There are a number of reasons why Bitcoin is considered a good asset to invest, over fiat currencies, compared to any other cryptocurrency. Although it has been just a decade since the platform of digital currency has begun, its landscape is changing quite frequently and getting wider day by day. Consequently, most tokens used as the exchange medium are often left untested, so, the users must be careful while weighing their risks and benefits. Not just that, but the advent of these media has also given rise to varied online crypto trading applications.
One such top-rated app which typically concerns Bitcoin investment is bitcoinxapp.com. With that being said, Bitcoin is developed for offering the end-users an exceptional package of benefits over any other monetary transaction method. We will delve into those points shortly below. But, before that, we must take a closer look at what Bitcoin is. Only then it will be easier to understand what benefits that Bitcoin renders in payment methods.
What Is Bitcoin?
Bitcoin is a peer-to-peer, decentralized system of cryptocurrency developed to let the online users process transactions via digital exchange units termed Bitcoins (BTC). It commenced in 2009 by Satoshi Nakamoto; a mysterious entity. The Bitcoin platform has arrived on the crypto market to dominate as well as redefine the cryptocurrency landscape, hedging against a group of altcoin followers, while representing to many users a better substitute to government-authorized currencies such as the Euro, the U.S. dollar, or pure commodity currencies including silver and gold.
Now you must be thinking that if so many traditional means to make money already exist in the first place, then what is the need for Bitcoin investment or transaction method? Well, the reason why Bitcoin is much preferred to the traditional means of making the payment is the decentralized status of the latter, meaning Bitcoin is not under the control of any regulatory body or government. That is what distinguishes it from government-authorized currencies. Payments via Bitcoins are processed through a secured network of PCs that are connected with a distributed ledger. Every transaction is recorded consecutively in a “blockchain” on every computer which informs and updates all the accounts simultaneously. The blockchain acts as a shared ledger and ascertains the requirement for any central regulatory body to maintain such financial records.
Why Should You Invest in Bitcoin?
Here are why you should choose Bitcoin over any other cryptocurrency as an asset for your investment:
The foremost advantage that any user can have from Bitcoin is user autonomy. Digital currencies let their end users have more autonomous power over their digital assets compared to what fiat currencies do, at least theoretically. That means the Bitcoin users can regulate their money spending strategy without requiring to deal with an intermediate authority such as the government or a bank.
There is discretion in Bitcoin purchase. That means until and unless a Bitcoin user publishes his or her transaction voluntarily, that person’s purchases will not be linked with his personal identity, much similar to the cash-only purchases, and also can’t be easily traced back to that required individual. Moreover, the anonymous address of the Bitcoin which is generated for user purchases keeps on changing with every transaction. However, that does not mean that the Bitcoin transactions are entirely untraceable or anonymous, but those are less readily associated with one’s personal identity than what happens in any traditional payment method.
The payment system of Bitcoin is truly peer-to-peer, meaning every user is allowed to make or receive payments, to or from anybody who is present on that network from anywhere across the globe, without needing permission from any external authority.
Banking Fee Elimination
Though it is considered a common thing among the cryptocurrency exchanges to charge a so-called “taker” and “maker” fees along with withdrawal fees and other occasional deposits, no Bitcoin user is subject to follow the traditional repetitive process of paying banking fees linked with fiat currencies. That means you will not have to pay the account maintenance cost or any minimum balance fees, neither any fee on retired deposits nor any overdraft charges, among many others.
Minimal Transaction Fees to Make International Payments
The foreign purchases as well as the standard wired transfers typically involve a certain cost and exchange fees. However, with Bitcoin, it is totally affordable; as Bitcoin payment methods have no involvement of government or intermediary institutions, they charge only very few transaction fees. This is a major benefit that anybody would like about Bitcoin transactions, typically while making international payments. So, this can be of huge advantage to the travelers. Added to that, any transfer or transaction in Bitcoins happens real quick, thereby cutting off the risks of any inconvenience of a typical waiting period and authorization requirements.
Well, there are still many others in the queue, but these are the most popularly looked for by crypto investors.