Is it Worth Buying Bitcoin Now?

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For an investor, Bitcoin is surely a tempting prospect. The most secure digital currency has seen a parabolic growth since its unimposing launch in early 2009. In the earliest days, it was possible to buy a pair of pizzas for 10,000 BTC.

Of course, you should never take investment advice from a page you find on the internet and this particular page is in no way giving it away. The following article has been penned to give would-be investors some insight into Bitcoin’s potential. It’s then up to them how they would deal with the information and whether they would be inclined to buy Bitcoin or not.

What are you here for?

Bitcoin at its core represents an innovative method of bringing a form of sound money that is accessible to anyone back to the world of global finance. By sound money, we mean a form of money that is free from control of central government and banks. Bitcoin is much like gold – only more usable.

The system is built on a verifiable code and is guarded by a powerful computer network. It has survived out in the wild for almost a decade now and seems to get more resilient to threats as each one is dismissed. All of these should be compelling reasons to want exposure to Bitcoin, and if they sound reasonable to you, then a Bitcoin buying strategy is worthy of serious consideration.

That said, the parabolic highs the market experienced last year were largely fuelled by speculation. If you are here to “get rich quick”, perhaps you should learn some more about Bitcoin before diving in.

Its design is such that it will remain resistant to change, while the system itself could very well represent a revolution in the way human beings perceive value. Once the implications of Bitcoin are fully understood, then the volatility on the way up to potentially becoming the planet’s reserve currency is much easier to deal with.

What the Experts are Saying

Bitcoin “experts” are a varied group. Some understand the politics of money innately and have fallen in love with the promise of a more just future posed by Bitcoin. Meanwhile, others are of a technical disposition, appreciating the immaculate design of the currency. Finally, some come from financial backgrounds and see Bitcoin as a wildly volatile market that big money can be made in.

However, those who originally appreciated the offered solution to the problem of creating digital cash, although specializing in one of the above fields, usually have interest in the others too. Another thing that unites this disparate group of individuals is the belief that Bitcoin’s price – by the laws of the supply and demand – will keep going up.

Experts from a financial background such as former Goldman Sachs trader Tone Vays still claim to hold reserves of Bitcoin and say that they will do for a long time. All of 2018, Vays has said that he believes Bitcoin could be headed lower than it is now, but it doesn’t matter. In his belief, the end-game is a very valuable asset indeed.

Most true experts in the markets or the tech are reluctant to put a price tag on Bitcoin in the future. However, even if you don’t understand all of the computer science behind the Bitcoin network, the fascination that the most technically minded analysts and observers have for it is evidence that something truly revolutionary could be happening here. Andreas Antonopoulos goes so far as to Bitcoin as “the internet of money” – in fact, he named one of his books using this very phrase.

Finally, if you’re on the fence about buying some Bitcoin to hold for a rainy day, another great resource is Saifedean Ammous’ new book, The Bitcoin Standard. In it, Ammous examines Bitcoin as a form of sound money and determines it to be a potentially new paradigm in the world of global finance. This is all set within the context of the history of money itself.

Not all “Experts” are Welcoming to Bitcoin

All that said, there are many in the world of traditional finance who dismiss Bitcoin. Likewise, there are many people of a conservative mindset who believe that it’s some form of scam or perhaps a way to facilitate financial crime.

Jamie Dimon of JP Morgan Chase famously called Bitcoin a “fraud” and said it was only good for those wishing to commit financial crime. However, it has since emerged that in recent years a tiny percentage of Bitcoin’s use is attributed to crimes. If you were to compare figures for the cash value of crimes committed using Bitcoin versus those which favored the US dollar, you would see that the dollar trumps Bitcoin.

Meanwhile, the likes of Charlie Munger and Warren Buffet of Berkshire Hathaway have also had some statements about Bitcoin. Buffet said that Bitcoin was “probably rat poison squared” and Munger called it “worthless” and “artificial gold”.

As you might notice, there are completely opposite opinions as to Bitcoin and its future. Probably, when it comes to something new in a way, it is nigh impossible to keep the whole community unanimous in their approval or disapproval of that particular innovation. Learning and doing much research is your safest bet, as the acquired knowledge might help you shape your own views and make informed decisions.

Should You Buy Bitcoin Now?

Above are just a few of the views of some experts in technology, finance, and politics. If you’re new to Bitcoin, this is a great starting point for you to study further into this technological innovation.

Bitcoin in the short term is a hugely emotional market and swings so violently that holding onto that coin in the face of a 20% loss is going to be incredibly difficult to take. So, be wise to invest only the affordable amount of money in cryptocurrency and never expose yourself to huge losses.

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