Bitcoin is a decentralized digital or virtual currency, created in 2009, without a central authority or bank or single administrator. BTC can be sent from user to user on the peer-to-peer bitcoin network. The bitcoin network facilitates transfer of payments without the need for intermediaries. The network miners mint the bitcoin. The bitcoins are put on sale on exchanges. Those who are not mining BTC can buy it from exchanges and store it in a wallet. Bitcoin is open-source with a public design, which is open to everyone and it cannot be owned or controlled by a single entity – therefore decentralized and not centralized.
Top 10 Reasons to invest in BTC:
The primary reason behind the success of Bitcoin is that it is trustless – you can buy it from a peer through an exchange. It is created by PoW, and it is very hard and expensive to attack the network. It is highly secure and immutable. It is scarce. Only 21 million Bitcoins can be minted in total.
As Bitcoin is the largest cryptocurrency by market cap, its trends are followed by the rest of the market. It is a good indicator of the crypto market sentiments. It is the primary driver of the moves in the cryptocurrency market.
Michael Saylor said, “Investors are embracing Bitcoin as Digital Gold”. It is the foundation of the digital economy. It is a digital property that helps people can protect themselves through the inflation and money printer storm.
Goldman Sachs calls Bitcoin a legitimate and an investable asset.
Bitcoin is a digital form of cash or digital money that can be exchanged for cash just like any asset. It is a digital, but virtual currency based on cryptographic algorithms, hence termed as cryptocurrency. The cryptocurrency exchanges that online help people to do transactions, allowing even small businesses to accept bitcoin. Digital money purely exists in electronic form and is accounted for and transferred using online systems.
Settlement time for lightning network transactions is under a minute and can occur in milliseconds. Confirmation time on the bitcoin blockchain, for comparison, occurs every ten minutes, on average.
BTC can replace virtual gold by resisting the risks and thereby increasing in demand for BTC. The speculation of BTC has pulled investors’ attention to digital currencies. Bitcoin is considered a great hedge against inflation by many investors, though it’s been volatile, but not associated with inflation.
Bitcoin is the first blockchain network to introduce cryptocurrency transactions to consumers on a large scale. The first-mover advantage is more important as blockchain-based projects and cryptocurrency exchanges compete for the relatively limited market share and user base.
Bitcoin is one of the cryptocurrencies with is constant at a rate of one block every 10 minutes. Satoshi Nakamoto topped the number of Bitcoin at 21 million to control the inflation from the unlimited supply.
Bitcoin’s returns have outperformed gold and the stock market more than expected.
Bitcoin enables secure payments anywhere anytime without the intervention of traditional banking methods. Liquidity is the ability to be easily transacted and converted. Bitcoin is traded in the majority of exchanges and has high liquidity.
The decentralization technique in bitcoin helps it to operate independently. It is not regulated by the government or central banks. No taxation is implanted in Bitcoin enabling users to have control over their money.
Bitcoin network is not controlled by a central authority or stored centrally. The bitcoin ledger is distributed making it decentralized and easy to access.
Bitcoin is transparent, secure, and good for long-term investment. The global adoption of bitcoin is increasing and skyrocketing due to its distributed network.
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