Bitcoins are currently experiencing a huge hype and their price is constantly rising. Only recently, the digital currency cracked the mark of 50,000 US dollars, which has ensured that even more people look at the Bitcoin and want to invest. You can now also pay with cryptocurrencies, but this is mainly possible in online stores.
In addition, cryptocurrencies in online casinos are often accepted, so you can also top up your balance for gambling with Bitcoins. Overall, there are still not many ways to use the Bitcoins properly, except for the mentioned places on the net. For this reason, many see Bitcoin only as an investment object and not as a real means of payment.
Paying with Bitcoin
The online stores and normal stores that already accept the Bitcoin are rare, but they do exist. In Berlin, for example, very many smaller stores accept Bitcoin as a payment method. Even larger companies such as Paypal only recently accepted the Bitcoin in their system.
However, when paying with Bitcoin, you should always check the exchange rate first, because if the Bitcoin is worth too much and you accidentally pay too much for a product, the damage later is great. In any case, the number of stores that accept cryptocurrency is growing rapidly and it is expected that there will be more and more in the future.
Even Japan has only recently officially recognized Bitcoin as a means of payment. Bitcoin has very many advantages over other currencies and when it comes to payment, it impresses with its fast processing. In addition, no other institution, country or authority is involved in the transaction. Another advantage is that there are no exchange fees for transfers abroad as there are for conventional transfers across country borders.
Bitcoin as a pure investment object
Bitcoin is popular among so many people and they would like to invest, however, Bitcoin is scarce. This means that there can only be a limited amount of Bitcoins in the world. This complete amount has not been mined yet, but it will be sometime in the future. This further means that Bitcoin can actually only go up, which makes it perfect for investment.
However, everything is based on people’s trust in this new currency. If people believe that Bitcoin is worth something, then it is. If people no longer believe in it and accept it, then the price will fall and it Bitcoin will be worthless.
This acceptance is also crucial for payment options. If several countries start to accept Bitcoin, then more and more countries will follow until it is eventually accepted all over the world.
So far, investors are mainly people who invest smaller amounts to see what happens. Larger investments, such as millions, on the other hand, are rare. This is due to the still lacking acceptance of stores and countries on the one hand, and the network itself. Because Bitcoin is so new, many people do not yet trust the network.
This mistrust also arose due to cyberattacks from the past, because it could happen that a hacker attack suddenly leaves no Bitcoins in the wallet. Accordingly, there is a problem with the virtual security, which can, however, be upgraded again privately. In addition, all the legal issues surrounding cryptocurrencies are still up in the air, and this will only be clarified when many countries accept Bitcoin.
The technology behind Bitcoin
Bitcoin itself, on the other hand, is completely secure. The software that protects it has not yet been cracked. This is also due to the fact that a change in the protocol of the Bitcoin requires the consent of all users. Otherwise, Bitcoin cannot be used to pay or trade; only when all parties involved agree is a transaction approved.
Behind this is a sophisticated technology called blockchain. The blockchain is responsible for ensuring that Bitcoin transactions are verified. This ensures that everything that was paid with the Bitcoin is logged and at the same time the owners of the coin are recorded.
Accordingly, it ensures an extremely high level of transparency for all Bitcoin transactions, making it secure. The blockchain secures the Bitcoin and the transactions with it and at the same time gives it transparency. This makes the blockchain perfect for use in online casinos.
The blockchain therefore makes a lot of sense for transactions to or from abroad, as no other instances such as banks are interposed. Manipulation or the like thus becomes enormously difficult, which is why Bitcoin is generally considered secure. This also makes the time in which a transaction takes place much shorter than with traditional banks.
Other areas of application of the blockchain
However, blockchain technology is not only usable for Bitcoin and transactions of money. It has many other potential applications. For example, it could be used in healthcare. All patient data could be stored on the blockchain and stored in a decentralized manner. Nevertheless, they would be enormously secure there because no one else would have access to them. Right now, anyway, there is a discussion about a digital medical record and how to make it secure.
In blockchain technology, there is already an optimal solution to this problem. In blockchain, there is always an owner of the data and users. The owner can then unlock certain data for certain users. These users then have access to the data and could work with it. In this example, the complete course of a patient’s illness would be documented and can be retrieved during a visit to the doctor.
Future-proof and of lasting value
Bitcoin is definitely a good investment. Whether it will eventually defeat all conventional means of payment, on the other hand, is questionable. What is certain is that you will eventually be able to pay with Bitcoin in almost all stores. What will happen until then is uncertain, however, and should more and more countries accept cryptos, then nothing will stand in the way of Bitcoin.
However, an investment is expensive and it can be so that the next day there is a price collapse. In any case, Bitcoin is not a safe investment object. Those who have money to spare can definitely buy a small part of a Bitcoin for testing. But if you want to invest a lot of money, you should rather look for something else than cryptocurrencies.