The technological revolution has transformed many fields in human life and has helped man to grow and prosper. Take for example medicines, man has successfully overcome many challenges in the field of health and now has solutions to diseases which were once taking a toll on his life.
One field that has been shaped tremendously in the past few years by technological advancement is finance. Man has entered the age where he can enjoy using digital currencies which are completely online to meet his multiple needs.
These digital currencies are called cryptocurrencies which are becoming popular worldwide. Cryptocurrencies are not only currencies to purchase goods and services but also assets in which you can invest to make a lot of money.
Let us explore what cryptocurrencies are and why everyone is taking a keen interest in them.
What is Cryptocurrency?
To begin with, think for once, did you ever consider using a currency that has no physical presence?
Cryptocurrency can be defined as a virtual or digital currency that is online and has zero physical presence. Cryptocurrencies are supported by blockchain technology where each transaction is recorded on a publicly distributed ledger.
Crypto was launched in 2009 when the world was already going through a financial crisis created due to the inability of the existing banking system. Bitcoin (BTC) became the world’s first-ever cryptocurrency, and many financial experts believe it to meet a dead end soon.
But cryptocurrency has withstood the test of time and come a long way. BTC is now the world’s largest cryptocurrency by market capitalization, thanks to its positive adoption, profitability, and enhanced safety.
In addition, crypto experts believe over 10,000 cryptocurrencies are available on the blockchain for investment offering a wide range of options to investors. You can even start your crypto profile right now with a $1 investment, which makes cryptocurrencies the best way to make wealth.
Carl Runefelt, alias, The Moon, is a global crypto leader and celebrity who is pushing for the mass adoption of cryptocurrency with its many ventures.
He believes, “Keep accumulating all the time within your budget essentially and I think the big goal that is, of course, a cool thing is to own one Bitcoin because one Bitcoin is actually now quite expensive but soon it is going to be unobtainable for a normal person.”
Factors Promoting Cryptocurrencies
When someone talks about using digital currency as a mode of payment, the idea can inspire others to do the same. This is one of the major factors behind the rising popularity of cryptocurrencies across the globe.
But other incredible factors have changed the outlook of cryptocurrency comprehensively. You should be aware of the benefits offered by cryptocurrency to its users which are a huge challenge for the traditional financial system.
Here are some of the amazing benefits offered by cryptocurrencies.
An amazing benefit of cryptocurrency is that it offers incredible returns to its users. Many cryptocurrencies have gained huge value in the past few years that have incredibly increased the wealth of their holders.
For example, Bitcoin reached an amazing value of U.S. $70,000 in 2021.
Now consider those investors who purchased BTC in the beginning when it was worth pennies. You can imagine the volume of wealth they earned when Bitcoin reached its ever-highest value.
Inflation defines a rise in the prices of goods and services. It has been the gravest challenge of the existing financial system that financial experts have failed to control.
Each day, you can listen to experts talking on news channels about ways to control inflation. But still not successful.
Carl, on his YouTube channel, The Moon, says, “Bitcoin is the best hedge against inflation that we have in the world right now, and Bitcoin is also the best form of money that we have and have maybe ever seen in the history of humans.”
Cryptocurrencies offer you protection from inflation so that you can save more and enjoy spending. Each cryptocurrency has a limited supply, and no one can mine more coins than their limit.
For example, the protocols of BTC are designed in a way that you can only trade a limited number of Bitcoin.
When you visit the market to find an asset in which you can invest, it hardly offers wealth diversification. Moreover, you would need a lot of money to diversify your investment portfolio with traditional assets.
But cryptocurrency is designed in other ways.
Crypto is not all about Bitcoin as there are thousands of other digital currencies available for investment. All these currencies are open for purchase, and you can buy as many as you want to.
Wealth diversification is a top-of-the-line characteristic of cryptocurrencies that is playing the leading role in their rising popularity.
Gone are the days when investors have to wait to save money and then start their investments.
Cryptocurrencies offer an instant venture to investors worldwide for investment without any restrictions.
You can also start your crypto profile and become part of a digital currency that is destined for greatness soon.