Bitcoin vs Goldcoin:

Bitcoin … Money Nirvana?

If you do not know what bitcoin is, do a little research on the internet և you will get a lot … but the short story is that bitcoin was created as a medium of exchange without a central bank or issuing bank. being involved. Moreover, Bitcoin transactions are presumably private, it is anonymous. The most interesting thing is that bitcoins do not exist in the real world. they exist only in computer programs as a kind of virtual reality.

The general idea is that bitcoins are “mined” … an interesting term here … solving an increasingly complex mathematical formula. again interesting- computer. Once created, the new bitcoin is put in an electronic “wallet”. Then it is possible to trade in real goods or in Fiat currency with bitcoins … և vice versa. Moreover, since there is no central issuer of bitcoins, all of them are highly distributed, so it is resistant to being “managed” by the government.

Naturally, the supporters of bitcoin, those who benefit from the growth of bitcoin, quite loudly claim that “of course, bitcoin is money” … not only that, but “it’s the best money ever, the money of the future”, etc. .. Well, Fiat supporters are shouting so loudly that paper currency is money … և We all know that Fiat paper is not money at all, because it does not have the strongest attributes of real money. The question is whether bitcoin even qualifies as money … do not mind it being the money of the future or the best money ever.

To find out, let’s look at the attributes that define money,: see if Bitcoin fits. The three main features of money are:

1) Money is a stable store of value. the most essential attribute, because without value stability, the numeraire function or unit of value fails.

2) money is the number plate, the unit of account;

3) money is a means of exchange … but this function can be performed by other things as well, that is, direct exchange, “net exit” of the exchanged goods. Also “commercial goods” (cheat), which have a temporary value. և finally mutual credit exchange; that is, by zeroing the value of the promises made through the exchange of bills or IOUs.

Compared to Fiat, Bitcoin is not so bad as a medium of exchange. Fiat is accepted only in the geographical area of ​​its issuer. Dollars are not good in Europe, are they? Bitcoin is internationally accepted. On the other hand, very few retailers currently accept bitcoin payments. If the reception does not increase geometrically, Fiat wins … or at the cost of exchange between countries.

The first condition is much tougher. Money should be a stable store of value … now bitcoins have risen from the “value” of $ 3.00 to about $ 1,000 in just a few years. This is almost so far from being a “stable store of value”. how can you get it! Indeed, such achievements are a perfect example of a speculative boom … like Dutch tulip bulbs, small mining companies or Nortel shares.

Of course, Fiat is failing here as well; For example, the US dollar, the “main” Fiat, has lost more than 95% of its value in a few decades … neither fiat nor Bitcoin correspond to the most powerful measure of money. Ability to store value over time պահպան to maintain value. Real money, that is, gold, has shown its ability to hold value not only for centuries but for centuries. Neither Fiat nor Bitcoin have this potential … both fail as money.

Finally, we come to the second feature. that being a digit. Now this is really interesting և we can see why և Bitcoin և Fiat’s fail as money by looking closely at the issue of ‘numbers’. Numeraire refers to the use of money not only to maintain value but also to measure or compare value in a certain sense. In Austrian economics it is impossible to measure value in reality. After all, value is only in the human consciousness … և how can one actually measure something in the consciousness? However, through the Mengerian principle of market action, that is, the interaction of supply and demand, market prices can be set … if only for a moment … և This market price is expressed in numbers, in the best-selling commodity, which is money.

So how do we determine the value of Fiat … through the concept of “purchasing power”, that is, the value of Fiat is determined by what can be sold – the so-called “basket of goods”. But he clearly assumes that Fiat has no value of its own, rather the value derives from the value of the goods and services with which it can be sold. The causal link flows from the “purchased” product to the Fiat number. After all, what is the difference between a “hundred dollar bill” of one dollar and the number printed on it?

Gold, on the other hand, is not measured by what it trades. rather, uniquely, it is measured by another physical standard. by its weight or mass. A gram of gold is a gram of gold, and an ounce of gold is an ounce of gold … no matter what number is engraved on its surface, “face value” or otherwise. Reason is the opposite of Fiat. Gold is measured by weight, by internal quality … not by purchasing power. Do you know the value of a dollar ounce now? Nothing like that. Fiat is “measured” only in passing quantity … the number printed on it, the “nominal value”.

