Header Ads


Breaking News
recent

Should I invest in Bitcoin or Crytocurrency?


Bitcoin and cryptocurrency seems to be the new trend nowadays.  In fact Bitcoin has hit US$17,874 and was projected to hit US$100,000 by the end of 2018.  This means that one single bitcoin is worth as much as that amount as of the writing of this article.  Other digital currencies are worth a lot lower.  Should you invest in Bitcoin or cryptocurrency now?


Figures as of December 16, 2017 Saturday +8GMT


This current trend is being embraced it seems by so many people.  I also heard that even the retail and mortgage industry in the United States might be using it. (Read: "Is Bitcoin the Future of Currency and Mortgage Transactions?" )

I am not really a believer of online currency.  Our current financial system uses currency that is backed by gold reserves per country.  This means that the current value in circulation is equivalent to the gold reserves.  However, similarly to cryptocurrency the value of gold is also depending on the current market trade value.

Unlike Gold, Bitcoin and other cryptocurrency has no intrinsic value or value by itself, unlike gold which is already valuable by itself.  Gold makes coins and paper bills acceptible and without gold a country cannot produce such.



Bitcoin may be a currency but should you invest?


There is a rapid rise in the price of Bitcoin, from a value of US$400 in 2016 when in early 2016, Mike Hearn, a prominent bitcoin developer, declared the currency a failure and announced he had sold all of his bitcoins.


“It has failed because the community has failed. What was meant to be a new, decentralised form of money that lacked ‘systemically important institutions’ and [was] ‘too big to fail’ has become something even worse: a system completely controlled by just a handful of people,” Hearn stated in a blog post.

Should you invest then in Bitcoin?  


With the current volatility of Bitcoin, my quick answer is NO.  Do not invest in Bitcoin yet.  You can try to invest in other cryptocurrency or just mine them and not actually spend your hard earned money.

There is no assurance that you can really earn from this or if you can even get back your investment.  In fact the U.S. Securities and Exchange Commission (SEC) issue a warning against cryptocurrencies.

"A number of concerns have been raised regarding the cryptocurrency and ICO markets, including that ... there is substantially less investor protection than in our traditional securities markets, with correspondingly greater opportunities for fraud and manipulation," Clayton said.

"If an opportunity sounds too good to be true, or if you are pressured to act quickly, please exercise extreme caution and be aware of the risk that your investment may be lost," he told investors in the statement. (Read "Bitcoin millionare: Don't invest in bitcoin")

A Briefer and History of Bitcoin


So what is Bitcoin then?  Here is a very informative infographic regarding all the fuzz about the cryptocurrency.


If you have feedback or comments regarding this article please do add it in the comment section below.


Visit My Blogs:
Products Blog The Life Trends Online Magazine Otaku Cosplay PH  BizH2o

Follow me on:
Facebook Twitter: @shenbrood Instagram: shenbrood Tumblr Google+

No comments:

Powered by Blogger.