Why believe in Bitcoin (why not just ask for money)

Why Believe Bitcoin Why Believe Bitcoin? This is a topic about what we should invest in In the past few years, many people have purchased digital currencies (including BTC), but over time, they have become increasingly unwilling to sell their cryptocurrency assets. Now, some investors are interested in decentralized financial products such as Bitcoin and Ethereum, and are looking for other alternatives to deal with this risk. Therefore, there is reason to convince people who invest in these products – although they may not be successful, have high volatility, or even be unsustainable – they are still very trustworthy So what exactly happened? Let’s understand these three main reasons from the following aspects

1. Market manipulation At present, one of the biggest inflation facing the global economy is the continuous printing of money by the US government, which has led to the devaluation of the US dollar. At the same time, due to the United States’ economic stimulus plan, the gross domestic product of the United States has decreased to below zero, and prices in the United States have also significantly increased. This has also led to the use of gold as a means of international payment, forcing central banks in various countries to consider issuing central bank digital currencies (CBDCs) The value proposition of Bitcoin is different from that of fiat currency. The most important thing in today’s world is “cash”. However, now, with the passage of time, this trend is also changing. In fact, although the oldest paper document in the world can be traced back to December 17, 2008, it is reported that many people have not noticed that any section of the paper document is reviewed or modified by national institutions. If a country’s statutory deposit exceeds $1 billion, it will need to spend approximately $500000 to complete its first loan To prevent illegal transactions, Bitcoin has also created a new opportunity to allow its users to use it as a payment method, rather than just providing convenient and fast services for individuals

4. Bitcoin is a point-to-point Electronic cash system, which aims to solve the process of seamless wealth transfer. Its functions are not limited to the ability to transfer, send, and receive funds, but can also be used to store private keys and mnemonics

5. Analysis of Bitcoin’s price trend. According to the Bitcoin price chart, it can be seen that since 2009, the price of Bitcoin has remained stable at around $10000 until the collapse in 2014, when the price hovered around $20000 6. Bitcoin community members believe that Bitcoin is cool, and Bitcoin is the size of stones, using this as their consensus mechanism. As most people understand, Bitcoin is an extremely smart idea because it is open source and transparent, and everyone knows what it will look like, so no matter what, someone will try to mine and make money. Some members of the Bitcoin community claim that if large-scale adoption can be achieved through Bitcoin’s smart contracts, it will definitely enable the entire industry to develop rapidly

Why do you want Bitcoin instead of directly asking for money?

Why do you want Bitcoin? There are three reasons The first one is that you want to know your wallet address and password The second thing is that you have to tell yourself what money can be spent on, which is impossible. And if you want to directly hold the coin of the money, then this money is no problem The third and most crucial question is: how can it make money? If you don’t go directly to someone to pay your bill? Because both of these matters were discussed by both parties rather than the result of mutual negotiation So you must first find a good trading platform or exchange (such as Huo Coin), and then use his words to “make a market”. But this approach is not very simple Firstly, we need to see if you can buy Bitcoin at the bottom price. The viewpoint that the price is still on the high side is reasonable But when you consider putting your funds in a certain company, you will find: “Actually, many things are not easy to sell.”

And for those who have already invested, “I don’t know if they will really be able to offer these goods at a low price”, which is a bit strange Actually, this statement may not be entirely accurate. After all, everyone knows how many dollars they have in their wallet Another interesting point is: “Don’t think you can make a lot of money?” This sentence also conforms to the impression of many people – that is, “others are willing to earn a difference for you and make you work at a loss.” Some people definitely think this is the so-called “borrowing is mining”, while others think this is a good idea, but the actual situation is not that, just on the surface, it seems a bit unnatural, But in reality, there are indeed some facts that indicate this – that is, ‘borrowing is mining’. That is to say, ‘borrowing is mining’ In other words, lending is a financial service model where users can earn profits or be forced to pay interest by making payments to other providers, and also receive a certain amount of investment return as a return So in traditional stock markets, buying and selling dividends is often easier than receiving cash. But in the traditional securities market, it is more obvious, especially in derivative products such as futures. Therefore, in the operation of traditional capital markets, due to leverage, investors usually arbitrage in the options market. In the field of blockchain, the same situation is also happening So from a theoretical perspective, the reason why people like Bitcoin so much is because they have a high correlation, and over time, they have become more and more deeply involved in Bitcoin, and I believe it will also become mainstream.