Bitcoin is far from being a digit. not only is it just a number as much as Fiat … but its value is measured in Fiat. Even if bitcoin becomes internationally accepted as a medium of exchange, even if it succeeds in replacing the dollar as an accepted “number”, it can never have the internal size of gold. Gold is unique in that it is measured in real, unchanging physical quantity. Gold has been unique in its value for thousands of years. Nothing else available to mankind has this unique combination of qualities.

In conclusion, while Bitcoin has some advantages over Fiat, in particular anonymity and decentralization, it fails to claim to be money. Its advantages are also questionable. The goal is to limit bitcoin mining to ,000 26,000,000; that is, the “mining” algorithm becomes more and more difficult to solve, then impossible after extracting 26 million bitcoins. Unfortunately, this announcement could very well be the death of bitcoin. Some central banks have already announced that bitcoins can become a “reserve” currency.

Wow, that sounds like a big step for Bitcoin, doesn’t it? After all, the “big banks” seem to accept the real value of bitcoin, right? This actually means that the banks are realizing that they can exchange Fiat for bitcoins … և In fact, buying the planned 26 million bitcoins will cost a small $ 26 billion Fiat. Twenty-six billion dollars is not even a small change for Fiat printers. it costs about a week to be published by the US Fed alone. And when the bitcoins were bought and locked in the “wallet” of the Federation … what useful purpose could they serve?

There will be no bitcoins left in circulation. perfect angle. If there are no bitcoins in circulation, how can they be used as a medium of exchange? And what could Bitcoin issuers do to protect themselves from such a fate? Change the algorithm to increase it to և 26 million … to 52 million? To 104 million Join the Fiat Print Parade! But then, according to the quantitative theory of money, bitcoin will start to lose value, just as Fiat supposedly loses value through “overprinting” …

We come to the key question. Why look for “new money” when we already have the best money – Gold? Fear of gold confiscation. Lack of anonymity from the invading government. Severe taxation? Fiat Money Bargaining Laws. All the above. The answer is not in the new horse of money, but in the new social structure, without Fiat, without government espionage, without drones, without swat teams … without the IRS, border guards, TSA thugs, the world of freedom, not tyranny. : Once that is done, Gold will resume its ancient և vital role as honest money … և not a minute ago.

Why will there never be another bitcoin?

Well, that’s been a crazy 10 years for Bitcoin. In fact, it was more than 10 years ago that Bitcoin was first created by Satoshi Nakamoto. Whoever he or she is, they have had a huge impact on the world. They no doubt predicted it, so they chose to disappear into the spotlight.

So, more than a decade later, Bitcoin is still alive ուժեղ stronger than ever:. Thousands more cryptocurrencies have emerged since everyone tried to imitate the king of Crypto. Everyone has failed և will continue to fail. Bitcoin is a type. Something that can not be repeated. If you do not know why, let me explain.

If you do not know what bitcoin is, I will just give you a few brief basic points.

  • Bitcoin is an online cryptocurrency

  • It has a maximum supply of 21 million

  • It can not be falsified

  • Not all coins are still in circulation

  • It is completely decentralized, without any control

  • It can not be censored

  • That’s Peer to Peer Money

  • Anyone can use it

  • Bitcoin has a fixed supply, which decreases every 4 years

How is Bitcoin different?

So how is Bitcoin different from the thousands of coins that have been invented since then?

When bitcoin was first invented, it began to spread slowly to a small group of people. It grew organically. As people began to see the benefits of bitcoin և how the price would rise because of its fixed supply, it began to grow faster.

The Bitcoin blockchain is now popular with hundreds of thousands of computers around the world. It is out of the control of any government. Its creator has disappeared, and now it works on its own.

Developers can upgrade և upgrade the Bitcoin network, but this must be done with my consent throughout the Bitcoin network. No one can control bitcoin. This is what makes Bitcoin unique and impossible to duplicate.

There are thousands of other cryptocurrencies now, but as an example of how Bitcoin differs, I will use Ethereum as an example. It is now one of the largest Alt coins հետո exists since it was invented by Vitalik Buterin in 2015.

Vitalik controls the Ethereum blockchain և, in fact, has the final say in any development at Ethereum.

