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Why You Should Invest in Bitcoin

Why You Should Invest in Bitcoin

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Published by Fasfksaf Vvksosocs
About why people should invest in bitcoin and how they can profit from investing in bitcoins.
About why people should invest in bitcoin and how they can profit from investing in bitcoins.

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Published by: Fasfksaf Vvksosocs on Jun 16, 2012
Copyright:Attribution Non-commercial


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 Why youshould invest in Bitcoin?
Naturally when a lot of people hear about the Bitcoin they associate it with some sort of Ponzi or Pyramid schemes. After all, what we have here is money that is created fromthin air, so why would it be worth of something, right? It
is for that exact same reason that most of the “
” avoid in talking about the
Bitcoin as aninvestment, in fear to discourage people. Furthermore,that is the reason for the writing of this article.
This article's point comes to do the opposite, shed somelight and explain what are the various reasons why anyrational person should invest, even if it's a litte bit, in Bitcoin.
 Bitcoin, in it's foundation, is an agreement betweenpeople that a certain digital data piece represents value.
The first bitcoins that Satoshi and the “early adopters”
made had zero value, and were only an experiment to testthis new technology. Later on when people understoodthe potential in the given technology a low initial valuehas been set. People wanted Bitcoins, and were willing topay for it.
 A new market was born. People understoodthat Bitcoin, even today, provides somethingthat no company or institution do
theability for the person himself to havecomplete control over his money.
Incidents like Wikileaks donation blockade and Paypal'srequest to destroy an antique violin are only a few withinmany that show the disadvantages of money control by athird-party. The arbitrary commissions these bodiesapply (e.g Paypal's 3.4% for all monthly transactions bellow 5000$, banks' unjustified commissions on any international transactions, bonds, and deeds) shows usthat the goals of these bodies are clearly, with minimalcompetition, to profit on the expense of their customers.
Furthermore the banking systems are so tangled thatmoney transfer from one country to another could takeup to a few days without any good reason.Here comes the biggest advantageof Bitcoin. Bitcoin allows an absolute competition onmoney transfer services
any personmining Bitcoins acts as a small money transfer service,and any other person around the world compete betweenthemselves for giving the service. This promises that any transaction commission will stay practically zero for the visble future
you can transfer small or huge amounts of money at the same ease from one point to another withinan hour. No company or body is holding your funds, andhave no control over it whatsoever. At the present day the Bitcoin
is stil in it's “alpha” stage, or proving it's
 vantages. This protocol running over three years androlls millions of dollars, however still suffering fromsecurity issue
if you're keeping your funds on yourcomputer any trojan horse your computer gets infected with basically can steal your money and there's nothing you can do about it. Clever users can technically preventthis issue by using a second dedicated computer orsuperior security methods like two-stage authentication,regardless there is no doubt that for the avarage userthe Bitcoin is still a complex and dangerous thing.
… And this is good for you.
  A technology that is simple and easy to use usually spread well and is not inviting for investment.If somebody would come and ask you to invest in hisstart-up that allows video chat or a file transfer service,most probably that you would appeal to that since theseservices are simple and available in abundance. Theinternet itself took about 10 years to be globally used, andat first was only a hackers, geeks, and academicresearchers domain. Gartner Inc. coined a term calledHype cycle and it is expressed in the graph bellow:
  We of course are not sure how or where the Bitcoin fits inthis graph, but the point that is worth mentioning is thatin any new technology evaluation we need to look forward for potential and not only on the current state of application. Bitcoin's vision is to become a universalcurrency that will replace all others and will provide the base for unified global economy.It is clear that at the present there is a huge gap betweenthat and the vision but fundamentally there is no reasonfor this scenario to fail. And according to the saying
“There ain't no such thing as a free lunch” where there's
risk, a young technology, and a lot of information thepublic yet to process there is a big profit potential.Every reasonable person will say that this scenario ishighly unlikely. There is a big infrastructure lying at the base of the existing coins, bodies that don't want it tohappen, and unclear legal standing.The question is... can you count the chances of success. At the moment of writing this article the value of one Bitcoin stands on a bit less that 5.5 dollars. Letsassume in a scenario that the Bitcoin becomes 1% of the

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