How popular is Bitcoin today?
When
Bitcoin was created 12 years ago, it raised a lot of questions. Some of
which are still being asked today. What is this new currency? Why all
the excitement about it? Is this a smart investment? What will be the
future for Bitcoin? "And a host of others. If you've been asking these
questions too, keep reading to find answers.
When Satoshi Nakamoto introduced the cryptocurrency to the world in
2009, Bitcoin, the first cryptocurrency ever created, was met with much
skepticism. Cryptocurrency is not real money and is not bound by
government laws and regulations like central bank money, some of which
are limited.
However, for more than a decade, Bitcoin has simply
gone from being the new digital currency that everyone is skeptical
about and has become a common currency used worldwide.
According
to data from Coinmarketcap.com, Bitcoin is now priced at $ 56,000. When
this figure is compared to the price ten years ago (হতে 2 to be exact),
it becomes clear that Bitcoin has gained considerable popularity and
usage experience over the past decade. And it's just scratching the
surface. Why am I talking? Keep reading to find out.
Bitcoin's popularity in 2021
Further
data from Coinmarketcap.com also indicates that Bitcoin alone accounts
for more than 65% of all cryptocurrencies. Recent events such as the
Covid-1 like and the economic downturn have had an adverse effect on the
global economy, with the details of Bitcoin gradually changing from
being a digital currency to just a transaction and becoming an asset.
It’s no wonder how Bitcoin can come back and be better able to cope
after the 2020 disaster in the wake of the coronavirus.
Data available on Statista shows that cryptocurrency usage is at an all-time high in 2021, with Bitcoin at the forefront.
Between
2019 and now, Coinbase, the largest cryptocurrency exchange platform,
has gone from 13 million users to a staggering 35 million verified
users.
There has been a discussion on Coindesk.com that argues
that cryptocurrency is a hedge against inflation. This discussion argues
that since a limited number (exactly 21 million) of bitcoins are
available, unlike the central bank currency that needs to be printed
from time to time, bitcoin (and perhaps the cryptocurrency as a whole)
is safe from inflation.
Another notable effect of the coronavirus
is the large-scale printing of money by the world government to meet
the economic needs that come with the epidemic. The move has adversely
reduced the value of several currencies worldwide and contributed to the
current rise in inflation.
Despite all this, Bitcoin has enjoyed uninterrupted interest growth and a significant increase in market cap.
We
can never say that we know the exact number of Bitcoin owners worldwide
because it is not so easily found in the nature of Bitcoin. However,
with the right intelligence on this subject and a good assessment of the
amount of Bitcoin currently in various places around the world, we can
make an informed estimate.
Statistics say that at least 2 billion
people worldwide have heard of Bitcoin. More data shows more than 200
million bitcoin wallets (with and without bitcoin), 100 million wallet
bitcoins, 1 million active bitcoin users and 53 million bitcoin traders
worldwide.
These statistics indicate that not all Bitcoin wallets
contain Bitcoin. For wallets containing Bitcoin, only 53 million
wallets trade this coin and out of those 53 million wallets, only 1
million wallets are used every day.
These numbers further suggest
that while not everyone (and not everyone wants to) actively
participate in all Bitcoin activities, the world is increasingly
recognizing the role that Bitcoin has played and that Bitcoin has come
to exist.
The business world is beginning to realize that not
owning any bitcoin or having little or no interest in the currency does
not shy away from the fact that its ease of access and use makes it an
increasingly necessary currency on an international scale.
And
since no one wants to be left out, we see that people will have a wallet
where Bitcoin cannot be found and stored. It's like being able to open a
bank account without having real money.
All of these features make Bitcoin a trendsetter and keep it well on its way to becoming a universal currency or choice.
Why Bitcoin is the currency of the future
The
discovery of Bitcoin has brought many changes, and like everything
else, these changes have both positive and negative aspects. In this
case, however, the good is more than the bad, and from the response rate
seen so far, we can say that these changes are welcome.
A 2019 study puts 25 million crypto traders outside the United States
and Europe. Another study conducted found that in the first five years
of his arrival, the United States, Japan and South Korea had the most
crypto traders. Most recently, and with the help of platforms like
Remitano.com, emerging markets like Nigeria have been able to use
Bitcoin and other cryptocurrencies for economic growth and job creation.
