Earlier this year we saw Bitcoin hit the headlines by reaching an all-time high and then swiftly falling back down on the stock market. Since then, Bitcoin has faded into the background a little, with the future of the coin still remaining uncertain for most people.
Bitcoin was actually introduced in 2008 as a cryptocurrency. It posed as an attractive alternative to real currency as banks increasingly lose their trust against the UK population. Yet, as a typical trend on the stock market over-investment and media advertising caused bitcoin to quickly drop down in value.
What’s next for Bitcoin?
Whilst it seems that all has died down surrounding the bitcoin hype, there are still some investors that believe in the future of cryptocurrency. Yet, with it being an unknown and untested currency it remains unclear as to what the future holds. In fact, it seems that there is now more skepticism that the currency will ever achieve the ultimate goal of becoming the world’s leading currency.
The worth of currency
The truth is that a lot of countries in the world have currencies that aren’t actually worth the plastic or paper that they are written on. Bitcoin and other cryptocurrencies were supposed to bridge that gap and solve many problems. But regulators, investors, and the general public don’t seem ready for such technology.
The younger generation and the need for cash
Bitcoin took off because there was a lot of anger from younger generations about the way the banks operated. With the rising costs of living and not much movement on the increase in salaries, more and more people are looking for alternatives to increase their wealth.
In fact, as debts increase more and more people are looking at short-term loans. Consider Uncle Buck, a short-term loan company that can help to consolidate debts and helps get people back on the right track. Whilst a loan isn’t always ideal, compared to Bitcoin, these sites are regulated by the FCA, giving more confidence to those that need access to money without relying on credit cards and overdrafts with high interest.
In reality, relying on any one form of investment, loan or overdraft won’t make you rich instantly. It’s more important to manage your money and budget for your lifestyle. Investing in anything, not just cryptocurrency is a long-term game and can take years to master. Therefore, looking at Bitcoin as a way of making a quick buck is probably not the right way to go.
Instead, if you really think that cryptocurrency is the way forward, do your research, learn from current investors and start small. That way, you may be able to benefit if Bitcoin increases in value, but you can also move with the peaks and troughs in the best way that suits you.
Whilst the future of Bitcoin is unclear, there are still many people that believe it could be the way forward in terms of currency. Yet, it’s important that it’s seen as an investment and not a fast way to cash. For Bitcoin, it’s kind of a watch-this-space kind of situation.
One, that we hope will be profitable for the many that have invested in the coin.