I didn’t know what Bitcoin was exactly about 2 years ago when they made it to the news and businesses were starting to accept Bitcoin, a digital currency as a form of payment. Investors talked about the volatility of this digital currency because it is unregulated and nobody even knows who created Bitcoin even till this day.
Back then, many weren’t even taking Bitcoin seriously. I, myself, felt that cryptocurrency or crypto is just a fad which will die out sooner than I think. But my view towards crypto changed after watching Ryan Higa’s interview with Michelle Phan on YouTube. In the podcast, she talks about Bitcoin and how she strongly believe in this digital asset. I was convinced that crypto seems to be a solution to many of the world problems we are facing today. I wanted to have a stake in this but I did not know how to acquire Bitcoin. There were also articles that warned investors about the risks of crypto. Forget it. I knew nuts about investing and I did not even own a single stock back then.
Two years later, here I am, hungry to know more about crypto, altcoins and NFTs. I enjoyed having conversations with people who are into crypto. Why do I believe in crypto and the technology behind it?
Disclaimer: I am just a regular 9-to-5 job holder and I am not a financial advisor or expert. Whatever opinions expressed in this article are solely my own.
1. Bitcoin is the new gold.
What makes gold really valuable? It is limited in quantities and it requires a lot of manpower and time to mine gold. It is no wonder people often dubbed Bitcoin as a digital gold because of its similar attributes to real gold. Bitcoin, like gold, is scarce. There are only 21 million coins which can be mined in total. Currently, there are only about 2 million Bitcoins left which aren’t circulating yet. The only difference is gold is tangible and Bitcoin is not.
At this point, you must be thinking who even created Bitcoin. Interestingly, it is created by someone anonymous. The world only knows that the Bitcoin creator goes by the name of Santoshi Nakamoto. Is he a Japanese dude? Nobody knows. But we do know that 1 Bitcoin now worth over USD$60,000 and it is still rising at this time of writing. Back in July 2010, 1 Bitcoin was worth USD$0.0008. If you have bought 100 Bitcoins in July 2010 with USD$ 0.80 back then, you will be multi-millionaire today. Now, that’s truly insane.
2. Banks and businesses have jumped into the cryptocurrency bandwagon.
DBS has just launched a full-service digital exchange which enables trading of digital assets including cryptocurrencies. However, this service is a members-only exchange for Institutional Investors and Accredited Investors.
Other than banks, reputable financial service companies like PayPal have allow consumers to buy, sell and hold cryptocurrencies. Companies like Tesla are accepting Bitcoin as a form of payment. Did you know that you can even buy houses in the US with Bitcoin?
3. Cryptocurrency solves major world problems like poverty.
Many people are against crypto for one sole reason; it is not regulated by the government and is not a legal tender. Because it is unregulated, there is a widespread belief that crypto allows for fraud and money laundering activities. But if you think about it, financial crimes are still rampant in today’s world with our regulated currencies. Sometimes, it is not about the technology or the environment but the people.
In fact, I believe that crypto, on the other hand, will alleviate world problems like poverty rather than worsening today’s problems. With blockchain technology, fees can be transferred at virtually no cost as it goes direct from the buyer to the seller. Because each transactions can be verified and carried out securely, it would actually prevent corruptions and fraud. As such, it will not only help small businesses owners like the farmers in Ethiopia but also improve humanitarian assistance where the money intended for reducing poverty and health can be channelled to the right source to actually help people in need.
4. It’s not always about the money but the technology behind it.
The reason why I invested in crypto is not solely about the profits but the technology in itself. I am supportive of blockchain technology and I hoping that this technology will change the world for the better.
We know that many crypto investors talk about the gains, the dips and the swing highs but crypto would not soar without the revolutionary technology. Without COVID-19, the world would not have plunge into this advance technology which provide equal opportunities for all.
Everything falls nicely into the picture when you look at the bigger schemes of things.
Will cryptocurrency crash?
Blockchain technology is here to stay. And because it is here to stay, I foresee that government will start adopting cryptocurrencies. That explains why I am investing in cryptocurrency. If you like to find out more about how I buy crypto on Tokenize Exchange, stay tuned for my next blog post.