It’s easy to chuckle at Bitcoin HODLers, but they’re right on one point—namely, that a blockchain-based medium of exchange could fully undermine a national currency, and sometime soon.
2017 was, in many ways, the year of Bitcoin. It was certainly the year in which the coin gained the most popularity, and in which the coin saw the most growth. Perhaps most importantly, it was also the year in which cryptocurrency hit the mainstream. No longer the stuff of early adopters and computer enthusiasts, these currencies have become a major part of the financial landscape. At the moment, the biggest question being asked by investors is whether there's still time to hop on that particular investment train. There's also a very valid question of whether it's even worth doing at this point. The answers require knowing a bit about Bitcoin and what it represents.
Cryptocurrencies are the way of the future, say experts like billionaire Elon Musk. Musk and many others believe that secure digital currencies like Bitcoin offer real advantages over traditional fiat currencies such as the United States dollar.
Bitcoin mining was never easy, but it's definitely a lot harder now in 2019. While some are calling the current landscape a bear market, with the right hardware, you can still do some successful mining. It's just always important to remember that, with any rig, you need to consider the computing power and the inevitable electricity costs.
Bitcoin wallets might be considered a "techie only" thing by many people, but I disagree. I'm an average person who just happens to be a fan of blockchain technology—and I see the amazing potential that digital currency has.
2009 was the year when Bitcoin first got released into the world. 10 years later, here we are. Bitcoin is still king of the crypto world and it helped usher in a wave of blockchain technology, unlike anything the world ever saw coming.
When Bitcoin first came out, it was the currency that was used primarily for drug purchases on Silk Road. It was a "criminal currency" that was used to hide wealth from the IRS, police, or really anyone who was involved in law enforcement.
I remember when my friends wanted to order some ecstasy off Silk Road. We were ravers, and we were also flat broke. It was also in 2012, back when the concept of buying anything off the Dark Web was primarily taboo.
To the casual observer, it's hard to believe that Bitcoin gained the success it now has. The idea of a digital currency, especially one that wasn't backed by the government, seemed ludicrous—if not outright insane. In most cases, the concept would be insane.
Bitcoin debit cards—say it with me. Bitcoin. Debit. Cards. It almost sounds traitorous compared to the criminal-ish, anti-establishment roots of cryptocurrency, doesn't it? Well, yeah, considering what Bitcoin was once used for, it does.
If there's one thing that keeps people from being willing to invest in cryptocurrency, it's the difficulty that comes with actually converting your digital currency into real currency once you decide it's time to cash out.
More than 10 years after the devastating economic recession of 2008 from the collapse of Goldman Sachs and other large financial firms, many Americans and people across the world have an ever-growing fear and distrust for the established banks and financial institutions that also make up the monetary backbone of the global economy. With the implosion of the housing market largely spurring on the decline, many Americans lost their homes and other assets. In a time when parties across the globe are devising new systems of financial commerce and banking, forerunners in the cryptocurrency field, such as Bitcoin, have risen to great prominence. The deviation from fiat currency, by a surprising number of institutions and no matter how large a commitment, has gained cryptocurrencies a deserved amount of attention. The exciting concept behind this alternative currencies can make it hard to weigh the legitimate risks and benefits of investing in them. With the mounting uncertainty of the current market, more people, at all levels of society, have looked to Bitcoin as an exciting way to solve their problems. Though Bitcoin subverts some of the most derided aspects of the traditional banking system, it is certainly not wholly immune to the scourge of a global financial recession. Due to the new territory that institutions like Bitcoin have broken, and the uncertainty of the markets, the biggest question on people's minds is what will Bitcoin do in a recession?