You may have heard of Bitcoin. You may have heard a lot about the pros and cons of investing in Bitcoin. But maybe you don’t know what bitcoin is, how to invest here. And whether to invest in Bitcoin at all. Let’s find out, some useful information about Bitcoin.
What is Bitcoin?
In a word, cryptocurrency. That is, not money, not cards. Rather a bitcoin means a file, a computer. Which has to be transacted through ‘blockchain’-technology. That means bitcoin is used to send data to cyberspace.
Every bitcoin has to be mined through computation.
The number of bitcoins is also tied. The total number of bitcoins could be 21 million.
Neither the government nor the central bank controls the world of bitcoin, that is, the world of bitcoin is ‘decentralized’.
Need to keep in mind, whether Bitcoin or any cryptocurrency – all global. That is, it has no exchange rate. Its value is one in every country.
Keep in mind, there is a stark difference between ordinary online transactions and Bitcoin and its transactions.
Who was the first to use Bitcoin?
El Salvador is the first country to use bitcoin. In other words, in addition to the US dollar, they have also used Bitcoin as a legal payment method. Speaking at a Bitcoin conference, President Naib Buckley also said that citizens who live outside can easily send money home using Bitcoin.
Excitement and frustration
When Bitcoin first hit the market, its fans were overwhelmed, thinking that it would free the market. On the one hand, many people were upset because they thought it would disrupt the market. In any case, it is true that Bitcoin is already very volatile, meaning that its value has changed over and over again. Sometimes its price has dropped below twenty thousand dollars, sometimes its price has risen to 80 thousand dollars in one go.
This change is characteristic of cryptocurrency
Not just Bitcoin, but other cryptocurrencies like Ethereum or Ether, Dodgecoin, Binance Coin have also been hit hard.
Bitcoin Illegal in China
In 2019, China declared Bitcoin illegal to curb money laundering. Although Bitcoin can be traded online. But banks and payment companies are banned from using these cryptocurrency services. Even the three state-owned companies have announced that there will be no protection in losing money in crypto trading.
But now China is slowly turning its attention to cryptocurrency mining. Because in this special field, the anagona of big Raghav-Boyals has started again.
Is Bitcoin Bad for the Environment?
Many say so. Because mining this bitcoin costs 1 percent of the world’s electricity supply. Just as unconventional energy is used in bitcoin mining, so is fossil fuel.
Should I invest in Bitcoin?
Honestly, investing in cryptocurrency is very risky. Because it is not like investing in the conventional stock market. Many call it the ‘Wild Waste Industry’. Many even feared losing all their money.
So invest in Bitcoin right now? If you want to take a risk, there is nothing to say. But think a lot before that.