Tag: BTC

Bitcoin is Now Worth More Than Gold

bitcoin is worth more than gold
The point we always thought will come to has finally arrived. Bitcoin now is worth more than gold. Its new goal of $1,268 has made it more valuable than an ounce of gold. Although it is attributed to a down on the price of gold plus an up in the Bitcoin price, this crypto currency has experienced quite an increase in price in the last year, since it has gone up more than 100%
The crypto currency has finally reached a new mark where anything in the legal world can compete with it. As the currency started to gain popularity, so did its price started a constant escalation adding more and more value to the crypto currency.

The current currency market is starting to trust more and more their finances with this digital option. This wasn’t the case years ago, but now, given the fact that violating Bitcoin security could cost a lot more than the currency itself, which makes having these coins much more attractive.
In addition, the current state of politics in the world is making easier to choose to exchange any other currency you might have for this secure coin. It has only gone up since the news told about the Brexit outcome and the Trump victory in the US but more recently, restrictions in countries like China, Yemen, and Venezuela have made it surge its value.

Even though Bitcoin has not proven itself as a currency that can reach higher popularity outside the digital world, more and more businesses are taking chances online by accepting it as the newcomer it is. Now, at the light of this news, Bitcoin is starting to cement itself as a trustable, able to spread form of money.

What is expected of this currency shortly is yet to be determined but one thing is sure, its rise can only mean that it could make itself as a trustable form of savings believing that it could stay in the status it has today.
If this digital coin only rises to new heights, there are many things to be expected from it. Investment isn’t going to decrease for this new form of money, and more people see its advantages.

Why is bitcoin very volatile?

bitcoin is volatile
Bitcoin is an innovative payment network which was invented by satoshi nakamoto. It is also an advanced cryptocurrency in today’s market. However, there are some studies show that bitcoin is so volatile. Based on the currency method, the price fluctuation is more volatile than any other currencies such as USD, GBP, AUD, JPY, etc. Aside from that, bitcoin is generally an asset class and it is not yet accepted around the world.
Many investors are afraid to invest their money in bitcoin currency because of the following reasons. Firstly, the prices or exchange of bitcoins are unpredictable and still volatile. Second, the bitcoin is vulnerable for breaches or other scam sites and lastly, the foreign bitcoin exchange has high inflation in the market. There is nothing wrong with bitcoin. It is just the process on how we can manipulate and prove it to the market itself. I think that bitcoin has a capacity to change the world of currency.

The main reason is that we are very meticulous and we don’t know how to understand the essence of bitcoin in the past. Therefore, the consequences are very high. As time goes by, the variety of opportunities will do exist and many people will prefer to convert their money to bitcoin. Bitcoins are created because I think it will make an impact to the foreign currencies. If you are not yet convinced then, read the following reasons why is bitcoin volatile?

4 reasons why bitcoin is volatile:

The adoption rate is really bad – There are some reports that the bankruptcy is one of the major issues in the U.S. That’s why they rejected the use of bitcoins in the market.
Little option value compared to other currencies – Many investors are afraid to invest more due to the floating status of their money in the bitcoin bank.
The demand of bitcoin is very high – Many people are buying bitcoins as their money. According to the statistics, bitcoin has been widely used in the market in the past 2 years and it’s still increasing by the end of 2030.
The market for bitcoin is very small and thinly traded assets – The supply of bitcoins are limited and unpredictable and also many inexperienced traders are not knowledgeable in bitcoin which they tend to panic.

We all know that bitcoin is not yet accepted globally. However, it should be noted that the main problem is the volatility of it. Considering the fact that many investors are afraid to try and invest to the cryptocurrency of bitcoin. Aside from that, the market falls every month so that the prices are fluctuating. We have to be mindful that our economy is continuously rising and there are a lot of inventions that will make our life easier.

So, there is nothing wrong with that, as long as we are responsible with our innovations. Moreover, bitcoin is fast pacing and the productivity of its market is spontaneously growing. Meanwhile, it is more of an analysis on how we can adopt the currency of bitcoin and the sudden exchange of bitcoin will increase in the future. For those of you that have BTC and are just too scared to hold it, then we suggest you withdraw Bitcoin to cash.

