Most people get involved with Bitcoin as a means of investment especially as the market is so volatile with the rate changing almost daily. Whilst many people think that its success will be short lived and soon it will start to slow down and decrease in value, research is now showing that it is likely to only increase. It may now more than ever may be the time to start investing and mining coins. Here we have a comprehensive list of why it is thought that Bitcoin will only increase to help you reach your own conclusion.
By design, Bitcoin can only increase in value
Bitcoin transactions increase every day and because there is a cap on how many Bitcoins will ever be in circulation, the value of the Bitcoin will continue to grow. As a result of inflation, paper money currencies continue to lose value every year whilst crypto currencies only get stronger. The difference between the two is that Bitcoin has a production limit whereas paper money has no limit and can be inflated at any time by the government.
The dollar has for a long time been the world‚Äôs most dominant reserve currency but as the years go by it is losing value faster than ever. The US government claims that it is a 1-2% loss every year when in fact in reality it leans more towards 5-10%. Global interest for the dollar is decreasing and when it does lose its status as the Global reserve currency, everyone will rush to the Bitcoin market.
In recent years we have seen the economic collapse of paper money around the globe from, most recently we have seen Greece turn to Germany for bail outs time and time again. With countries falling like dominoes the world is looking for a new economic system that is not as likely to fail. China, Mexico and Ecuador are the front runners in the race to adopt a Bitcoin and Blockchain system for a digital currency.
The potential of Bitcoin is huge and with the safe and secure technology behind it, now more than ever governments and companies are starting to consider this as the future.