Censorship և Government intervention

For example, let’s imagine that Iran is sending billions of dollars to North Korea to fund its new nuclear weapons program. This is not a good situation, but it’s supposed to show how safe your money is in Bitcoin.

What .. the first example. Iran uses a standard banking system and transfers that amount to North Korea in US dollars. The US government says that for a moment, we should freeze these deals and confiscate the money. It’s easy. They do it right away, և the problem is over.

The second example. The same thing happens again, but this time Iran uses the Ethereum blockchain to send money to North Korea. The US government sees what is happening. A phone call is made.

“Get Vitalik Buterin here NOW”

The US government is “putting some pressure” on Vitalik, they are forcing him to drop the blockchain, to cancel Iran’s deals. (The Ethereum blockchain used to roll back when a hacker stole a lot of money).

The problem is solved. Unfortunately, Ethererum’s reliability will decline along with its price.

Ethereum is just an example, but it’s true of any other cryptocurrency.

Bitcoin cannot be stopped

So the same thing is repeated. This time Iran is using bitcoin as a method of payment. The US government sees this and is powerless to stop it.

There is no caller. There is no one to put pressure on. Bitcoin is out of censorship.

Any other cryptocurrency created by someone or a company there will always be a point of failure. They are still concentrated.

Another example could be if Vitalik’s family was taken hostage. Bitcoin is beyond that, which is why it is the safest investment on the planet.

Learn how to use Bitcoin

Everyone should have some bitcoins. It’s not without it, but it is dangerous. If you are new to Bitcoin, you need to learn as much as you can before investing any money. Mastering bitcoin is a big responsibility. Learn how to use bitcoin safely.

Simple tips to help you choose a bitcoin exchange

When it comes to trading with BTC, you need to know that there are many options available to people looking for bitcoin exchanges. However, when you choose this investment avenue, you need to be informed before you start. The process of transferring money to the stock exchange is not always easy, it can actually be a difficult process that requires a lot of thought and planning. Bitcoins are not always easy to obtain, և you need to evaluate things objectively before choosing an exchange.

Consider liquidity

Instead of choosing an exchange just because a site looks good, you need to consider some important characteristics such as liquidity. The fact that the market is based on the people who want to buy or sell the currency means that you have to take into account the liquidity of the exchange. This affects the ability to sell effectively without significant price changes. Remember that liquidity is affected by the number of buyers and sellers available.

Think about fees

The buying-selling process costs money, which is the impetus for exchanges to operate as a business. However, unlike buying stocks or bonds, these exchanges usually charge interest. This process is different from the discount brokers used by most investors, who usually charge a fee based on a fixed rate. This means that buying and selling can be quite expensive over time. It is a good idea to talk to the best bitcoin brokers before you start.

Consider availability

The risk of an attack on the stock market is a reality that traders must take into account. This is usually done as a way to profit from subsequent price fluctuations. Bitcoin tends to be volatile, and any attack that leads to higher prices can benefit malicious hackers. This is something that has affected even the highest exchanges. Host tracker is a tool that can measure site accessibility. When making a decision, you should be aware of the dangers of attacking the exchange.

When deciding to buy, keep in mind that different exchanges are not created equal,: you have to be careful when choosing. Think about different considerations և consider your specific circumstances so that you can choose the best exchange for you. Fortunately, there are many online resources that make it easy to do research, and you can get all the information you need.

Digital currency


Cryptocurrency is a digital currency. It is also called a virtual currency. It is a digital asset that conducts its transactions through cryptography, the password is used opaque և confirms transactions. In many countries, cryptocurrencies are used as alternative currencies. Bitcoin was added in 2009 as the first decentralized cryptocurrency. Since then, many different cryptocurrencies have appeared on the market. These are commonly known as Altcoins. These currencies use decentralized management as a counterweight to centralized digital money և central banking systems.

Distributed management uses the Bitcoin blockchain database as a paid logbook. The encryption device generates a decentralized cryptocurrency at a predetermined price, which is communicated to the public. In the Central Banking System ում In the Federal Reserve, the boards of directors or governments manage the cash flow through cash, and the exchange is done through digital bank books. However, in a decentralized cryptocurrency, companies or governments may not produce new organizations or provide support to various companies, banks, or companies that have assets.