What influences Bitcoin price?

what influence bitcoin price
Most people around the world do not have internet access, or if they do, they do not know much of it. The ones who do have encountered a monetary phenomenon called Bitcoin, which is no other than an online currency that can be used only in that context, the web. Being a form of electronic money does bring its benefits, but it also can lead to several rough patches in the transactions, one being the price exchange for that currency.

In recent times, Bitcoin has experienced an up in its price. It has ranged from 230$ to up to a 1100$ in less time than thought which has left most people wondering what influences the Bitcoin price to make it so expensive nowadays.

To establish the bitcoin price, one must think beyond the terminology. One thing is the monetary price of the bitcoin, meaning that certain people would give x amount of their currency for x amount of bitcoins and another thing is the value of the bitcoin which why people buy those bitcoins for that amount of money, like an auction. After saying this, most people might think bitcoin is not very valuable since its only use is online. If you consider the fact that it is a cryptocurrency, meaning that the high cost protects it it would take to break its security and no person, digital or physical could accelerate its production or use it illegally or abuse it; just by that it could give a second thought to consider its market value.

The security of Bitcoin makes it a somewhat stable currency in times of macroeconomic uncertainty and political instability. Individuals, companies, and nations are taking care of their money and trusting the security behind the cryptocurrency. All of that have made bitcoin price go up and up in recent times. It might raise the price even more. Although it might seem like a financial risk, economic experts have given a second chance to the digital cryptocurrency, and many believe that it could be the future world currency.

Bitcoin price could dictate the value of fiduciary money shortly. The Bitcoin price at the beginning of 2017 surpassed the 1000$ mark and wouldn’t go down significantly. Current news like the Brexit outcome and Donald Trump’s victory in the United States led to more individuals trusting the bitcoin to save their money in a secure way.

With all of these reasons, the bitcoin price is only going to cement its status as an actual unfiduciary currency and its value will only go up. The only way this cryptocurrency could lose its value is something like the disappearance of the internet in the world or a global stability like no other. In any case, bitcoins are a pretty secure way to make sure your money only goes up and can be such a great investment that might pay out big time.

Bitcoin: Cons and Pros

pros cons of bitcoin

 

Many people are probably hearing of bitcoins for the first time, or few of the ones that have heard of it, do not know what it is all about. Nevertheless, a brief introduction is that Bitcoin is a digital currency. Bitcoin currency is universal. Therefore, merchants do not have to bother about exchange rates when making purchases with bitcoin.

Many people are going into the bitcoin mining industry, and some still want to, but are confused whether it is worth it. In this article, we will be discussing the advantages and disadvantages of Bitcoin. This will not in any way make decisions for the confused ones but will help ease their decision-making. It will help outline the two sides of the coin, but they will be left to weigh them and decide.

 

Disadvantages of Bitcoin

 

1. Lack of understanding: Many people do not seem to understand how the Bitcoin works and the lack of awareness are not making it easy. Unlike the physical currencies, only a few companies accept bitcoins. In addition, the bitcoin market is somehow confusing, and most people sell and buy bitcoins blindly without knowing its present market worth.

2. Fluctuations in prices: The prices of Bitcoins fluctuate every minute due to its volatility. To use bitcoins, sellers have to be kept up to date on the current price always in order not to cut their profit. Buyers also need to be kept up to date in order not to buy at a high price than its worth.

3. The era of development: Bitcoins are still in its phase of development and requires some more features to increase its effectiveness. It is not as developed as the real currencies. Therefore, it is a close but not a total substitute for it.

4. Darkweb association: Most people mistakenly associate Bitcoins with criminals and fraud, especially after the US government raided the Silkroad markets back in 2013. This really hurts the reputation of this amazing coin and the technology behind it. Many users, investors, traders and businesses use Bitcoin for very legitimate reasons that have nothing to do with anything illegal.

 

Advantages of Bitcoins

 

1. Fewer charges: Banks have been known to extort their customers with various charges while claiming to protect customer’s money. With bitcoins, there are close to null charges during trades.

2. Currency is universal: You do not have to worry about exchange rates when making transactions with bitcoins. It is a universal currency.

