Bitcoin ! A leading name in the cryptocurrency market and one of the most talked about topic currently in the financial industry. Just like some of us, even it made me more curious to know about it. After more of research work through articles available on internet and having a good fight in decoding the maximum financial jargons, am trying to put this in easy to understand or you can say “Understanding Bitcoins” through my way.
So, What is Bitcoin?
Bitcoin is one of a cryptocurrency. Among its peers like ethereum, litecoin, ripple, It had gain massive popularity in last few months. Here the question arises, If Bitcoin is cryptocurrency, then what exactly the term crypto currency is ?
To put it simple, Crypto currency is a digital currency developed as a alternative to the physical currency. Though very few cases had been reported which accept cryptocurrency as a mode of payment. One of the reasons for its popularity is the security it provides in a online transaction. That means its quite secured and cannot be easily hacked. If we look at it, as per my knowledge it’s been based in some algorithm and formulas which also controls it’s separate Bitcoin exchange.
How we can Buy?
The last time when I checked Bitcoin price, it was around 12 lakh per coin. I was cracked up with the live price and was sure, this time even selling my own kidneys won’t help. But luckily I found certain brokerage firm who helps in buying Bitcoins in India. I found even it has a option to invest as low as 2000 RS in bitcoin. Though it will get you a small share in a Bitcoin. But owning a 0.000000…1 part of Bitcoin is also a great deal, Right? I would say one should evaluate other options as well which are gaining popularity as well and carries almost the same potential. For eg. Ethereum, Lite coin, Ripple etc.
Shall we invest in Bitcoin?
It completely depends upon the risk taking capacity of an individual. It carries a high risk and high return category. Since government has not set any authority on this exchange. Also in Budget 2018 it has been termed as illegal investment in India. So all this makes me to think twice before investing in cryptocurrency. I would suggest consider all the aspect of cryptocurrency before getting in to it rather than simply going by the rumours and profit excitements. Will catch up soon with more investment topics. Till then Happy Investing.