Cryptocurrency

6 Advantages of Investing in Cryptocurrencies

The creation of bitcoin in 2009 opened the door to investment opportunities in a completely new asset class – cryptocurrency. A large number of people entered the space very early.

They purchased cryptos at low prices because they were intrigued by the immense potential of these fledgling but promising assets. As a result, they became millionaires/billionaires during the 2017 bull run. Even those who did not place a large bet made a good profit.

Cryptocurrencies are still profitable three years later, and the market is here to stay. You may already be an investor/trader, or you may be thinking about getting started. In both cases, it is prudent to be aware of the advantages of investing in cryptocurrencies.

The Future of Cryptocurrency

Credit and debit cards will become obsolete, according to a Deutsche Bank report titled Imagine 2030. Smartphones and other electronic devices will take their place.

Cryptocurrencies will no longer be regarded as outliers, but rather as viable alternatives to existing monetary systems. Their advantages will be recognized, such as security, speed, low transaction fees, ease of storage, and relevance in the digital era.

Concrete regulatory guidelines would help to popularize and accelerate the adoption of cryptocurrencies. According to the report, there will be 200 million cryptocurrency wallet users by 2030, and nearly 350 million by 2035.

Possibility of Being a Part of a Growing Community

WazirX’s #IndiaWantsCrypto campaign recently reached the 600-day mark. It has grown into a massive movement in India in support of the adoption of cryptocurrencies and blockchain.

Furthermore, the recent Supreme Court decision overturning the RBI’s 2018 crypto banking ban has instilled a new surge of confidence among Indian bitcoin and cryptocurrency investors.

People’s trust in cryptocurrencies and blockchain technology is growing, according to the 2020 Edelman Trust Barometer Report. According to the findings, 73% of Indians trust cryptocurrencies and blockchain technology. Sixty percent believe cryptocurrency/blockchain will have a positive impact.

As a cryptocurrency investor, you will be a part of a thriving and rapidly expanding community.

Increased Profitability

Diversification is an important investment rule of thumb. Especially now, when the majority of assets have suffered significant losses as a result of the economic hardships caused by the COVID-19 pandemic.

Investing in bitcoin has yielded a 26 percent return since the beginning of the year, while gold has yielded a 16 percent return. Many other cryptocurrencies have yielded three-digit returns. As we all know, the stock market has had a dismal year. Crude oil prices notoriously fell below zero in April.

Including bitcoin or other cryptocurrencies in your portfolio would protect the value of your fund in such volatile global market conditions. This fact was also emphasized by billionaire macro hedge fund manager Paul Tudor Jones when he announced plans to invest in Bitcoin a month ago.

The cryptocurrency markets are open 24 hours a day, seven days a week.

Unlike traditional markets, cryptocurrency markets are open 24 hours a day, 365 days a year. This is due to the fact that digital currency systems are essentially designed using pieces of software code that are encrypted using cryptography.

Human intervention is not allowed in the operational blueprint. As a result, you are free to trade cryptocurrency or invest in digital assets whenever you want. That’s a fantastic advantage! Cryptocurrency markets are extremely efficient in this regard.

For example, since its inception in 2009, Bitcoin has successfully processed transactions with a 99.98 percent uptime.

There is no need for paperwork or formality.

You can invest in bitcoin or any other cryptocurrency from anywhere and at any time, with no strings attached.

Unlike traditional investment options, which require an absurdly large amount of documentation to prove you are a ‘accredited investor,’ crypto-investment is open to all. In fact, that was the original intention behind the creation of cryptocurrencies. Finance and money are being democratized.

To purchase any cryptocurrency on WazirX, you must first create an account, for which you must provide some basic information, including your bank account information. You will be ready to go within a few hours after they have been verified.

Investment with Sole Ownership

When you purchase bitcoin or another cryptocurrency, you become the sole owner of that digital asset. The transaction takes place in a peer-to-peer setting.

In contrast to bonds, mutual funds, and stockbrokers, no third party manages your investment’ on your behalf. You are free to call the buying and selling shots whenever you want.

The most significant advantage of cryptocurrency systems is user autonomy, which provides incredible opportunities to invest and build a corpus on your principal capital ‘independently.’

These are just a few of the advantages of investing in cryptocurrencies. We hope you find them useful and convincing enough to begin your cryptocurrency investing journey.

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