3. Saves time: If you are the type of person that hates long time-wasting bank queues and ATM queues, then bitcoin is for you. Bitcoin transactions usually takes only few minutes from the point the user initiate the transfer, which is extremely speedy. You do not have to go to any bank for transactions because the internet is your bank.

4. Privacy: Users can send and receive payments from all over the world without having to give up sensitive information that are usually required by most financial institutions, such as Full Name, DOB, Social Security Number…etc

 

In conclusion, just like every other thing, bitcoins have its advantages and disadvantages. So only you, the user, will decide if Bitcoin is for you.

Risks of Bitcoin

risks of using bitcoin

 

There are many crypto currencies, but bitcoin, which was first created in 2009 is the most popular of them all. Bitcoin is a digital currency that does not require any intermediary (bank) to make transactions between persons. It is experiencing a high growth rate, with different people learning about it. A lot of merchants are beginning to venture into the use of bitcoins, and a lot of bitcoin miners emerge daily.

Although this crypto currency is being used by a lot of people, there still exist back and forth argument on the risks involved in dealing with bitcoins. Bitcoins are also referred to as “digital gold” but there many risks involved in dealing with this gold. Just like how there are risks involved in all businesses, we have the same with bitcoins. These are some of the risks of bitcoins:

1. Volatile in nature: Unlike physical currency, bitcoins do not have a standard worth. The prices of Bitcoins fluctuate due to its high rate of sales. Bitcoin values are capable of falling for up to 50% in a day. People that acquired a large bitcoin will experience a huge loss from this.

2. High theft possibility: Technology is gradually advancing, and there are a lot of tech gurus and hackers in the industry. Since Bitcoin uses the internet, these people are capable of breaking into the bitcoin wallet. If they can breach the Bitcoin wallet security, they can steal a large number of bitcoins. These people do not need to carry a gun and rob a bank. A bitcoin theft worth millions of dollars was recorded in Japan a few years ago.

3. Fraud alerts: The internet is the new marketplace. It is a place where a lot of people have been able to make lots of money by making e-commerce transactions. It has also helped a lot of businesses expand. Although people make legit money from it, it has recorded a lot of fraudulent activities over the years. Bitcoin is an internet based money system. Therefore, fraudsters can also use this to cheat unsuspecting merchants.

4. Irreversibility: This one could be a dual-edged sword. Many people are attracted to Bitcoins due to it’s being irreversible method of payment, that will kill the possibility of chargebacks that can ruin business. However, if you have been a victim to fraud or theft, chances are your Bitcoins are gone for good, due to the same rule.

Briefly, bitcoins have over the years proved a goldmine for many people. However, the risks involved cannot be overlooked when making transactions with bitcoins. The safest haven in all of this is to take necessary precautions when taking risks. These precautions will pave a way to the safest use and avoid any online treat by the hackers.

How to trade Bitcoin?

bitcoin trading

 

It is a known fact that the digital era is here. It is affecting our lives, society and economy in every possible way. With everything in the world is becoming more and more digital, it only makes sense that our traditional money is also going digital. Digital currencies are growing every day and trading bitcoins is one of the most seeked way to be updated and have a currency which is more valued than the mighty US Dollar or Euro. While it is far from being a mainstream currency yet, Bitcoin appears to be on the right path.

 

Is it hard to trade bitcoins?

Not really! But just like other kinds of trading, you should always try to buy low and sell high. Before you consider trading though, you should familiarize yourself with Bitcoin, and you will learn many tricks that will eventually help you make good decisions and reduce the risks involved in the trading world.
Proceed with caution, while this currency could be invested and traded, it can also be lost and stolen. This cryptocurrency is generated by a process called mining through scripted applications and computers. You can also obtain it through different ways.
In order for you to be able to receive, send, or trade Bitcoins, you will need a wallet and internet access. This will eliminate the need for a third party to do any transaction.
To have an address you should download bitcoin client or at least a reputable web-based bitcoin wallet just as Blockchain.info.
Blockchain, is one of the most wallets used and it will give you a unique wallet id and password that you need to save so you can do any transactions on your account. For further security, you can also set up a 2FA (Two-factor authentication).
There are many other different wallets you can choose from, such as: Mycelium, Wirex, Xapo, Bitgo, green address, among others.
If you download a bitcoin client, you can have your bitcoins in your hard disk but it is generally safer to save it on an offline-device, so no hacker can access it.
After you have it on your wallet, and if you don’t want to trade it but you want to exchange it for some money use exchangers such as:

