Have you watched the movie The Social Network? If yes, then did you believe in each and every plot point of it? If we go by the storyline of this movie, then Mark Zuckerberg supposedly stole the whole concept of Facebook from the Winklevoss twins. And as we all know, Zuckerberg went on to become one of the youngest billionaires the world has ever seen. However, things didn’t all go down the drain for the Winklevoss brothers, instead they shaped pretty well. The brothers received a $65 million settlement, and they further went on to compete in the 2008 Beijing Olympics.
Sadly though, they still couldn’t be a member of the esteemed billionaire club. Things entirely changed when they recently went on to become billionaires, all because of the grace of Bitcoin.
For the limited laymen who still don’t know what it is, the cryptocurrency Bitcoin consists of a digital payment system, which is not secured or bound to any country or bank. Bitcoins are sometimes given a bad reputation because they are often associated with criminals and the dark web. But still, there are a lot of advantages of using a decentralized system such as cryptocurrencies. The best part about digital coins is that they turn out to be a fantastic investment decision. In just the previous year itself, the value of Bitcoin has increased by more than a whopping 1000%.
Even if you don’t have $65 million nested with you to invest like the lucky pair of brothers, it is still possible for you to make money off of Bitcoin.
“ The best part about digital coins is that they turn out to be a fantastic investment decision. In just the previous year itself, the value of Bitcoin has increased by more than a whopping 1000%. ”
We have tried to make a simple attempt to provide some basic guidance for those beginners who are in a completely clueless spot.
Don’t Shy to Admit Something You Don’t Know
You can also take an economics perspective while studying this concept. The moment it was undiscovered that the Argentinians and Venezuelans are packing their wealth in bitcoin to avoid hyperinflation, everything flashed instantly. Bitcoin has turned out to be every man’s Swiss bank account.
A lot of people have acquired massive returns from Ethereum. The actual tip off goes to the fact that JP Morgan and Microsoft were then heading a group of companies, which looked like they could totally duplicate as the illuminati. To the rightminded people, a hint from these two massive firms was all that was required to get an idea of where this digital coin technology was headed. The Ethereum Enterprise Alliance consists of businesses that are aiming at building the next generation of blockchain apps on this entire forum. If you are a coder who doesn’t care much about the global economics and the politics pertaining to it, then it is time you start researching and learning more and more about it. Likewise, if you have a good idea of what’s going on, then your investment strategy too will be able to reflect that. So bottom line, only invest in what you are completely aware of.
Apprehend How Bitcoin Influences the Market
Bitcoin means to the crypto world what the U.S. dollar means to the global economy. So in short, no other form of cryptocurrency could exist without Bitcoin. Bitcoin is the cryptocurrency that will allow you to buy various other cryptocurrencies. It is also important to note that Bitcoin is the only cryptocurrency that has reached the mainstream market. So, all the market’s moves are inevitably associated with bitcoin. There remains another variant called the Bitcoin cash, which is like a fork of bitcoin. Basically, it uses similar kind of technology, but it was modified a little for quicker and cheaper payments. Ethereum is Bitcoin’s ultimate competitor just with a little difference. And lastly, Litecoin is a poor man’s bitcoin. There is no hard and fast rule, but the casual market trends show that when there is fear, uncertainty and doubt in the cryptocurrency markets, scared money floods to safe abode. The aforesaid coins is the place where usually all the scared money ends up. But with the recent popularity of “alt-coins”, you can see more of an ebb and flow between the markets and bitcoin. If you wish to carry out a trade, don’t take any step until you have taken a look at bitcoin’s chart alongside other cryptocurrencies to check whether you can spot any developing patterns.
Listen to Wise People
The market is crazy and full of madness. With such a chaos, it’s ideal to lean on some expert advice, which can help you ford through the tough times. What you can do is follow various day traders, crypto investors, and software developers on Twitter. Various available new outlets like Coindesk can also be of great help in keeping you up to date with the happenings in this area.