“Bitcoin” is one kind of currency. This type of money is known as cryptocurrency. Bitcoin is one kind of digital currency that is used and saved digitally-not physically. Many kinds of cryptocurrencies are available in the market; however, nowadays, Bitcoin is the most well-known digital currency. Bitcoins are invented in 2008 and started in 2009 through an unknown individual or a group named “Satoshi Nakamoto.”
Before understanding about “Bitcoins” let’s know what a cryptocurrency is
Cryptocurrency is all about digital money or digital currency. Currency means a system of cash used in a specific area or a particular nation. Suppose we have currency, then we can buy something with the exchange of that currency. But in cryptocurrency we can’t lift it with our pocket, it only saved in our digital pockets or digital account. If we select to buy something on a digital platform, we can use our Bitcoins throughs Q-profit System Login.
Standard currencies are used offline as well as an online platform; however, we can use digital currency or Bitcoins only in online mode, or we use bitcoins to purchase things from people or organizations which are accepting bitcoins.
Bitcoin is like air cash. We can’t take it with our hand, and we can’t see, the only thing is we can earn Bitcoins and save in our digital wallet. When we desire to buy an item online or on a digital platform, and the vendor also accepting or deals with Bitcoins, then only we use your Bitcoins to purchase.
In the preliminary period, Bitcoin’s rate and value are very much less because very few peoples are aware of this, and a very less number of peoples are using digital systems for marketing and business. After that, when peoples knew about this and using digital platforms larger than the demand and price of Bitcoin is increases. The amount of one Bitcoin is very high nowadays. Bitcoin is one of the most demanding and popular cryptocurrencies across all over the world.
Advantages and Disadvantages of Bitcoins –
Bitcoins are having some benefit and negative aspects i.e
Advantages
The market demand, value, price is very high because there is a limited quantity of Bitcoins are available in the market so that the price is high. If the quantity of something is low and the value of that component is high, then the cost of that unique element is automatic increases.
There is no third character or middle man involved with this.
Ex – When we buy something, or during transition using regular currency, banks manage all our transition. If we are dealing with Bitcoins, there is no middle man present.
We don’t want to pay tax to anyone and full control of our money. We use it in a digital platform to purchase. There is no authority guideline to use Bitcoins like our banks are regular control currencies.
This cryptocurrency or Bitcoins are no longer traceable. Suppose you want to buy something from a person who is dealing with Bitcoins. In that case, you can buy directly using your digital pockets; there is no involvement of any economic organization like banks.
Disadvantages
The significant downside of this kind of cryptocurrency is this is no longer traceable, so it is used in any illegal activities, criminals are the use of Bitcoins to purchase. Bitcoins are store digitally, so hackers are hacked Bitcoin wallets and stolen everything from there.
The price of Bitcoin is fluctuating each day; sometimes, it goes high and sometimes it down. If the rate of one Bitcoin is INR 40,000/- today tomorrow, its price may be above 40,000/- or less it can’t predict.
So investment in Bitcoin is pretty risky. Its price graph is not constant or predictable. If you prefer to purchase a Bitcoin than create your digital account and buy the Bitcoin, it’s absolutely on our own risk.
Conclusion
Bitcoin is a digital currency that is present digitally in our wallet, not physically in our hands. We can’t use this in all places like our ordinary currencies. So investment in Bitcoins may give profit and sometimes gives a massive loss. The only difference between the normal currency and cryptocurrency like Bitcoin is that regular currencies are physically present; however, Bitcoins exist virtually.