Hitbtc.com
LocalBitcoins.com
BTC-e.com
Coinbase.com
CAD interact deposit

This will make you be able to exchange some bitcoins for money. Deposits made in this banking system should take at least 2 days. For faster exchange, we recommend you withdraw Bitcoin to cash using Paypal or Western Union, which should be done within an hour or two.

For more details, please also check out our other article about withdrawing bitcoins to cash.

Bitcoin as a project has established a different vision of a new valuable currency that is free from any control. You can use this for trading stocks, buying items on internet, hiring services on platforms that accept bitcoins, and so much more.
This currency have several advantages if we speak about traditional money trading. Beside the elimination of third parties in business, you also can enjoy very low cost for sending and receiving bitcoins.
If you do any transaction with bitcoins, at least a typical transaction of 500 bytes, it will cost 9,13 cents. Which is way cheaper than any thing out there including PayPal! Transactions with this currency are irreversible and are supposed to be secure. Please, be sure of who is doing business with you. You won’t have to worry about fraud, fraudulent chargebacks, refunding.
If you want to start trading bitcoins or buy some, it is recommended to use coinbase which is one of the safest and easiest ways to buy a bitcoin.
Coinbase stores over 97% of their clients’ funds in offline storages to avoid loss and theft. There are other options but we are just giving some advices to make your trading bitcoins easier.

What is Bitcoin?

what is bitcoin

 

Bitcoin is a decentralized digital cryptocurrency which is not controlled by any entity or government. It was first introduced in 2009 by someone under the name Satoshi Nakamoto, which is more likely a pseudo. The system that Bitcoin works on is a peer to peer, which enables transactions between two users without anyone else’s intervention. These transactions are verified by network nodes and are recorded on the blockchain which is available for the public. Bitcoins is a currency just like other real world currencies, the only difference is that is digital, while fiat is physical in shape of paper for bills and metal for coins.

Bitcoin is created using computers doing very complicated calculations. The process is called mining and the people or computer application generating those Bitcoins are referred to as miners. By discovering network nodes, miners are rewarded Bitcoins. In order for Bitcoin transactions between users to happen, mathematical problems will have to be solved by miners. There are many other digital cryptocurrencies in the market such Litecoin (LTC), Ethereum (ETH), Namecoin (NMC) but Bitcoin (BTC) remains the largest with a market cap of over $16 Billion. Unlike fiat money which is owned by the government and is usually stored in banking institutions, Bitcoin is free of any government regulations and is usually stored in digital wallets. These e-wallets are basically applications or third party websites that can be used to access the funds. They are protected by passwords and sometimes by 2FA which adds an extra form of protection against unauthorized access. You can use these wallets to pay with Bitcoins for services and other stuff like a pizza or cup of coffee, it works just like pulling cash out of your wallet.

The price of Bitcoins is very volatile, that means it keeps going up and down every few minutes. As of today, Bitcoin is worth over $1000. The Bitcoin network which is known as the Blockchain is believed to be unhackable. It is the individual wallets that can be hacked, so users should keep them secure at all times. It is worth noting that Bitcoin comes in a limited quantity, because that is how it was coded. The total number of Bitcoins that will ever exist is 21 million coins, minus all the bitcoins that were lost forever. Lost forever? you might be asking yourself. Well, if you lose your private keys, and don’t have a wallet backup, your Bitcoins will be gone forever. It is estimated that all of Bitcoins will be mined by the year of 2030.

What bitcoin and blockchain offer that no financial institution can afford is the extremely low transaction fees as well as speed for those transactions to take place. Let’s also not forget that Bitcoin transactions are virtually anonymous, which a lots of people that are concerned about their privacy really appreciate.

Many bitcoin experts and analysts believe that Bitcoin prices will be much higher than today’s, when the world adopt the digital currency and becomes mainstream. So only time will tell if  Bitcoin will be the next digital revolution.