Bitcoin was first introduced to the world in 2009 and it is a truly revolutionary type of currency. It works by making it possible for people to trade currency between each other, without having to go through a third person such as a bank. All someone really needs is a bitcoin wallet app, and you will be ready to go. You don’t have to supply your name or address, nor do you have to pay transaction fees. It is no surprise therefore, that it is becoming such a popular form of payment and one that is now accepted for a wealth of services, from food delivery to web hosts.
How the Bitcoin Wallet App Is Changing the World
Bitcoin has had a huge impact on currency. It is very easy to purchase things completely anonymously. Furthermore, it also allows for quick and free international payments, as there are no regulations to uphold. For some people, this makes it the perfect investment vessel, as they hope that the value of bitcoin will only increase over time.
It is also very easy to transfer bitcoin. All you have to do is open your wallet, either on your phone or your PC, and simply send it to someone else. This is just as easy as other types of digital payments. Yet, what sets it apart, is that bitcoin are stored in a “digital wallet”. This means that the wallet isn’t tangible, but rather that it is stored on a computer or on the cloud. It is like a bank, therefore, but without all the rules and regulations associated with it.
The majority of bank accounts today have FDIC insurance. Bitcoin, however, does not. Yet, it is still very safe and it offers a number of other key benefits. One of those is that bitcoin are very scarce, far more so than precious metals or US dollars. As a result, they are valuable. Best of all, the scarcity is algorithmic, which means that they will always remain safe.
Bitcoin is also a top player in terms of international remittance. Security and fraud is almost impossible. That said, when the Silk Road was closed, the US government did get their hands on some 30,000 bitcoin. They were sold at auction for $633.84 per coin. Today, they are worth around $655.48 per coin. What this means is that the coins are not worth much more than what they were several years ago. On the other hand, it also indicates that the currency is very stable, and that it is growing, albeit slowly. For many, this is a great opportunity to invest in bitcoin now, when they are still affordable, as they believe cryptocurrency is the future.
The reason for this belief is the element of decentralization. During the 2007 Great Recession, it became clear that banks truly cannot be trusted. Not long thereafter, bitcoin were created, perhaps in response to that. Either way, people seem to have more faith in things that do not have banks behind them.