The online world is a part of our social lives, allows us to access entertainment and helps us find information anywhere on the planet. It was only natural that it would eventually create money. This is not digital money, like the one in a video game account. It’s a real currency that you can use to buy goods beyond the internet. These are cryptocurrencies and entrepreneurs should be aware of them. Angelo Babb is a specialist in the field and explains why cryptocurrencies have had a positive effect on entrepreneurs.
Contrary to traditional currencies, cryptocurrencies mimic what we did with gold. These cryptocurrencies are kept in encrypted blocks and can only be accessed by solving mathematical problems. Anybody can mine cryptocurrency, find them, and then exchange, sell, or use them on the market.
“Currently, high-end computers are being used,” explains Babb. “There are many processors that work day and night.” However, there are also pools of miners who pool their technological power to solve one problem and obtain the desired Bitcoin (BTC). The creators of BTC have stated that mining is limited and will cease to be profitable forever.
Wikileaks and the Electronic Frontier Foundation were the first organizations to accept Bitcoin. In the two years that followed, many foundations and organizations accepted BTC donations.
The currency experienced ups and downs during 2013 due to both positive as well as negative reactions from society to these events: bans on software updates in certain countries because of legal framework problems; BTCs seized and confiscated by authorities due to illegal trading, the launch of BTC ATMs and universities accepting the currency for tuition payment.
Entrepreneurs are interested in investing or accelerating their businesses. If you’re like most entrepreneurs, you have probably been approached by many people offering to mine BTC or make pyramid clubs. It is important to warn you that the first option is too exploited and that you may lose more than you get in the long term. The second option is illegal and, in most cases, a scam.
BTC’s real benefit is the exchange. Just as you would buy dollars at a low price, and then sell them at a peak in their rise, so you can also make money with BTC.
It has been a steady increase in value over the past five years (with some dips that don’t represent losses), making it a good medium-term savings tool. Its 2011 value was approximately $100. Today, it is more than $42,000. This means that you will not only save but also can earn significant interest.
If you do decide to take this step, you shouldn’t deposit all of your savings in this currency. It is smartest to spread your money in various investment forms. This will allow you to save, earn, and protect your money. Babb suggests that if you keep everything in one place, your chances of losing it all increase.”
Accepting BTC in your business is another way to profit from the cryptocurrency and add value. It is important to keep up with the latest trends. Even the Japanese government has accepted BTC legal tender.
One of the many benefits of cryptocurrency, specifically BTC, is that there are no intermediaries and transactions are made person-to-person. There is no commission on the transactions. Instead, 100% of the money goes to and from the sender.
You don’t need to be identified to manage it. All you need is a virtual wallet. There are no transaction limitations, so you can send or receive any amount you wish. It is impossible to trace the money, so it will not be known who received, sent, where, when, and how much.
“Buying Bitcoin is very safe for everyone, but it also allows criminals to keep their money anonymously,” adds Babb. He states that Bitcoin is legal regardless of how each individual uses it. Governments cannot even control it, so they are trying to attack it.