Satoshi Nakamoto Group has developed the leading technical tool for decentralized cryptocurrencies. Nearly a thousand cryptocurrencies were created by September 2017, many of which are comparable to bitcoin. Security and Integrity in Cryptocurrency Systems և Main logs are maintained by a team of mutually suspicious parties known as miners, through which the general public is authenticated using their computer systems, and time stamp transactions are maintained on a special schedule. Miners to maintain cryptocurrency registers for economic reasons.

Most cryptocurrencies permanently minimize currency production by limiting the total amount of currency in circulation, mimicking precious metals. Unlike regular currencies held through foreign exchange institutions, such as cash warehouses, cryptocurrencies are difficult for law enforcement to seize. This problem is due to the use of cryptographic technologies. Law enforcement officers were involved in the Silk Road case, where Ulbricht’s bitcoin vault was “encrypted”. Cryptocurrencies like Bitcoin are pseudonyms, and add-ons like Zerocoin have been suggested to provide genuine anonymity.

Some unknown person or person used the title Satoshi Nakamoto թվականին In 2009 he added Bitcoin, the first digital currency. In it, the SHA-256, the hash code function, was used as a working scheme. Namecoin was previously deployed in April 2011. Litecoin was once released, but in October 2011 Scrypt had an easy-to-use feature. Cryptocurrency, Peercoin used the hybrid as proof of work. IOTA did not use blockchain, it uses entanglement. Built on a custom blockchain, The Divi Project allows you to use non-publicly identifiable information for transactions without the hassle of buying, selling, wallet trading. Many unique cryptocurrencies have since been created, but only a few have been successful as there have been no technical innovations.

The first bitcoin ATM was installed in Texas on February 20, 2014 by Robocoin creator Jordan Kelly. This ATM was identical to bank ATMs, but it examined user identifications, such as a passport or driver’s license. with the help of scanners. Almost 1574 bitcoin ATMs were installed in different countries in 2017, and in total, in 2017, 3 ATMs were connected daily.

The legal level of cryptocurrencies varies greatly from country to country, and is still maintained in many of them. While some countries have explicitly allowed their use and trade, others have banned it. In addition, different state institutions have restricted bitcoins in different ways. In 2014, the People’s Bank of China banned the use of bitcoins by Chinese financial institutions. In Russia, however, cryptocurrencies are legal or it is criminal to use currencies other than the Russian ruble to buy goods. The US Internal Revenue Service allowed bitcoin to be subject to capital gains tax, and on March 25, 2014, this decision clarified the legality of bitcoin.

The benefits of paying with Bitcoin

Because virtual currencies have a unique nature, they offer many advantages over traditional currencies. The world of digital currency has undergone many positive changes over the last few years. There are many cryptocurrencies, but bitcoin is one of the most popular. In this article, we are going to look at some of the most obvious benefits of making payments in Bitcoin. Read on to find out more.

1. User autonomy

For many users, digital currencies give them more freedom than regular currency. People can have better control over how they spend their money. The good thing is that they do not have to deal with an intermediary like the government or the bank.

2. Discretion

Another advantage is that items purchased with Bitcoin are discrete. Only the user can publish his Bitcoin transactions. Besides, their name is not next to the deals. Besides, it is almost impossible to trace these deals.

In fact, every transaction has a different bitcoin address. But that does not mean that these deals are impossible to trace. So if you do not want to tell others where you spent your money, you can use cryptocurrencies to make payments.

3. Peer-to-Peer Focus:

Another great advantage of the Bitcoin payment system is that it is peer-to-peer based. In other words, users can receive and send payments without the approval of any authority. Payments can be made in seconds, as long as the user is connected to the Internet.

4. There are no bank fees

Unlike traditional fiat currencies, bitcoin has no deposit fees, overdraft charges or minimum balance fees. Therefore, you do not have to worry about your account maintenance or balance payments.

5. Low transaction fees

As a rule, foreign purchases և regular money transfers are accompanied by exchange costs և payments. Because cryptocurrencies do not require the involvement of the government or any intermediary, the transaction costs are quite low. If you are a traveler, this can be a great advantage for you. In addition, bitcoin transfers are very fast, which eliminates the need for long-term authorization.

6. Mobile payments

Like any online payment system, cryptocurrencies can be used to make payments through their mobile phones as long as they are connected to the Internet. Consequently, they do not have to go to their bank to shop. Moreover, you do not need to show your personal identity to complete the transaction.

