Should You Invest In Bitcoin?

If you invested just $100 in Bitcoin in 2011, you would have more than $2,000,000 dollars today. You could've become a millionaire, just with a hundred dollars. You could have even become a billionaire if you invested a few thousand dollars. Bitcoin is the hottest topic today because its price is absolutely skyrocketing. It went from a single dollar in 2011 to over $19,000 in recent days.

Are You Considering an Investment in Bitcoin?

A lot of people are wondering if they should invest in Bitcoin. Is it too late? Or is there still a fortune to be made? That's the question we'll try to answer. For most of history we have used gold, silver and other precious metals as forms of currency, of which for the most part being, we used gold. We've been using paper money for centuries now, but things were different then because paper money used to be backed by gold. That means every dollar used to represent the same amount of gold in the bank. Instead of having pockets filled with gold, you could have simply carried paper, which you were able to exchange for gold anytime. To put things in other words, you simply couldn't print money like governments do today unless you had the equivalent in gold as collateral. And that's where the problem started. Right after the World War II, the United States Dollar became the international currency of the world due to the US having more than 70% of the entire global supply of gold. Since then, they were able to print more money than anyone else. Ironically, the US printed more money than the amount of gold they had, so when other countries requested to exchange their dollars for gold, the United States government replied with, "Whoops, sorry. We aren't in the business of exchanging dollars for gold, and the reason for that is, well, we don't really have any." This began happening in 1971. Since then, money has become a piece of paper that's become less and less of any value.

Can Bitcoin Replace The Dollar?

The people in power can now simply print as much money as they want. That's why prices increase every year, and this lead to the entire economy collapsing in 2008. Can you guess what governments did to save the economy? They printed even more money. The United States alone printed over 4 trillion dollars. That's the basic problem with paper money. It's a centralized currency controlled by a small group of people that can easily be created out of thin air. In 2009, a guy named "Satoshi Nakamoto" came out with something extraordinary. A peer to peer decentralized currency that relies completely on an open source protocol, suspended from human error. How is that even possible? There's an underlying technology that allows everyone to communicate with one another so everyone that's a part of the network is on the same page. With exceptions. One of which being, you can't just create Bitcoin out of thin air. A limited amount of currency will ever be existence, a limited supply, like gold. So let's go back to the original question.

Should You Invest In Bitcoin?

The answer is yes and no. Yes, because it seems like investing in Bitcoin could potentially be the future of money. But, Bitcoin isn't the only cryptocurrency out there. There's also Ethereum, Litecoin and now thousands of others. Since January of 2017, the price of each Bitcoin grew from being worth less than $1,000 to almost $20,000. The fact is that with anything that grows to fast, there's a higher probability of collapsing. The question is that most people don't know how much higher the price will go. It may go to $20,000, $25,000 or even $100,000 before it collapses. Then there's the possibility of prices going to heights of being worth in the millions per coin.

author default image - Managing Institutional Investments In Digital Currency

Buy, sell and invest in digital currency instantly with zero fees. A managed cryptocurrency portfolio with full custody solutions. Click here to create an account.