What is Bitcoin? Should you invest in India?
Well let me try and answer all those questions today. Bitcoin the word that’s polarized a generation, our generation till now for anything to be legal tender. It had to be backed up by an equivalent quantity of gold that is the basis of currency. As we know it thought used to since money unknown to us has changed a whole lot in the past few decades to a point where the only reason the strips of paper in your pocket have any value is because of the government enforcing them, sounds scary and a little bit confusing .Well we don’t blame you because it actually is. We have a few people who realize the dangers of fiat and decided to create a peer-to-peer network of cryptocurrency, that is in essence governed by no one else other than the holders of the currency itself.
This decentralized system gave birth to what is now Bitcoin. A way to transfer cryptocurrency between users . Since Satoshi nakamoto’s revealed Bitcoin way back in 2009, a lot of things have changed and before we can jump to all of your questions let’s take a look at some of the most interesting Bitcoin facts.
1) Bitcoin is a cryptocurrency this means that there is no physical asset behind bitcoins it is a currency system that holds value. Because people believe in the buying power of it.
2) There are only a finite number of bitcoins. infact the total number is just 21 million.
3) There are already Bitcoin millionaires the Winklevoss twins. Became the first known Bitcoin billionaires when their 11 million dollar investment into Bitcoin. Way back in 2013 Made way to billions and the current valuation of a whopping sixteen thousand two hundred odd dollars for one Bitcoin.
4) Bitcoins are based on the blockchain technology. Very simply this means, that for one Bitcoin to be mined a complex algorithm has to be solved which requires a lot of computing power. The resulting Bitcoin now becomes part of the blockchain and whenever any transactions occur they recorded.
5) This is the most important fact of all is it legal to buy a new Bitcoin? well in most countries around the world including India yes it’s perfectly legal despite the RBI warnings and those petty whatsapp scare messages.
Details about Bitcoin in India
Infact some giant corporations like Microsoft and WordPress accept bitcoins as modes of payment, so now that we have dealt with the legality of Bitcoin the skeptics among you may be wondering. But is it really safe to invest in ! Bitcoin we heard it is a bubble what if it bursts as in crashes? . well first off yes you did here right there are several very well-regarded economists who have stated that the current straight of Bitcoin is very similar to a bubble. One of the main reasons though for a bubble to explode and the currency to come crashing down is if it loses the fate of investors.
Now while it seems unlikely right now there is certainly a chance that it might happen. Even then as past financial bubbles have shown us there is a claim even after a fall so if you want am invest in Bitcoin or have already done so don’t panic, If the market value has a sharp dip. (what is bitcoin)
Now that you have a fairly good idea of Bitcoin, and how it works, and how stable, its future is. Some of you might want to buy some to try out this brand-new cryptocurrency for yourself. The easiest way to do that is through a bitcoin exchange. Now if you’re living somewhere in India the top two leading services are Zebpay and Unocoin. Zebpay is the easier of the two services with lesser number of kyc documentation needed but it does charge a more substantial fee than Unocoin. Wrapping this one up, remember guys while I do want to inform you guys about the latest information in tech, I am no financial advisor and you should not invest any money based on my recommendation alone. ( what is bitcoin )
That said I think bitcoin does have a great future. So if and when a crashing price comes along, or there is a hard fork in the blockchain, it would be profitable to jump onto the Bitcoin train as fast as possible. Do you guys want to invest in Bitcoin let us know in the comments below. Thank you so much.
what is bitcoin