7. Availability

Sincere users can get and send bitcoins using their computer or smartphone, there is no need to involve a traditional bank or other body. In addition, users do not need to use their credit cards to make payments. So Bitcoin offers more access than any other option you can try.

In short, these are just some of the benefits of using Bitcoin payments over traditional payment methods. Hopefully, this article will help you better understand cryptocurrencies.

Coinbase. Bitcoin start-up is expanding to capture more of the market

The price of Bitcoin rose sharply in 2017. Coinbase, one of the world’s largest cryptocurrency exchanges, was in the right place at the right time to capitalize on the growth of interest. Even so, owning one is still beyond the reach of the average person. The company is returning money to its master plan to stay ahead of the much larger cryptocurrency market. By 2017, the company had revenue of $ 1 billion and more than $ 150 billion in assets sold to 20 million customers.

San Francisco-based Coinbase is known as the leading cryptocurrency trading platform in the United States, with its continued success ranking 10th on the CNBC Disruptor list in 2018 after failing for the past two years. .

On their way to success, Coinbase left nothing to be desired in the theft of key executives from the New York Stock Exchange, Twitter, Facebook and LinkedIn. The size of its full-time engineering team has almost doubled this year. was bought by Coinbase this April for $ 100 million. This platform allows users to send, receive digital currency by replying to mass market emails, and perform micro tasks. The company now plans to bring in former Andreessen Horowitz venture capitalist, Earns founder and CEO as the first technology director in its history.

According to current estimates, Coinbase estimated itself at about $ 8 billion when it was going to buy Earn.Com. This value is much higher than the $ 1.6 billion estimate estimated in the last phase of venture capital financing in the summer of 2017.

Coinbase declined to comment on its assessment, despite the fact that it has more than $ 225 million in funding from top VCs, including Union Square Ventures, Andreessen Horowitz and the New York Stock Exchange.

The New York Stock Exchange plans to open its own cryptocurrency exchange to meet the needs of institutional investors. NYSE rival Nasdaq is considering a similar move.

• The competition is approaching

As competitors seek to cut a bit from Coinbase’s business, Coinbase is looking for other venture capital opportunities by trying to build a trench around the company.

Nomura instant analyst Dan Dole says Square, led by Twitter CEO Jack Dorsey, could join Coinbase’s stock exchange business as it began trading cryptocurrencies in January with its Square Cash app.

According to Dole estimates, Coinbase’s average trading payments in 2017 were approximately 1.8%. These high fees can push users to other cheaper exchanges.

Coinbase aspires to become a single window for institutional investors while hedging its exchange business. To attract the investor class of these white gloves, the company announced a new product fleet. This class of investors was especially wary of diving into the volatile cryptocurrency market.

Coinbase Prime, The Coinbase Institutional Coverage Group, Coinbase Custody և Coinbase Markets are the products released by the company.

Coinbase believes that there are billions of dollars of institutional money that can be invested in digital currency. It already has $ 9 billion in customer custody assets.

Institutional investors are concerned about security, even though they know that Coinbase has never been hacked like some other global cryptocurrency exchanges. Coinbase chairman OO COO said that the impetus for the launch of Coinbase custody last November was the lack of a trusted custodian to protect their crypto assets.

• Wall Street is currently moving from Bashing Bit to Cryptocurrency Backer

According to the latest data available from Autonomous Next Wall Street’s, interest in cryptocurrency seems to be growing. There are currently 287 cryptocurrency hedge funds, while in 2016 there were only 20 cryptocurrency hedge funds. Goldman Sachs has even opened a cryptocurrency trading table.

Coinbase has also introduced Coinbase Ventures, an incubator fund for early-stage cryptocurrency blockchain startups. Coinbase Ventures has already accumulated $ 15 billion for further investments. His first investment was announced in a startup called Compound, which allows you to borrow or lend in cryptocurrency while earning interest rates.

In early 2018, the company launched Coinbase Commerce, which allows traders to accept major cryptocurrencies for payment. Another bitcoin startup was BitPlay, which recently raised $ 40 million in ventures. BitPlay processed more than $ 1 billion in bitcoin payments last year.

