Bitcoin has been all the buzz over the last few years. Despite its popularity, few know the history of Bitcoin. It’s no new thing to trade currencies. People have made careers out of it for quite some time. It requires a lot of research and analytical skills. You need to understand a variety of factors – political climate, economic trends, and international relations. Keep reading Understanding Bitcoin Business Opportunities to get a quick Bitcoin 101 lesson!
Understanding Bitcoin Business Opportunities – What is Bitcoin?
The main idea in any sort of trading is to forecast the trends so you can buy low, sell high, and turn a profit. With trading currencies, it’s a bit more difficult. Central authorities each day set the ‘strike price’ for trading a currency. A strike price is what the banks buy and sell currencies. However, a typical trader won’t get this good of a deal. To turn a profit, they have to mark it up a bit when selling to consumers. Bitcoin changed this idea.
“Cryptocurrency is an attempt to replace money transactions with a digital medium of exchange using peer-to-peer networking. Their success depends on how much ‘cash’ (the total value of transactions) they have sloshing about the peer-to-peer network (i.e. the virtual economy). Since Bitcoin is open source, anyone can develop their own cryptocurrency using the same technology.
The first decentralized cryptocurrency, and still the most successful, was Bitcoin. The idea is that you use cryptography to control the creation and transfer of money, rather than relying on central authorities.”, says TechRadar.com.
That’s right, Bitcoin is decentralized, meaning its unregulated. This can be very enticing to some. Earning potentials are and have been huge. We’re talking six figures big. However, there are some things you should consider about Bitcoin before quitting your day job.
Understanding Bitcoin Business Opportunities – Who Created Bitcoin?
One of the most fascinating things about Bitcoin is who created it. The cryptocurrency was created in in 2009 by Satoshi Nakamoto. Who is Satoshi Nakamoto? Funny you should ask this because no one knows. That’s right, no one knows this identity of the inventor. If this person revealed themselves, they would be the richest person in the world.
There are two people the world has hypothesized as the identity of Satoshi Nakamoto. The first is a man who is actually named Satoshi Nakamoto.
“The now iconic white paper, which was published on networking P2P Foundation, said the elusive Nakamoto lived in Japan and was born in 1975. But when the world’s media thought they had found their Satoshi Nakamoto in 2014 – he was a computer engineer living in Temple City in Los Angeles County. And while the Japanese-American man, named Dorian Satoshi Nakamoto, firmly denied he was the shadowy force behind the infamous cryptocurrency – the plot continued to thicken. It soon emerged that computer scientist Hal Finney, who was the recipient of the first Bitcoin transaction, lived a “few blocks” from the seemingly-oblivious Nakamoto. Finney fiercely denies these claims,” says TheSun.com.
People also believe Satoshi Nakamoto may be a cover for the Australian computer scientist. Craig Wright.
“But unlike the other leading contenders, Wright actually claims he is Nakamoto and in 2016 provided technical “proof” to the BBC, The Economist and GQ. This consisted of a demonstration of the verification process used in the very first Bitcoin transaction. But The Economist claims “such demonstrations can be stage-managed” and reported Wright refused to make the proof public and to provide other assurances. He then posted an apology on his blog stating that he no longer had the “courage” to continue the process of proving his identity. Wright subsequently appeared in Netflix documentary Banking on Bitcoin and once again claimed to be Satoshi Nakamoto in what he said would be his final filmed interview. Following the Wright speculation the Bitcoin Core Project – an open source project which “releases Bitcoin client software” – tweeted their own scepticism around the issue in May 2016. The project posted: “There is currently no publicly available cryptographic proof that anyone in particular is Bitcoin’s creator”, says TheSun.com.
Understanding Bitcoin Business Opportunities – How is it Made?
Traditional currency goes through a lengthy production process to prevent counterfeit money being made. Cash is pretty easy to get your hands on anywhere. You can use an ATM, go to the bank, or you may even find a $1 on the side of the road. In many stores, cash is preferred to a card. Bitcoin is a bit different.
