Bitcoin And Cryptocurrency Investment
The reason why cryptocurrencies are
such in demand right now is because Satoshi Nakamoto successfully found a way
to build decentralized digital cash system. What is a decentralized cash
system?
A decentralized system means the
network is powered by its users without having any third party, central
authority or middleman controlling it. Neither the central bank, nor the government
has power over this system.
The problem with a centralized network
in a payment system is the so called “double spending”. Double spending happens
when one entity spends the same amount twice. For instance, when you purchase
things online, you have to incur for unnecessary and expensive transaction
fees. Usually, this is done by a central server that keeps track of your
balances.
Apart from the cryptocurrency network is verysecure and is run through a decentralized network, there are other properties
which projects why cryptocurrencies may be the most talked about topic in town.
It is now viewed as an emerging investment vehicle.
Have you heard of Erik Finman?
He is the teenage Bitcoin millionaire
who started picking up Bitcoin at only $12 a piece back in May 2011, when he
was just 12 years old. He received the Bitcoin as a tip from his brother and a
$1000 gift from his grandmother.
He now reportedly owns 403 Bitcoins,
which holds a value of roughly $2,600 where it has accumulated to a stash of
$1.08 million and change.
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