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    Author Topic: Bitcoin: A conditional wealth creator  (Read 390 times)
    ColdLava40 (OP)
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    January 04, 2024, 07:08:34 PM
    Merited by fillippone (1)
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    Introduction
    With the aftermath of the 2008 subprime mortgage crisis, which led to the collapse of the housing market, the need for everyone to start taking responsibility of their money became crucial. The usage of customers' savings by banks has limited the accessibility of personal funds in some parts of the world. Sadly, this is something customers can't address because it's officially backed by the government nationwide.

    With the smart thinking of Satoshi Nakamoto, a form of money that gives everyone the responsibility to handle their finances was created. Bitcoin operates solely on decentralization, thereby not involving a third party in every transaction process. Money is easily sent to others with no fear of reversibility as long as there is an appropriate medium of transaction.

    Over the years, Bitcoin has shown attributes of a commodity such as gold. The process by which they are acquired leads to a diminishing supply from the source, i.e, the more we acquire them, the more they are reduced from the source. A period of every four years is considered the halving event, where there is a cut in supply. Bitcoin's price gradually grows over the years through different halving seasons, marking the beginning of a new cycle in Bitcoin's ongoing price discovery.

    Interestingly, the primary aim of creating Bitcoin, which is to serve as a peer-to-peer mode of payment, has become overshadowed by its ability to create wealth. Due to Bitcoin's occasional price increases, it has become a source of wealth creation for millions of people globally. The profits that can be accumulated are solely due to long term of waiting. Though, there are certain conditions that Bitcoin offers in order to serve as a wealth creator for anyone. They are...

    1. Investment -
    Investment is a major key factor in creating wealth through Bitcoin. There are basically two forms of investment: Money and Time.

    Money: Certainly, Bitcoin itself represents digital money, so it requires another form of money to acquire it for personal use. With the volatility, we often buy it at different prices, which means that there is no stated price for it.

    Time: Time happens to be another form of investment, especially for those who apply the trading method. They try to buy and sell considering how good or bad the market price is. These methods help to make quick gain.

    2. Patience -
    Bitcoin is never a 'get rich quick' scheme, which means that it takes time to make a reasonable profit from it. In order to create good wealth through Bitcoin, patience is also a key factor, especially when it's a long-term investment. Certainly, we have some holders who have been holding their Bitcoin since 2014/15/17.

    3. Positive Emotions -
    In order to create wealth through Bitcoin, it is advisable to maintain positive emotions. Ideally, we can get too emotional, especially when the price drops very deep and it feels like it might crash. Positive emotions give the courage to keep on hodling or trading no matter the market condition.

    In conclusion
    There is no such thing as free money. Creating wealth comes with a cost, which means creating wealth through Bitcoin also comes with conditions as mentioned above. There is no such thing as getting rich quick.

    Thanks for reading...
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