Bitcoin has been profitable for 89% of its life. The first cryptocurrency was released to the world in 2009 and could be had for fractions of a cent. November 2021 saw all-time highs over $65,000.
The returns that Bitcoin has generated for early adopters are nothing short of outstanding. And it’s dwarfed all other asset classes in the last decades.
Every day that you are sitting on the sidelines is a day where you are losing out on the best opportunity to date. Are you tired of just reading Bitcoin news from afar, and ready to get in on the action for yourself?
We’ve answered some of the most common Bitcoin questions that new investors have. Read on below to start learning Bitcoin so you don’t miss the next big move.
Why Buy Bitcoin?
So what is Bitcoin and why should you buy it? Bitcoin is a digital, decentralized currency. It can be sent peer to peer, without the need for greedy intermediaries putting their hands all over it.
No bank, government, or individual entity can ban it, control it, or devalue it. Just ask China. They’ve banned it a dozen times already.
It uses blockchain technology to store transactions on an open, globally distributed ledger. This makes Bitcoin secure and transparent. Bitcoin empowers a financial system that isn’t reliant on rich bankers making huge profits with our money.
And Bitcoin has a limited supply. Unlike the US dollar, which is continually printed by central banks, the law of supply and demand says Bitcoin will continue increasing in price while the value of the dollar plummets.
Will Bitcoin Go Away?
Bitcoin is around to stay. It is powered by blockchain, which is code that lives on the internet. The only way Bitcoin can go away is if the internet went away, which will never happen.
How to Buy Bitcoin
Bitcoin can be purchased in a number of ways. You can buy it from another person, otherwise known as peer-to-peer. The sending party just needs to know the wallet address of the receiving party.
You can buy Bitcoin with cash at a Bitcoin ATM. The most popular way is to buy Bitcoin online, through a cryptocurrency exchange. These function just like stock exchanges, where seller orders are matched up with buyer orders for a fee.
You can also buy Bitcoin OTC, or over the counter. These are transactions where buyers can purchase directly from a trading desk. This trading desk buys Bitcoin from sellers, then sells it directly to buyers, not on the open market.
Bitcoin Basics: Can You Buy Things With Bitcoin?
Many retailers allow you to make purchases with Bitcoin. The process is as simple as using Apple Pay. You’ll have a mobile wallet on your phone containing Bitcoin, allowing you to send funds to the retailer as you make a purchase.
It’s also easy to convert Bitcoin to fiat currency, and either withdraw cash or send it to your bank account for normal purchases.
The Latest Bitcoin News
As we near the end of 2021, the latest Bitcoin news suggests that prices will go from around $60,000 to around $100,000 or more.
Some suggest this can happen by the end of the year, and some don’t care when it’s going to happen, they just know it will eventually.
Of course, you should’ve bought it a few years ago. But at least you have the chance to buy in now. Better late than never.
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