Since
Bitcoin is not regulated like the US dollar or the Japanese yen, more
people subscribe to it. Statistics show that more people will still
subscribe to Bitcoin due to the ease of transactions and the reduction
in the rate of reliance on the paid Fiat currency.
Another change
brought about by the advent of Bitcoin is seen in the business and how
they are managed today. Bitcoin has drastically reduced the cost of
transactions by eliminating the needs of the middle class through
peer-to-peer transactions and facilitated business exchanges
effortlessly. (For more information on peer-to-peer networking, click
here.)
In a highly regulated world of international trade
transactions, Bitcoin (and cryptocurrency in general) has largely
leveled the playing field for small businesses and emerging markets and
removed currency barriers by providing a single currency with an
exchange rate.
With all these possibilities, we will see that an
ordinary farmer can supply products to international companies and
markets without having to worry about a middle class person, regulatory
body, or even future exchange rates. Really a welcome change.
Now you might be wondering what the experts are saying.
That's what experts say about Bitcoin
In
a recent statement, Kraken co-founder and chief executive Jesse Powell
said Bitcoin would soon become a global currency. The ্যের 1 million
goal in the next ten years is quite reasonable. Business rich people.
In
a recent interview with CNBC's Fast Money, Chief Equity and Derivatives
strategist Julian Emanuel talks about bitcoin. He confirmed that the
cryptocurrency has a place in the financial portfolio and also predicted
that the price of Bitcoin will exceed 50,000 50,000 in 2021.
Just
last year, Paul Tudor Jones, a notable large-scale investor, explained
in a report titled The Great Monetary Inflation why he invested about 1
or 2% of his assets in Bitcoin through his Tudor BVI fund.
In
this report, Tudor says that as the world now craves new and safer
resources, it could create a growing role for Bitcoin. It also mentions
that Bitcoin remembers gold and the role it played in the 1970s.
Apple co-founder Steve Wozniak believes that Bitcoin is the purest form of digital gold.
Why you should invest in Bitcoin
While
it is safe to say that Bitcoin can be a smart investment, its high
volatility means that it is not an investment for heart weakness. Every
investment has risks and benefits and Bitcoin is not excluded. But as
mentioned earlier, there are far more advantages than disadvantages.
As
for the nature of the asset, Bitcoin allows lower purchase prices and
higher sales. As a result, we see that investors now use money as an
asset, like bonds, equities or real estate. When prices are low, buy and
store assets and hold on until prices rise. And so, for most
investments, patience is the key.
In situations where the government is unstable or oppressive, there
is a higher need to store resources in a safe place. Places that are out
of the reach of the government and will not be affected by the unstable
economy.
Over time, more and more businesses will begin to
accept Bitcoin as an acceptable payment method (as is already the case
in some parts of the world) due to the security and convenience offered
by cryptocurrencies.
The current inflation rate and the threat of
further inflation have created a greater need for investment. If
Venezuela teaches us anything, it teaches us that an economy is never
very good or very developed that no one needs a safety net. Bitcoin can
be that security perimeter.
What should we expect in the future?
Looking at the picture below, we can see that Bitcoin is in the most effective asset category of 2020.
This data, along with many others, indicates that Bitcoin overcame
all the adversity it faced the previous year and came out on top.
With that in mind and looking at the price history of Bitcoin, it’s safe to say that Bitcoin will only go up from here.
Since
it is highly volatile, a few drops can be expected in the future.
Available data show that the ultimate growth and further expansion of
Bitcoin is inevitable.
Over the years, with the increasing number
of Bitcoin transactions, its blockchain has also suffered from
scalability. This is mainly due to the 1MB block size limit of Bitcoin.
As
a result, many advocates have called for more use of Bitcoin Cash
because it proposes to remedy the situation by increasing the block size
from 1 MB to 8 MB or more.
Conclusion
The
birth of Bitcoin has taken the financial world in a whole new
direction. The inevitable change around the world, combined with past
events and future predictions, has increased digital money not only as a
necessity, but also as a necessity for uncontrolled transactions and
asset management.
Although cryptocurrency is still an emerging
trend, it has already had such a huge impact on the global economy and
various currencies around the world that the world cannot easily ignore
it.
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