The traditional investors have always loomed and approached the digital currencies like the Bitcoin with an additional precaution due to their highly volatile market worth and value. On the other hand, the devastating and great performance of the Bitcoin as an investment and a currency has catch the attention and attracted the likes of a traditional investors over the past few months and counting.
The Bitcoin as an investment means provides investors with the three significant advantages and compensation over the traditional investments, the liquidity, the high market demand and the minimalistic trading.
The Liquidity – Bitcoin is a regarded as one of the most liquid assets and resources in the financial market today for the reason of the global establishment and founding of the Bitcoin exchanges, trading platforms and the brokers.
The investors or the holders of the Bitcoin can easily and quickly trade the Bitcoin for cash or for other assets like gold and other cryptocurrencies right away and instantly; with low fees and charges unlikely the shares of a company or the publicly traded funds and assets that requires the operations of a third party institution like the stock exchange to process and settle the orders and investments. Regions like the Venezuela, Brazil and Argentina that are known and popular for its very strict and rigid financial rules and regulations that disallow and misallocates the trading of the foreign currencies and assets also have their fair share of the Bitcoin exchanges and trading platforms in which enable the holders of the Bitcoin to transfer and move their wealth outside their country and also bypassing the country’s government.
The high range of liquidity of the Bitcoin creates and establishes a viable ecosystem for the investors to trade in and especially and significantly those that are looking for a short-span of term of profit. The digital currency is also a practical and a best way for a long-term investment for the reason of its particularly high market demand and trend.
The High Market Demand – The traditional investors reasonably and quite question the trend and demand and also the value and worth behind the Bitcoin. The investors that have only limited knowledge in technology, struggles and have a hard time to understand and fully get the economics behind the Bitcoin and how its market value and worth is being determined. In due course like any other asset in the market today, the worth and value of the Bitcoin Id directly dependent on its demand trend. Unless, the demand for the Bitcoin completely evaporates and vanished, the worth and value of the Bitcoin will continue to increase.
The Founder of the Marc Warne, Bittylicious further explains the details in, “The Bitcoin will be used and utilized more in the upcoming and approaching future because it is the first time that something not fully controlled and manifested by any entity like a government or a bank that has been used over the internet. It has been around for over seven years now without any single fundamental issues and cases.”
The high market demand and trend of the Bitcoin guarantees and pledges the Bitcoin investors a bright and vivid long-term future, at very moment the Bitcoin in theory is deflationary currency. The worth and value of the Bitcoin will keep and continue to ascend until its available and accessible supply hits the top and maximizes.
The Minimalistic Trading – The stock trading or any activities in the public stock market require and acquires the investors to hold a license or a certificate that certain and proves their identification and the trading history. To trade a share of a company, an investor has to go all the way through a broker who then creates and establishes an order in the market. The settlement of an order or an investment could take days in duration of time, even weeks or months and it depends in the paper works.
The stock exchanges also demands the submission of various personal information and details and also financial accounts such as the bank statements, the billing statements and lastly the personal identification or identity in which that makes it highly and extremely hard for the unlicensed to put an investment at that certain area. The Bitcoin trading, conversely more of a minimalistic form if an investment, weight against the stock trading. The investors just simply purchases or sells the Bitcoin from the exchanges and keep and store them in their wallets. While some exchanges may ask personal details and information just for the KYC rules and regulations the other local exchanges can carry out orders anonymously.
Above all, the Bitcoin provides and showcases significant advantages and return over the traditional investments in several ways and means, financially and economically. The traditional investors can trade the digital currency with a higher efficiency and low cost of charges and making the Bitcoin a viable short or even long span term of investment.