Bitcoin on your brain these days… maybe it should be? Many Bitcoin fans, the most hard core among them known as “Bitcoin maximalists,” believe Bitcoin is bussin (or awesome, for more seasoned readers), are stocking up on Bitcoin like toilet paper. They would tell you that Bitcoin is basically at fire sale prices. Now, we can’t give you investment advice, but we know everyone likes a good sale and good info. Sooooo, here are 5 things to know about Bitcoin, so that you can decide if maximalists are full of it, or onto something (in which case, check out the link below to buy Bitcoin!)
1. Bitcoin is Popular
…At least among cryptos. All the cool kids are doing it. Bitcoin is the oldest crypto and the most widespread. Bitcoin’s market capitalization (largely accepted to be a way to compare value) as of the writing of this email is more than $370 billion. To put that in perspective the next most popular crypto, Ethereum, is at about $129 billion and The Coca-Cola Company is at about $270 billion.
2. Bitcoin is Powerful
Bitcoin was created back in 2009. Its age, combined with the fact that lots of folks are buying it, means that the network behind it is like a fine red wine — robust. That’s because Bitcoin miners have computers that are working hard day and night to “win” the next block, and receive Bitcoin as a reward. This computational power is called hashrate. The higher the hashrate, the more powerful and reliable the network. Bitcoin’s hashrate has been steadily climbing over the years, and despite the price dropping, the hashrate is at an all time high. The takeaway—Bitcoin’s network is powerful and more secure.
3. Bitcoin is Precious
When Bitcoin was created, it was developed to cap off supply at 21 million. The creator or creators intentionally limited the supply of Bitcoin to make it more precious and valuable. So adios inflation! This means that there will never be more than 21 million Bitcoin in circulation. That might sound like a lot, but 19 million Bitcoins have already been bought up. So, there is limited Bitcoin to go around. The good news is that you can buy as little as 100 millionth of a bitcoin, called a satoshi, after Bitcoin founder(s) Satoshi Nakamoto.
4. Bitcoin is Resilient
Bitcoin prices are currently down and skeptics love hailing the end of crypto. But they’re a bit like the boy who cried wolf. We’ve heard these cries before, and before that and before that…In 2014 Bitcoin crashed. In 2018 it crashed again falling 80%. You know what happened both times? You guessed it. Bitcoin bounced back. Bitcoin, like all cryptos is volatile, but what has gone down, has gone back up.
5. Bitcoin is Catching On
More countries, companies and people are using Bitcoin. El Salvador le gusta mucho el Bitcoin and approved it as legal currency in 2021. The Central African Republic did the same, saying oui to Bitcoin in 2022. And you can buy computers, cookies or other cool stuff with Bitcoin, at companies like Starbucks, Whole Foods, AT&T and Etsy. You know who else is In da Club? That’s right—rapper 50 Cent got paid for his 2014 album in Bitcoin. Football stars Aaron Rodgers and Odell Beckham Jr. have taken some of their salary in Bitcoin. And the mayors of Miami and New York City are counting the Bitcoin on their pay stubs.
Hungry for more? Read about Bitcoin on Earnity here.
Want to join the Bitcoin bandwagon? Buy some here.
This content is for informational purposes only. It is not legal, tax, investment, financial or any other advice. Nothing above constitutes a solicitation, recommendation, endorsement or offer by Earnity to invest, buy or sell any cryptocurrency.