Proponents of blockchain technology believe that in the future the cryptocurrency will be able to eliminate the need for central banking. In the process, it will reduce costs and create a decentralized financial solution.

• Regulatory security remains intensive

Coinbase has been widely criticized for restricting access to four cryptocurrencies. But they must be careful as US regulators discuss how to control certain uses of the technology.

For cryptocurrency exchanges like Coinbase, the concern is whether cryptocurrencies are securities that fall under the jurisdiction of the Securities and Exchange Commission. Coinbase is certainly slow to add new coins, as the SEC announced in March that it would enforce security rules on all cryptocurrency exchanges.

The Wall Street Journal reports that Coinbase met with SEC officials to register as a licensed brokerage and e-commerce site. In such a scenario, it would be easier for Coinbase to support more coins while also complying with security rules.

What is Bitcoin? Is it a good investment?

Bitcoin (BTC) is a new type of digital currency with cryptographic keys that is decentralized to a computer network used by miners around the world and not controlled by a single organization or government. It is the first digital cryptocurrency to gain public attention and is accepted by a growing number of traders. Like other currencies, users can use digital currency to buy goods and services online, as well as at some physical stores that accept it as a form of payment. Currency traders can also trade bitcoins on bitcoin exchanges.

There are some major differences between Bitcoin and traditional currencies (such as the US dollar).

  1. Bitcoin does not have a centralized authority or clearing house (for example, government, central bank, MasterCard or Visa network). The Balancing Payments Network is managed by users: miners around the world. Currency is transferred anonymously directly to users via the Internet without going to a clearing office. This means that transaction fees are much lower.
  2. Bitcoin is created through a process called “Bitcoin mining”. Miners around the world use mining software իչներ computers to solve complex bitcoin algorithms և to approve bitcoin transactions. They are rewarded with transaction fees and new bitcoins resulting from the solution of bitcoin algorithms.
  3. There are a limited number of bitcoins in circulation. According to Blockchain, as of December 20, 2013, there were about 12.1 million in circulation. The difficulty of extracting bitcoins (solving algorithms) becomes more difficult as more bitcoins are created and the maximum turnover is set at 21 million. The limit will not be reached until approximately 2140. This makes bitcoins more valuable as more people use them.
  4. A public log called Blockchain records all bitcoin transactions and shows the corresponding reserves of each bitcoin owner. Anyone can access the public log to check transactions. This makes digital currency more transparent and predictable. More importantly, transparency prevents fraud – the double cost of the same bitcoins.
  5. Digital currency can be obtained through bitcoin mining or bitcoin exchanges.
  6. Digital currency is accepted online by some retailers with a limited number of merchants.
  7. Bitcoin wallets (like PayPal accounts) are used to store bitcoins, private keys, and public addresses, as well as to transfer anonymous bitcoins to users.
  8. Bitcoins are not insured, they are not protected by government agencies. Therefore, they can not be recovered if the secret keys are stolen by hackers or lost due to a failed hard drive or the closure of the bitcoin exchange. If the secret keys are lost, the associated bitcoins can not be recovered and will go out of business. Visit this link for the bitcoin on the FAQ.

I believe that bitcoin will gain more popularity among the public, as users can remain anonymous when buying products and services online, transaction fees are much lower than credit card payment networks. The Public Booklet is available to anyone that can be used to prevent fraud. The supply of currency is limited to 21 million, and the payment network is operated by users and miners instead of the central government.

However, I do not think it is a great investment because it is too volatile. For example, the price of bitcoin has risen from about $ 14 to $ 1,200 this year, before falling to $ 632 per BTC at the time of writing.

Bitcoin grew this year as investors speculated that the currency would be more widely accepted and that it would grow. The currency fell 50% in December as BTC China (China’s largest bitcoin operator) announced that it could no longer accept new deposits due to government regulations. And according to Bloomberg, the Central Bank of China has banned financial institutions and payment companies from conducting bitcoin transactions.

Bitcoin is likely to be more widely accepted over time, but its price is extremely volatile, sensitive to very sensitive news, such as government regulations and restrictions, which can adversely affect the currency.

Therefore, I do not recommend investors to invest in bitcoins unless they are purchased for less than $ 10 per BTC, as this will allow: a much larger level of security.

Otherwise, I think it is much better to invest in stocks that have a strong foundation, such as great business prospects, management teams, because the underlying companies have intrinsic values, more predictable.

