What is money? Is it gold? Silver? Paper? Bits and bytes? Well, basically it is a form of trust. I give something or do something, in return, I receive money (i.e. trust), so I can buy something or have something done for me. That’s all it is.
Since countries have a lot of experience in this field, people often trust them to produce money. Well, people trust strong countries. Zimbabwe and Venezuela don’t provide citizens with much faith.
Throughout the centuries, money has succeeded and failed, blossomed and collapsed. Nonetheless, there has always been one common theme: money has been centralized. In other words, a middleman – country, bank, or other type of intermediary – needs to be involved. Well, that has been true until now. Welcome cryptocurrency. A new form of currency has arrived and could potentially change the way the world makes transactions; actually, it could simply change the world.
First of all, in order for the world to dramatically change from this new invention, cryptocurrency needs to succeed, but will it? It not only will, it is. People trust it. More and more businesses are accepting it for transactions. You can buy things online or from brick and mortar stores. Want to go on vacation? Why not book your trip using Bitcoin? Cryptocurrency is here to stay. How far will it go? Nobody knows. Banks will not be dying soon, but things are about to change.
Are you ready for the change? Do you know what a blockchain is? Do you own any cryptocurrency? Do you have a cryptocurrency wallet? I suggest you look into it. It could change your personal finances or your business.
Just think, if you owned 1 Bitcoin in 2010, that one Bitcoin would almost be worth $3,000 today (this blog was written in June, 2017). Better yet, if you owned 100 Bitcoin back then, well, you would have $300,000 right now. If you owned 1,000 Bitcoin, you could retire. Obviously, you can’t go back in time. However, some experts are estimating the price to go up to $10,000 a Bitcoin, while some are estimating $1 million.
Hey, I know what you are thinking. Bitcoin could die. It is true, maybe it will. But, it wouldn’t hurt to get a cryptocurrency wallet, buy $100 of Bitcoin, and let it sit. Maybe make a few purchases to see how it works. What’s the worst that could happen? You lose $100. What’s the best? You understand how the blockchain works and.. well, you do the math. In fact, if anything, you will probably kick yourself for not buying more. As with any risky investment, one should never risk more than they are willing to lose.
So what do the experts say? I don’t know about you, but when people like Warren Buffet, Bill Gates, and Richard Branson speak, I listen. Ironically, Warren Buffet is not a fan. He considers it to be more like buying gold. It should be noted, he is not overly technologically savvy. Bill Gates and Richard Branson think it will work.
What do you think? Will cryptocurrency be the future of money?