Bitcoin is the new hot investment. If you’re like most people, you’re probably wondering if you should invest in bitcoin. After all, it seems like everyone is talking about it and its value has been rising steadily over the past few years.
Here’s what you need to know about investing in bitcoin. Bitcoin (#BTC) is a digital asset and a payment system invented by Satoshi Nakamoto. Transactions are verified by network nodes through cryptography and recorded in a public dispersed ledger called a blockchain. Bitcoin is unique in that there are a finite number of them: 21 million.
Bitcoins are created as a reward for a process known as mining. They can be exchanged for other currencies, products, and services. As of February 2015, over 100,000 merchants and vendors accepted bitcoin as payment.
The underlying technology behind bitcoin is blockchain, which is a digital ledger that records all transactions. Blockchain is a distributed database that is secure and tamper-resistant. Bitcoin and other digital currencies are based on blockchain technology.
Bitcoin is a volatile investment. Its value has fluctuated greatly over the years. When investing in bitcoin, you should be prepared for price swings.
Despite its volatility, bitcoin has seen steady growth over the years. Its price was $0.30 in 2011, $12 in 2012, $130 in 2013, $1,000 in 2017, and $19,000 in December 2017.
If you’re thinking about investing in bitcoin, you need to do your research. You should understand the risks and potential rewards of investing in bitcoin. But if you’re willing to take on the risk, it could be a good investment.