Revelation. Victor Liang has no position in Bitcoins և does not plan to change his position in the next 72 hours.

Simple ways to buy and invest in Bitcoin

What is Bitcoin?

Bitcoin is a decentralized, equal-to-equal digital currency system designed to enable online users to process transactions through a digital exchange unit known as Bitcoins. That is, it is a virtual currency.

The Bitcoin system was created in 2009 by an undisclosed developer. Since then, Bitcoin has attracted a great deal of attention, with controversy as an alternative to the US dollar, the euro, and commodity currencies such as gold and silver.

To rise in popularity

Bitcoin did not receive much attention in the business and financial world until 2009. It rose in 2011-2012, when it gained more than 300%. Bitcoin has registered a 400% increase in its value since August last year. As a result, venture capital companies and investors continue to use cryptocurrencies around the world.

In the first half of 2014, venture capital firms invested $ 57 million in bitcoin in the first quarter, followed by $ 73 million in the second quarter, totaling $ 130 million, which is 50% more than the $ 88 million total of the previous year. This is in stark contrast to the 2012 scenario, where bitcoin firms accumulated a relatively small amount of money – $ 2.2 million.

This statistic definitely proves that Bitcoin is worth your investment, which raises the question of how you can buy and invest in Bitcoin.

A guide for beginner bitcoin investors

The easiest աք least complicated way to invest in Bitcoin is to buy bitcoins. There are many established companies, mainly in the US, as well as abroad, which are engaged in buying and selling bitcoins, abbreviated as BTC.


If you live in the US, Coinbase is the place to look. Coinbase provides its customers with 1% BTC more than the current market price. Residents of the United States have the ability to synchronize their Coinbase wallets with their bank accounts. As a result, transfers of future payments are made without difficulty. This company also allows you to make automatic purchases of bitcoins from time to time. For example, if you are interested in buying $ 50 worth of bitcoins at the beginning of each month, Coinbase allows you to create an automatic purchase for that amount.

Please note the terms and conditions before using this service. If you subscribe to an automatic bit coin service, you will not be able to control the price at which BTC is purchased each month. Note that Coinbase does not act as a bitcoin exchange, ie you buy or sell coins directly from the company. Because the company has to supply coins from other buyers, you may encounter delays or disruptions when ordering in the fast-paced market.


BitStamp meets the requirements of a regular bitcoin exchange. Bitcoin acts as an intermediary that allows you to trade with other users, not the company. Liquidity is higher here և you always have a good chance of finding someone who is willing to trade with you. There is a down payment of 0.5%, which can be reduced to 0.2% if you trade $ 150,000 within 30 days.

Alternative Ways to Buy Bitcoins

Local bitcoins

Exchange is not the only method of investing in bitcoins. Local bitcoins are often used to buy BTC online. The site is designed to connect potential buyers and sellers. Bitcoins are held by the seller և can only be issued to buyers.

Buying bitcoins offline is not always very reliable or secure. Therefore, it is preferable to meet with vendors during the day և to let a friend mark you if everything falls south.

Bitcoin is not just a modern trend. Venture capital companies consider bitcoin a worthy replacement for ordinary currency in the long run. There are meaningless ways to enter the Bitcoin investment arena. As previously mentioned, Coinbase, BitStamp և Local Bitcoins are the most popular channels for investing in bitcoin in the US. Do your homework և Find out which avenue marks all your boxes.

Bitcoin և How to make money with it

Hello to you,

This is my first article here, so I hope it confirms, I’m going to share some points bitcoin և: blockchain.

For those of you who do not know what Bitcoin: let me say this Bitcoin: It is a currency that cannot be controlled by any bank or government, it is mainly a virtual currency, it can be bought online for real money. So, apart from being a decentralized currency, what are some of its benefits? bitcoin Anywhere in the world, at no cost, you can be 100% anonymous in transactions, thanks to a technology called: blockchainSo what’s the use of it, you might ask, well, let me tell you, when it was first launched, it’s absolutely worthless, but now 1 bitcoin = $ 6689.35, that’s a pretty impressive increase, is not it:

So how does this grow, you might ask, well let me tell you how to keep the blockchain, there has to be something called a log where all the transactions have to be listed, համար hashing has to be solved to become a blockchain blockchain function: and bitcoin production through hash solutions is called bitcoin mining.

