halving happened in May 2020, and the reward of the miners decreased from 12.5 to 6.25 BTC per block. During this time, the price did rise from $8,500 to $9,500. In the previous halving, there was also an increase in the price of BTC. In 2016, the price went from $576 to $650, for instance. 

Summary

For a lot of people, bitcoin is the future of money. This is why there has been an increasing number of organizations and companies that have adopted BTC. Another main reason is that the system is safe and decentralized, which means it’s not affected by the instability of the global economy like fiat currencies. This is yet another reason why there’s a great demand for BTC.

Leave a Reply

Your email address will not be published. Required fields are marked *