There is no doubt that you can make huge profits by making an investment in Bitcoin. But, before choosing a Bitcoin Exchange to make an investment in Bitcoin, it is important to get details about certain points associated with this digital currency.
Decentralized currency
Unlike the traditional currencies that are centralized, Bitcoins are called the decentralized currency. This is because Bitcoin was built on a decentralized principle. The basic meaning of decentralized currency is that the currency is not managed by one single entity. Thus, there is not a single agency or person who controls the investment and transaction in Bitcoins. Thus, no one would take responsibility, if you get scammed or if you lose bitcoin through hacking activities. Once you lose your bitcoins, no one can ever take responsibility for your loss.
Security of Bitcoin wallet
Like you keep your fiat money and coins in your physical purse, Bitcoins are stored in digital purses that are called Bitcoin wallets. You should know that not all Bitcoin wallets are safe and secure. Try to have a backup and also make sure that the Bitcoin wallets you are choosing are appropriately encrypted to get maximum benefits.
Purchasing bitcoin
If you have never invested in Bitcoin, or if it is the first time that you are purchasing Bitcoins, you need to be extra careful. You can’t purchase Bitcoins from an unreliable source and platform. Try to choose a reputed Bitcoin exchange to purchase and invest in Bitcoins. Try to be very careful about the type of exchange services you get. Make sure to choose a reliable and licensed Bitcoin exchange. You can check online reviews and recommendations of the Bitcoin exchange before choosing a Bitcoin exchange. You can also check articles about how to choose the best Bitcoin exchange to get an idea.
Volatility
Don’t trust articles and people who say that Bitcoin investment is not volatile. They are making you fool. The limited supply of Bitcoins makes it one of the most volatile cryptocurrency ever. Thus, even a single change in the environment, news, and rumours about Bitcoins can change the price of Bitcoins. The price of Bitcoins can change within an hour. You don’t have to lose hope just because you witness a fall in the price of Bitcoins, the price will certainly rise. You need to keep in mind that the price of Bitcoin can also rise drastically. Thus, try to keep a tab on the rising as well as falling price of Bitcoins.
Bitcoin halving
You must have heard about the term Bitcoin halving or reward halving. As per the rules, halving reduces the reward for Bitcoin mining by half once every four years. This will continue to happen until 21 million Bitcoins will be mined. This is basically an anti-inflammation measure that can also affect the price of Bitcoins. Even in the past, Bitcoin halving has led to a huge increase in the price of Bitcoins faster halving.
Bitcoins are not totally anonymous
You must have heard that Bitcoins are anonymous. This means that all transactions that you complete by using Bitcoins do not make use of any personal information. But you should know that the bitcoin addresses used in transactions are public. This does not mean that people can find information about you just by looking at the public address.
Bitcoins are not accepted everywhere
You must have heard rumors that Bitcoins can be used for almost all purposes. But this is another rumour associated with Bitcoin. Not every business and merchants accept payment in Bitcoins. In Fact, many countries like India and Lebanon are of the view that Bitcoins are not legal. Thus, even if Bitcoin is used in many countries and it is said to be one of the most renowned cryptocurrencies, there is no proof that can verify the fact that Bitcoins can be accepted everywhere.
Low insurance
Yes, if you feel that Bitcoins are similar to fiat money in terms of insurance, you are mistaken. If you lose Bitcoin, no company will provide you with Insurance benefits. While some companies may claim that they provide insurance benefits, this may generally be wrong.
If you are thinking about purchasing your first bitcoin through website like https://bigmoneyrush.io/ , make sure to keep all these points in mind before making an investment.
