The birth of Bitcoin in 2009 opened doors to investment opportunities in a whole new type of asset class: cryptocurrency. Many entered the space early.
Intrigued by the immense potential of these fledgling but promising assets, they bought crypts at affordable prices. As a result, the 2017 bullfight turned them into millionaires / billionaires. Even those who did not participate much got decent benefits.
Three years later, cryptocurrencies remain profitable and the market has come to stay. You may already be an investor / trader or thinking about trying your luck. In both cases, it makes sense to know the benefits of investing in cryptocurrencies.
Cryptocurrency has a bright future
According to a report entitled Imagine 2030, published by Deutsche Bank, credit and debit cards will become obsolete. Smartphones and other electronic devices will replace them.
Cryptocurrencies will no longer be seen as marginalized, but as alternatives to existing monetary systems. Its advantages such as security, speed, minimum transaction rates, ease of storage and relevance to the digital age will be recognized.
Specific regulatory guidelines would popularize cryptocurrencies and increase their adoption. The report predicts that there will be 200 million cryptocurrency wallet users by 2030 and nearly 350 million by 2035.
Opportunity to be part of a growing community
#IndiaWantsCrypto by WazirX the campaign has recently ended 600 days. It has become a massive movement that supports the adoption of cryptocurrencies and blockchain in India.
In addition, the recent Supreme Court ruling overturning RBI’s ban on cryptocurrency banking from 2018 has instilled a new rush of confidence among Indian investors in bitcoins and cryptocurrencies.
The Edelman Trust 2020 Barometer Report also notes people’s growing faith in cryptocurrencies and blockchain technology. According to the findings, 73% of Indians rely on cryptocurrencies and blockchain technology. 60% say the impact of cryptocurrency / blockchain will be positive.
By being a cryptocurrency investor, you will be part of a thriving and fast-growing community.
Increased profit potential
Diversification is an essential rule of investment. Especially during these times when most assets have suffered heavy losses due to the economic difficulties caused by the COVID-19 pandemic.
Although investment in bitcoin has yielded a 26% return since the beginning of the year so far, gold has returned 16%. Many other cryptocurrencies have recorded a three-digit ROI. Stock markets, as we all know, have performed sadly. The price of crude oil fell sharply below 0 during the month of April.
Including bitcoin or any other cryptocurrency in your portfolio would protect the value of your fund in such uncertain global market situations. This fact was also impressed by billionaire macro hedge fund manager Paul Tudor Jones when a month ago he announced his plans to invest in Bitcoin.
Cryptocurrency markets operate on 24X7X365
Unlike the usual markets, cryptocurrency markets operate all day, without fatigue, every day of the year. This is because digital currency systems are essentially designed using fragments of software code that are protected by cryptography.
The operational plan does not involve human interference. Therefore, you can trade cryptocurrencies or invest in digital assets whenever you want. This is a great advantage. Cryptocurrency markets are very efficient in this way.
For example, Bitcoin has successfully processed transactions with 99.98% uptime since its inception in 2009.
No documentation or formality is required
You can invest in bitcoin or any other cryptocurrency anywhere and anytime without unnecessary terms and conditions.
Unlike conventional investment options, where an absurdly high amount of documentation is required to prove yourself an “accredited investor,” cryptoinvestment is free for everyone. In fact, this was the intended goal behind the creation of cryptocurrencies. The democratization of finance / money.
To buy any cryptocurrency WazirX, you must open an account for which you only need to provide some basic information, including your bank account information. Once verified, in a few hours, you will be fine.
Sole property in investments
By buying bitcoins or any other cryptocurrency, you become the sole owner of that particular digital resource. The transaction takes place in a peer-to-peer agreement.
Unlike bonds, mutual funds, stockbrokers, no third party “manages your investment” for you. Name the buying and selling features, whenever you want.
User autonomy is the biggest advantage of cryptocurrency systems that it provides incredible opportunities to invest and build a corpus in your core capital “independently”.
These were some of the advantages of investing in cryptocurrencies. We hope you find them useful and compelling enough to start your investment journey in cryptography.