Bitcoin has been all the craze as enthusiasts and investors alike dream of getting rich and becoming a bitcoin trader. With so many cryptos on offer, it can be confusing to choose the right one.
One of the reasons that Bitcoin is the optimal choice is longevity. Whereas other cryptocurrencies have ridden the trend as prices rise across the board, they tend to drop in value as interest dies out. However, Bitcoin is the one cryptocurrency that remains valuable against all odds.
The reason for this is mainstream and enthusiast investors think of Bitcoin as the “OG” coin. To casuals, it’s immediately what they envision when “crypto” or “blockchain” is mentioned.
But before deciding to quit your day to become a bitcoin trader and potentially getting into something that may end up costing you your entire life savings, you should assess what the benefits and disadvantages are.
Bitcoin can be transacted between two countries with little to no restriction. Only a handful of countries have chosen to outlaw it outright. Because of its digital nature, it can even be sent when banks are normally closed on holidays.
Bitcoin is also decentralized. What this means is no central authority controls the transactions. The benefits of this is that the transactions remain anonymous, with no interference from governing bodies such as the IRS. (Of course, anonymity is not the same as secure — if you send to a centralized exchange, for example, hackers can gain access and steal all your assets.)
Finally, trading in bitcoin incurs very small fees. This was not always the case. However, the programming community that support the protocol have made great progress to keep miner fees low, in efforts to foster mainstream adoption. Traders benefit as the end result.
As mentioned earlier, if traded on a centralized exchange, bitcoin can cause government entities to audit your transactions. This is especially true if you supply KYC identity documentation. You may end up having to pay taxes on any capital gains (standard for profits gained from trading any other asset).
Bitcoin’s value also has the tendency to fluctuate wildly, as mainstream interest dips and peaks. This is the nature of the beast. As a trader though, this isn’t entirely a disadvantage, as buying low and selling high is all it takes to profit.
Get started by opening an account at bitcoin-trader.biz. No KYC documentation is required, so no audits will ever occur. Start with as little as $10 to test the waters if you’re new to trading. Start with more if you have experience already, and enjoy the ride.