In this post I would like to tell you a bit about the emergence of Bitcoin and the interests, the failures and fears of the government and people.
Some of you probably know that Bitcoin was a reaction to the financial crash of 2008.
On 01.11.08 the whitepaper of Bitcoin came out.
The founder who published the white paper was called Satoshi Nakamoto and remains anonymous to this day.
One of the biggest reasons why people don't trust bitcoin is simply because they have no idea about it and are too lazy to learn. Also they are afraid of a change.
It's just like back then with the acceptance of the Internet and today it's indispensable.
Our world is becoming more and more digitalized. There are still some who are fighting against it.
Politicians are also often against bitcoin because they are afraid it could abolish the current monetary system.
Bitcoin is its own financial system and is limited. (unlike fiat currencies, such as the dollar).
When people use fiat currencies, it gives power to the government.
With the acceptance of bitcoin the government looses power.
Often the argument with drug trafficking is used against Bitcoin.
This doesn't make much sense since bitcoin is traceable.
The current difficulty is assigning addresses to people.
There is much more drug trafficking, which involves paper money, which cannot be traced at all apart from finger prints.
Bitcoin is often used on the darknet because it is more secure than other digital means of payment.
Many who get into bitcoin or crypto have the vision of fast money. They invest in shitcoins because of FOMO (fear of missing out) and they are very impatient.
Its easy to make money in a bull market but in a bear market many become emotional and realize losses.
If your source of information is YouTube, Instagram or TikTok, then DYOR is extremely important. (do your own research). Otherwise, you invest haphazardly in a low cap shitcoin, which was promoted.
I would also recommend that if you are a beginner, you first buy bitcoin or other big players in the market. So you will not be wiped out directly.
Because if you invest during a bear market, altcoins (alternative coins) bleed more than Bitcoin.
It is also important to understand that nobody knows how the price will develop and even forecasts of the best are sometimes wrong.
In the beginning, I would only buy coins and not trade futures. Especially not with leverage. This can work, but it's gambling if you haven't learned it before.
To start, I would recommend "buy and hold". Of course, you should only invest money that you do not need for the next few years, if you`re invested long term.
With the bitcoin, there is no longer any need for trust in a central organization. That's because of the decentralization of Bitcoin, which i explained in my last post about "bitcoin mining".
Bitcoin can be seen as a hedge against the loss of purchase of today's currency.
If you want to learn more about Bitcoin, feel free to read my last posts:
-> @benjammann
Bitcoin – did we see the bottom?
@benjammann/bitcoin-did-we-see-the