Bitcoin, the trendiest tech storm of all times often leads to speculation if one can actually earn real money from its impeccable investment approaches.
The word "Bitcoin" surfaced in 2017 again after nine years since the inception of cryptocurrency in 2009, the year of the birth of Bitcoin.
The crypto market boomed and the industry went berserk. The rich piled more money and the rest went scampering to fill their wallets and join the Bitcoin bandwagon, the hottest trend of last year. One might wonder, was the hype for Bitcoin worth it? Let's see. It was at the very start of 2017 that Bitcoin's value crossed the $1000 mark, the highest it had ever witnessed since its kickoff. The market went crazy and if you ask us, for good reason. Soon after in December 2017, the Bitcoin value reached a mouth-watering $17,900 USD.
However, the empire that had been built by Bitcoin soon experienced a cloudburst and the Bitcoin value fell behind by staggering numbers. The cryptocurrency wave washed out with Bitcoin facing the hardest hit of them all and is valued under $4000 USD as of November 2018.
A Bitcoin is the product of the first currency created on the mechanism of cryptography, becoming the most popular cryptocurrency till date. Not confusing this with simply cryptocurrency as these two are very different terminologies. Then what is cryptocurrency? Cryptocurrency is a highly encrypted digital currency which allows one to carry out the most secure and reliable transactions on the Internet.
Bitcoins largely became popular among masses as it annihilated the need of money trading over centralized systems. The concept is still alien to many, with people hungry to know more. This does lead one to wonder if there actually is more to a Bitcoin other than being a better alternative to fiat money, that which involves association of the government and other third parties.
Our fast-paced economic graphs demand transactions to be exchanged at the speed of light. With the crypto market piling up money, in most cases 'Bitcoins', there's a thought that lurks in the minds of almost everyone wondering who manages the cryptocurrency. Where are the crypto records? Who keeps a track on the cryptocurrency exchanges?
Let's talk about Blockchain, the benefactor for the world of crypto markets and the leash between cryptocurrency exchanges.
Blockchain is simply a network of ledgers, a decentralized system for cryptocurrencies that documents all the transactions that have occurred over the years. The network allows every single computer associated with it to access all transactions that have been recorded making use of the ledger ensuring that the transactions are authentic. Basically, what Blockchain does is, it abolishes the need of a third party like an authoritative figure.
However, since the popularity of Bitcoin reached its peak, almost everyone raised concerns about the security of the transactions and if it was legitimate. So is Blockchain kosher as well?
As Blockchain is a decentralized network, all the data related to cryptocurrency exchanges are collectively stored over the Blockchain network instead of a lone server making it secure as well as lucrative.
Let's be real here. Most of still believe in the security that comes along with carrying out transactions with a renowned bank, fancying conventional transactional systems over digital entities.
Banks or government institutions are less secure than Online Bitcoins Exchange or cryptocurrency transactions owing to their strict rules and demands of one dishing out too many of their personal details which can result in identity theft. However, Bitcoins stand by their collaborative economy system where the cryptocurrency transactions are decentralized, immediate and peer-to-peer, requiring no banks for extra aid. "Crypto Wallets"- The transactional links between Bitcoins, much similar to those of money exchanges in banks only require a 'key'.
So why not invest in Bitcoin transactions altogether instead of opening multiple bank accounts?
Although, Bitcoin may have taken a hard hit in 2018, there's no question to its undeniable popularity giving you reason enough to believe in its power. Bitcoin may not take over the empire of traditional money institutions any time soon but we believe that one should keep their faith instilled in the potential of Blockchain technology and buy Bitcoins online that may or may not be an important asset in the future.
All we can do is wait and watch and see if Bitcoin along with its amazing Blockchain tech changes the shape of the economical market just like it did for the crypto market.