“Bitcoins derive their value partly through their scarcity, which is defined by a cryptographic lottery. You can buy Bitcoins on online cryptocurrency exchanges or you can earn them through a process known as ‘mining’. Bitcoin mining programs compute an encryption function called a hash on a set of random numbers. Coins are awarded to whichever miner happens to compute a number below a certain threshold. Originally, Bitcoin mining was handled by standard PCs with powerful graphics cards, but as the hash difficulty has increased, the preferred method to mine Bitcoins is to employ a Bitcoin ASIC, a chip that has been designed specifically for this task. However, with the higher value of cryptocurrency – in particular Ethereum – and recent advances in GPU processing power, miners have once again been turning to graphics cards for mining. This lottery favors those with the biggest and fastest machines, and currently there are about 17 million Bitcoins in circulation. Note that the total number of Bitcoins in (virtual) circulation will never exceed 21 million because of the way the system was designed. As the Bitcoin network gets bigger, the hash gets more complex, and miners get fewer Bitcoins for their trouble, hence they always need better hardware and higher Bitcoin prices to make it worthwhile,” says TechRadar.com.
While cash, credit, and debit cards are readily available and accepted everywhere, Bitcoin is not. Some huge retailers, like Expedia, have begun to accept it, but that’s about it. As of now, Bitcoin’s value is not in using it as a traditional currency, but rather trading it.
Understanding Bitcoin Business Opportunities – Things to Keep in Mind.
Keep in mind that Bitcoin is an unregulated market. Unregulated things tend to end badly. Don’t forget about the mortgage bubble that popped and had big impacts on the economy and stock market. Subprime mortgages were bundled with safe mortgages and given a triple-A safety rating. Well, mortgages that shouldn’t have been approved were, and when people began to default on their loans, the bubble began to burst. Economists have warned Bitcoin is showing bubble like signs, yet these are being ignored. To be fair, most ignore bubble like signs until the bubbles bursts. If we didn’t learn from the burst of the mortgage bubble, we never will.
Bitcoin futures have also recently begun. Futures means that people can bet on the price they expect it to sell.
“The new contract on the Chicago Board Options Exchange came as the digital currency jumped another 10%, sparking fresh warnings of a speculative bubble after last week’s 40% climb in price. Bitcoin was trading at $16,200 – up 10% on the day – while the new futures contract trading in Chicago showed that traders were expecting the cryptocurrency to be trading at even higher prices in January. The futures contract trading on the CBOE allows traders to take bets – or to protect themselves – on the price of bitcoin next month. It started trading just before midnight (in London) on Sunday at $15,460, hit a high of $18,700 and then dropped back to $17,800,” says The Guardian.
While Bitcoin has it’s warning signs, there is still a bit of money to be made in it. The key is to be careful. Don’t go draining your 401k or IRA to invest everything. Take it slow. Remember, only risk what you can afford to lose.
Understanding Bitcoin Business Opportunities – Get in Now with These Opportunities.
If you’re interested in getting involved in Bitcoin is now. You don’t want to waste any time that could cut into your profit margin. The best way to get involved and cut down on your learning curve is through a business opportunity. They will train you and help you decide when to buy and sell. If you’re new to trading any sort of currency or stoke, this is a great way for you to cut down on your research time, and also avoid costly mistakes that most first time traders encounter.
Understanding Bitcoin Business Opportunities – Coin Genie.
Coin Genie gives you a few low-cost option subscriptions to help fit anyone’s budget. The business will help you track Bitcoin and 1000+ other virtual currencies. The earning potential can be very high, in fact, it can be as high as 15,000%. Which means a simple investment of $100 can turn into $15000. The system alerts you of low-cost cryptocurrencies that become available and are expected to skyrocket. Their team of researcher vet the recommendations, eliminating your fear of making the wrong decision.
Understanding Bitcoin Business Opportunities – Bitcoin Insiders Club.
Bitcoin Insiders Club is a great home-based and online business opportunity. It can be done full or part time, which is a great way to test the waters before making it a full-time career. If you are only looking to trade Bitcoin temporarily, this is perfect for you. They have a proven step-by-step program that will train you and help you earn upwards of six figures. The best part is that this lucrative compensation plan also has residual income earning potential. The only thing better than more income is residual income!