People used to use graphics cards to solve the hashing function, but over time, bitcoin mining became more difficult, and special equipment called ASIC mines was introduced.

Thus, people who spend their time and money on bitcoin mining will be rewarded with bitcoins, as more and more people become part of this blockchain, its value will increase.

so how can i make money back? bitcoin There are two ways

1. you can trade bitcoin / altcoin (any cryptocurrency other than bitcoin is called altcoin, yes there are thousands)

2. You can extract them yourself

Both of these methods have their advantages and disadvantages, as bitcoin is not controlled by anyone, it is extremely unreliable, one day it can cost $ 10,000, and the next day it can go down to $ 100. Trading, in essence, means buying bitcoin for real money, praying for its price to rise, and selling it when it rises. This approach is very risky և you can lose money instead of making a profit.

Or you can choose bitcoin mining, but here’s what to consider. Mining equipment is very expensive, mining requires a lot of electricity, as the difficulty of mining is increasing day by day, so you will not be able to make a certain profit without a high start. investment.

It is said that bitcoin trading and mining are two good ways to make money if you know what you are doing.

Practical tips on how to trade cryptocurrencies

For some time now, I’ve been watching cryptocurrencies to see where the market is going. Everyday life taught by my elementary school teacher. where you wake up, pray, brush your teeth, eat breakfast, change a little to wake up, pray, and then hit the internet (starting with coinmarketcap) just to find out what crypto assets are. the red.

The beginning of 2018 was not good for the Altcoins և relative assets. Their performance was disrupted by bankers’ frequent speculation that the crypto balloon was about to burst. However, the passionate followers of cryptocurrency are still “HODLing”, to be honest, they make a lot of money.

Bitcoin recently returned to 5000 $ 5000; Bitcoin Cash is approaching $ 500, while Ethereum is trading at $ 300. Virtually every coin was hit, except for the newcomers, who were still in a state of excitement. At the time of writing, Bitcoin is back on track, selling for $ 8900. Many other cryptocurrencies have doubled in growth, with a market capitalization of $ 400 billion, up from $ 250 billion last year.

If you are slowly warming up to cryptocurrencies and want to become a successful trader, the following tips will help you get out.

Practical tips on how to trade cryptocurrencies

• Start modestly

You have already heard that the prices of cryptocurrencies are rising sharply. You too have probably heard the news that this growth trend may not last long. Some rejectors, mostly reputable bankers and economists, often refer to them as schemes of getting rich quick without solid foundations.

Such news may make you rush to invest or not be able to exercise moderation. A little analysis of market trends և Worthwhile currencies to invest in can guarantee you a good return. Whatever you do, do not invest all your hard earned money in these assets.

• Understand how exchanges work

I recently saw a friend of mine post on Facebook about one of his friends who continued to trade on the stock exchange, he had zero idea how it worked. This is a dangerous step. Always review the site you plan to use before you sign up, or at least before you start shopping. If they provide a fake account to play, use that opportunity to find out what the board looks like.

• Do not try to trade everything

There are more than 1,400 cryptocurrencies for trading, but it is impossible to deal with all of them. Spreading your portfolio on a larger number of cryptocurrencies than you can effectively manage will reduce your profits. Just pick some of them, read more about them և how to get their trading signals.

• Stay sober

Cryptocurrencies are volatile. This is their “evil”, “good”. As a trader, you need to understand that wild price fluctuations are inevitable. Uncertainty about when to take action makes one an ineffective salesperson. Use solid data այլ other research methods to be sure when to trade.

Successful traders belong to various online forums, where cryptocurrency discussions on market trends և signals are discussed. Of course, your knowledge may be sufficient, but you should rely on other traders for more relevant data.

• Diversify meaningfully

Virtually everyone will tell you to expand your portfolio, but no one will remind you to deal with real-world currencies. There are some ridiculous coins you can deal with for a quick dollar, but the best cryptocurrencies are the ones that solve the problem. Coins used in the real world tend to be less volatile.

Do not diversify too soon or too late. And before you start buying cryptocurrencies, make sure you know their market capitalization, price changes, and daily trading volumes. Maintaining a healthy portfolio is the key to earning big money from these digital assets.