So friends, today we know whether it will be right to invest in Bitcoin or not and if it is correct then where can you invest safely yourself. Because friends, many of you ask me whether we should invest in bitcoin? Because you must have seen its price that how it has gone up in such a short time and some people are saying that this is also the beginning. So before we know what will be its future. We need to know why this bitcoin investment was done. Because they are trying to solve two problems simultaneously. cryptocurrency shiba inu coin. cryptocurrency bitcoin price. all cryptocurrencies. cryptocurrency shiba inu coin. Cryptocurrency Bitcoin Price All Cryptocurrencies Price.
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One medium of exchange, i.e. currency and the other store of value i.e. investment. Because at present we use Rupees as minimum exchange, but we do not invest in it. Because we know that the value of money keeps on falling. So this currency is a bad investment. cryptocurrency bitcoin price
So that’s why people invest in stocks, real estate, or gold, but we don’t use them according to the minimum exchange rate. Because if you go to the market and you have to buy anything, then you do not pay from the shares of Reliance. So this is all investment but not currency, but both programs of Bitcoin are trying to solve together. all cryptocurrencies. Cryptocurrency Bitcoin Price All Cryptocurrencies Price
Mixed opinions For Bitcoin
Friends, that is why due to its double utility, people are getting confused about bitcoin, what its will be its future. On one hand, some people are calling bitcoin useless like Warren Buffett, Rakesh Jhunjhunwala, Naseem Talib who say that its value should be zero and some people are supporting it. Like Elon Musk, Richard Branson, Noble Ravikant So before we find out who is right and who is wrong. We listen to dialogues from both sides with a neutral mindset. cryptocurrency bitcoin price
Bitcoin Disadvantage 1: No Intrinsic Value
So those who are against bitcoin say that it has no interest value. You can’t wear it like gold, live in it like realistic nor do it pay you dividend like stocks, so we can’t even know whether it is selling cheap or expensive and that’s why Its second disadvantage is that it keeps going up and down a lot.
Bitcoin Disadvantage 2: Very Volatile
Sometimes it falls 20% and goes up 20% in a single day. For example, in December 2017, the price of one bitcoin was 14 lakhs and then a year later its price became 2.5 lakhs. This means that its value fell by 80% in the year.
Imagine if you invest 1 lakh rupees in this, then you have only 20 thousand left and at present, it is above 26 lakhs. Meaning it has gone up 10 times in three years. Meaning, if you invest 10 lakh in this, then it becomes 1 crore in just 3 years. So because of its high volatility, it is called very risky.
Bitcoin Disadvantage 3: Too Much Bitcoin
Its third and most interesting risk is that bitcoin is not the only cryptocurrency. We have thousands of cryptocurrencies available in the market and you can launch your own cryptocurrency if you want. So which Currency will do well tomorrow, people are not able to find out this thing. all cryptocurrencies
Bitcoin Disadvantage 4: Unregulated
Its fourth disadvantage is that there is no central authority in it that can regulate it. So that is why it can be used for illegal activity and due to this reason RBI banned it in 2018. But it was a very silly area.
Because friends, any new technology will have an advantage as well as a disadvantage. Like when the Internet was a new technology, people were afraid to use it. People did not even transfer money through net banking, thinking that what would happen if money went to someone else’s bank by mistake. Whose collar we will hold, but people were not seeing its advantage, how easy it can make our life.
So that’s why now we try to understand the advantage of bitcoin.
Bitcoin Advantage 1: Already used as money
Now friends, if you do a little research, then you will come to know that many US companies are accepting payment from bitcoin and one country has officially accepted it in the form of currency. So that’s why it might not be so important to know how this technology works.
Because we use debit cards every day. When a person uses SBI’s debit card in an Axis Bank ATM, then very few people will know how the technology behind it works. So that is why if this bitcoin is successful, then the coming generation i.e. Our children will not even try to know how it works. People will use it just by looking at each other. all cryptocurrencies
Bitcoin Advantage 2: We Set the Price
When it comes to its value, for the value of anything to increase, not everyone in the whole world needs to agree on it. Like Warren Buffet considers gold as useless, but is gold actually useless? Maybe it is possible for them, but gold is still being sold at an expensive price, or for this simple ball, some of you will do 200 rupees or some people will be ready to give 500 rupees. But it was sold in an auction for 37 million dollars.
So how did its price increase so much? Did it have any interesting value?
So that is why the people who support bitcoin say that we are the ones who set the price ourselves. When something is limited and its demand is high, the price increases, according to the law of demand and supply. So when you buy bitcoin, you also buy it from an options market and this bitcoin is also limited.
The person who had invented it has kept its limit only 21 million. Then friends, when it comes to thousands of cryptocurrencies, which will grow in the future, then here the pay network effect can help bitcoin.
Bitcoin Advantage 3: Network Effect
Now you will ask what is this network effect? So friends, all of you must be using WhatsApp. Which is a simple mobile app, but very useful. Now, Mukesh Ambani or any other businessman can make the Same to Same app by spending a little money.
A better mobile app can also be made than this, but the problem is that it may not be so popular. Because all our friends are already registered on WhatsApp and if a new app is coming with the same to the same feature then why people will use it. There is not much value in his software. Anyone can make that. Value among people who used him and WhatsApp achieved him because he was the first.
So in the same way today if bitcoin is the most used currency as compared to all other cryptocurrencies and when everyone starts accepting payment from bitcoin itself, then there is a possibility that network effect will help it in the future and it will continue to grow.
Also Read: 5 Best low-risk Investment options in India
Bitcoin Investment strategy
So that’s why if you don’t have any idea how it works, but you still have to invest in it so that if it grows more in the future, then there is no regress then you can invest in a couple of percent of your portfolio. Huh. Meaning, invest as much money in it and you can use it to win. So that if its price increases in the future, then you can participate in it. But even if you have a loss, your financial condition will not make much difference.
Friends, I am saying this one to person because this is the strategy Elon Musk and other billionaires are using. Because when Elon Musk invested 1.5 billion in bitcoin, people were surprised to see such a huge amount. But now one should see a worse picture than how much was Elon Musk’s total wealth.
He has more than 150 billion in wealth. So even if he loses 1.5 billion, it will not make any difference to him. Because it is only 1% of his wealth. But if your total wealth is only one lakh rupees and you invest half of it in bitcoin, then thinking that it will grow quickly then you are taking a risk. Cryptocurrency Bitcoin Price All Cryptocurrencies Price.
So that’s why in the beginning you can try with a small amount and see how it is working and as you use it, your knowledge will also keep increasing.
In 2018 RBI banned Bitcoin from the company, but now they have lifted this ban and that’s why now we have many crypto axis and mobile apps from where we can invest in bitcoin and cryptocurrency.
So friends, I hope that you must have got to learn something from this article. If you liked this article, then do share it with your friends and family.