When it comes to understanding how profitable Bitcoin is, the answer is: it depends.
The reason for this is that Bitcoin is volatile, and too many factors are needed to be taken into consideration to understand its profitability. In this article, we discuss that!
Bitcoin’s rise has drawn the attention of many in the financial world — as it continues to rattle the traditional financial systems. They are a type of virtual currency and the most popular cryptocurrency as of now. It functions using a decentralized, peer-to-peer network. Moreover, it is unregulated, secure and global.
Furthermore, bitcoins have low transaction fees and offer more privacy than other payment methods. Bitcoin can be used for a variety of online activities. For example;
- Help to purchase goods or services online
- Transfer money from one account to another without a third party
- Store value or wealth without having to depend on a central bank or government entity
The popularity of bitcoins is due to the fact that it offers a unique approach to currency exchange. It is not bound by geographical boundaries, central banks or governments and it is easy to use and free of charge.
It is also more secure than other online payment systems, as it is based on a system of secured cryptography and decentralized computing.
Bitcoin is the most popular cryptocurrency and is followed by Ethereum, XRP, Tether, Cardano, Polkadot, Stellar, and USD Coin. Here are some Bitcoin stats for your perusal;
- Bitcoin had a market capitalization of $1072.21 billion as of February 21st, 2021.
- The global blockchain market will go up to $23.3 billion by 2023.
- The highest number of global daily bitcoin transactions in Q1 of 2021 is 367,536.
- Between 2012 and 2020 — Bitcoin gained 193,639.36%.
Decentralization and ease of buying
Decentralization and ease of buying are the top benefits of Bitcoin — amongst many others.
Unlike traditional currencies — Bitcoin does not rely on a central bank or government to back it. This means that the currency is not controlled by any one entity.
And this, in turn, allows it to be more stable and resistant to manipulation by governments or financial institutions.
Additionally, there are many exchanges and wallets available which allow individuals to buy, sell, store, and use Bitcoin easily. For example, MoonPay makes buying BTC easy — whether you wish to buy bitcoin with a debit card, credit card, or any other preferred method of payment.