Bitcoin for Dummies


Whimsy word! B I T C O I N …….. Most sought, most searched and The Most valuable word of the 21st century. Let’s have a quick look at what it is and the cons before investing, luckily pros have much more charm to it so saving the best for the last.

Here we go,

  • How would it be if the banks wouldn’t freeze your account?
  • How would it be if money multiplies just while sitting there?
  • How would it be if you can customize your transaction?
  • How would it be if only you had the remote control over your money and no-one else?
  • How would it be if there are no middlemen in your transaction?
  • How would it be that it is accessible to even a remote village or island where there are no governments or banks?
  • How would it be if you can send money through continents with no transaction fees?
  • How would it be if your money can be converted to any currency of the world in an instant?

Well, wait. Are these, even possible, to have at least one of the above scenarios back is to have Sorcery back in this century and homo sapiens would just die to get their sovereignty back. It is!

Introduction on Bitcoinwhat is yield farming?

A solution to the aforementioned scenarios is BITCOIN and it is just one cryptocurrency built on Blockchain technology. It is a Digital CryptoCurrency and 1 Bitcoin has a current worth of CAD 40,000 as of date where it can be bought with any currency and held in a wallet online. Now, why did I mention it as Crypto and not just as any Digital Currency because that’s where the essence of it lies as it is built on strong cryptography. Another fancy word, Awh! I’m afraid so. It simply means it cannot be compromised and it is more probable that Martians will land on Earth in 2022 than a Bitcoin being compromised.

Wait! So far so great, then there is one such cryptocurrency in the whole world and its so easy to do transactions, no interest rate, full control over the money.

Nah! Bitcoin is not the only one, there are 4000 cryptocurrencies out there built on the same Blockchain technology and to name a few popular ones Ether, Uniswap, Stellar, Cardano, Binance, Tether and Monero. Each one has its value in the global commodity market.

Disadvantages of Bitcoin

Approaching to the cons of investing in Bitcoin are:-

  • Knowledge is very less
  • Super High Risk
  • Scams in Cryptocurrencies
  • No regulatory body assigned
  • High volatility in the market
  • Holding it is even riskier than investment

Increase fiverr gig traffic organic

Do not act in haste in proliferating money in a quirky way which is Bitcoin way without the basic knowledge of what it is, just look before you leap. The higher the risk, the higher the monetary value. The market for Cryptocurrencies can never be predicted just like our Stock markets Exchanges or NYSEs, it can have sharp crests, steeper troughs and also straight lines for many years. Question is, Do you have the patience?, Do you have the holding power? Do you know what it means to wait and what it means to sell at the correct time? Can you make informed decisions?

Holding the Bitcoin in a wallet is more like raising a Viper as a pet, you need to know that it’s an investment frenzy.

Advantages of Bitcoin

Let’s move on to the honey part of it, too much caution. The very reason that it cannot be centralized makes it more lucrative that there is not one body in control of the money. Then who controls it, It’s YOU! The holder of the cryptocurrency is the KINGMAKER. The more you hold, the vast is your empire. How can it not be compromised if it has so much value? here comes the trickiest part, for any transaction to happen it has to move from point A to point B and all the nodes it crosses while commute saves a copy of the ledger (a copy of what you are sending and how much!).

It is just not, point A and point B will know what is being sent but all the nodes it crossed while on its way will know what was being sent. Ideally, it means the whole transaction is decentralized in its way. You can in no way undo whatever was done, which means there is no returning to the nodes from point B to point A and change all the ledgers if the motive is not legit. Therefore Bitcoin is neither confidential nor anonymous, it is pseudonymous which means every sender or receiver has a public address that can be traced back to their IP address or exchange account.

Eventually, whatever the scenario is, let’s make a well-informed decision when it comes to investment options. Remember what Warren Buffet said, “Do not put all your eggs in one single Basket”.

Summary
Bitcoin for Dummies
Article Name
Bitcoin for Dummies
Author
Publisher Name
Lets Talk
Written By
More from Lets Talk

All about RippleNet and RTXP in comparison with Bitcoin

Truly, the Internet uses a protocol called HTTP, while RippleNet uses a...
Read More