What you should know before investing in Bitcoin

Bitcoin is more relevant to profit and secure transactions more than ever. With the world depending on the internet for every activity, service, and product, bitcoins are gaining more traction by the day. It is no surprise that it has become synonymous to the global currency almost all gaming sites and niche international services use. It is still new to a handful few who are new to the realm of online transactions. Bitcoin investing seems like a scary idea if you do not know the intricacies of the network.

Why should you invest in Bitcoin?

It seems scary because their values keep changing every day. They are scarce, and a single unit can be worth a couple of hundred dollars. The value changes rapidly and that is precisely what makes bitcoins more intriguing and risky.

There are only 21 million bitcoins in existence. It works just like the value of gold. The lesser there is out in the market, more they are worth. As time goes by, they are becoming harder to mine. You should dig in for the goodies before you friends get all the profit.

Bitcoins have seen over 100% rise in value over the last six years. The inflation makes them more coveted by the day. They stand for a strong monetary policy that is valid across the world. If you want to make encrypted transactions unlinked to your accounts, bitcoins are your best friends.

2017 is going to be the year for Bitcoin mining once more

By early April, crypto assets like Ethereum achieved a $5 billion market cap. The EEA or Enterprise Ethereum Alliance has helped altcoins soar to a high value. As of 26 April 2017, Cointelegraph reported that it had surpassed its $1300 value. This broke it all-time price high reported at a $1277 a couple of months ago. Although there is a high level of instability related to the value of bitcoins, that is precisely what keeps its potential to increase its value drastically.

Bitcoins have seen over 100% rise in value over the last six years. (Image by Zach Copley via Flickr / CC BY 2.0)

Bitcoin becomes mobile

Countries like Japan and Philippines have legalized Bitcoin. All businesses involving Bitcoins and similar transactions are now legal in these two nations. The Indian government has expressed its interest in establishing a regulatory framework for legalizing bitcoin payments and deals.

What’s the right time to buy Bitcoin?

You can take help from tools like Cryptowatch and Bitcoin Wisdom to gain an understanding of its price history. You can use RSS feeds to stay on top of all bitcoin-related stats. It is a global currency. Although top contributing nations like Japan, Taiwan, and the US can change the value, it is not possible for the downfall of one government’s economy to drastically reduce the value of bitcoins.

Coinbase is one of the largest brokers in bitcoins. You can try buying bitcoins via legitimate encrypted transactions if you are living in the US, the UK, and Canada. It is also legal in most of Europe.

Bitcoin is still new and vulnerable. If you are thinking about investing, always get to know about the trends, legalities, and usefulness in your region before buying.

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DISCLAIMER: This article expresses my own ideas and opinions. Any information I have shared are from sources that I believe to be reliable and accurate. I did not receive any financial compensation in writing this post, nor do I own any shares in any company I’ve mentioned. I encourage any reader to do their own diligent research first before making any investment decisions.