Monday, April 21, 2014

Why do I like bitcoin ?

The logo on the site is Bitcoin and as you know it is now very popular and it is now a controversial  invention on the internet.  There are a lot of people who had become instant millionaires with bitcoin and there are also people who does not like "bitcoin" or the now other "crypto currencies". Bitcoin had a long way to go and had to be given a chance should it be a "currency" or other applications to be considered for commercial or personal purposes. For a period of about three or four years it had been growing and there is no sign that it will just be a fad.  So every individual , entities or companies online had its own reason for adopting bitcoin and using bitcoin.  

Why do I like "bitcoin" 

I am not a techie though i had some backgrounds in electronics. I graduate in Bachelor in Science in Radio Electronics but had not practised this course.  But this background had never losed in my mind and the interest was still there.  when i engaged on the online business there are a lot of technical activities that you encounterer online so probably that makes me easy to appreciate the technicalities on the net.  Meeting "bitcoin"  for the first time in 2013 makes me think over.  What is this animal ?  So when i research and read about  this "bitcoin" then it gives me a great understanding on the beauty and the problems that will be encountered with "bitcoin". 

Since i am seeking more income online "bitcoin" is an attraction to make money. The way i see it was that it is being used as a currency so like dollar it can be used as money.  Now the problem is how to get these bitcoin , how to handle it ( store and used it) .  Since its birth there are now a lot of  individuals, organizations, and companies adopting bitcoins.  And it now easy to get these bitcoins, change the bitcoin to other currencies and use the bitcoin to buy some stuff.  Bitcoin can also be traded buy a lower cost of bitcoin and sell it for a higher price. 

Bitcoin could be treated as a currency and like dollar can buy goods , trade and or stock to used it in the future especially when there is projection that it would be more "precious"  after so many years. 

That's  what i like with bitcoin ,  but what would be the problem with bitcoin ? 

1.  Bitcoin's characteristics is that it is de-centralized and there is no third party that controls it. It is a peer to peer ( meaning person to person ) transaction. There is no government that monitors and manage it. So this could be a threat to the existing status quo expecially banking system.  The problem would be how government will regulate bitcoins  and what would the banking system do about these "monster bitcoin". This is a big challenge and no one knows what would happen in the near future.  Though there are some good developments like an example in the US  bitcoin will be tax and considered as a property,  i think this is better than banning bitcoins.  So what do other countries do about or regulate bitcoins? 

2.  Bitcoin is an invention on the internet and it had no physical characteristics. You cannot hold it, like the dollar or other currencies which has an intrinsic value to gold ?  Bitcoin  is online and  like any other code that made up the internet there is that fear of losing all your bitcoins on one single click.  There is always a threat  of a new code could overcome bitcoin.  So this character of bitcoin had to be handled properly or there should be ways how you manage your bitcoin.

3.  Will there be a lifespan for bitcoin ?  Since bitcoin is an eight (8) decimal place maybe it will stop upon reaching that limit or it can be extended . No one knows even on the writings of Satoshi Nakamoto , there was no indication if it stops on that period of reaching the total 20 billion bitcoins . What others are saying was that  bitcoins could be mined until  year 2140,   so there is no worry since its only 2014  WOW i cannot reach that year any way so no problem.

4. Since i started looking for additional income online i had not earned a reliable income maybe with this new currency i could. Paid to click online program was one line i was involve and still i am doing it but the problem was that you really need a lot of referrals to make it more of an income.  With bitcoin you dont need  referrals its either you need dollars to buy bitcoin and exchange it to a higher amount later or use other strategist to generate a lot of bitcoins and exchange it for dollars later.  Bitcoin had the big change to be exchange for a pricy amount ( just last year 1 bitcoin = $1000) . Since bitcoin had a cap on the total amount to be generated which is about 2 billion on 2140,  it will be more expensive to buy a bitcoin upon reaching that year ( if ever we reach that year). The more you have bitcoins the more you can get rich. 

Given this insights,  i still like to engage and adopt bitcoin in what ever way i can. Problems will exist but i do believe it will be overcome. THINK POSITIVE ,  so  GENERATE BITCOIN NOW MAKE MORE MONEY . You can share your thoughts  on the comment section down below .