What are the risks of BTC's investment
bitcoin is very risky. Although bitcoin can be used for real commodity transactions, there are still many restrictions, so its use value is limited
moreover, bitcoin has certain political and legal risks. If bitcoin is prohibited by law in the future, the money you invest in bitcoin may be wasted
in addition, the security of the platform is also very poor, and there are great risks in the storage and trading of bitcoin. After all, bitcoin only depends on source code to store, so once stolen, it is basically irreparable. Many trading platforms have been attacked by hackers and lost a lot of bitcoin
the quantity of bitcoin is also limited, and it is vulnerable to price fluctuations. Its highly volatile exchange rate just shows its instability. After all, it lacks a strong financial system to support it.
When bitcoin was first launched, a bitcoin could not buy a hamburger, but now a bitcoin can buy a car, which is the violence of virtual currency. The virtual digital currency led by bitcoin has let many investors see the dawn{ RRRRR}
we all like to save money, at most for a fixed period. A few people buy stocks, let alone virtual digital currency
the biggest risk of digital currency is instability. It is not a currency recognized by the International Monetary Fund. Bitcoin can not be traded directly, nor can it be used to buy things directly, because the number of bitcoin is limited. Therefore, many people feel that it is necessary to invest
and now many countries prohibit the transaction of virtual currency, because digital currency helps money laundering. Many people launder money through digital currency to evade supervision. Once the government finds it illegal, it will be unfavorable for the trend of digital currency
there is a lot of uncertainty in digital currency, and the biggest fear is the collapse of the whole system. In the end, there is nothing left, so there are risks in investment
high acquisition cost
at present, if investors want to obtain bitcoin through the "mining" channel, the cost is already very high. As the amount of bitcoin on hand is proportional to the complexity of the algorithm, the number of people involved in mining is also proportional to the complexity of the algorithm. It is impossible to use ordinary home computers to "mine". At present, the market price of high configuration professional "mining machine" has reached 300000 yuan. Through the online trading platform, the current market is as high as 1 bitcoin to 122.49 US dollars
to consider whether the political environment has enough support
as a decentralized virtual currency, whether bitcoin can be recognized by governments is very critical. Due to the lack of supervision, bitcoin is easy to become a channel for money laundering, bribery and asset transfer. More importantly, bitcoin lacks strong credit support in essence. As a currency, it lacks both the commodity function behind the gold standard and the mandatory guarantee of credit currency. When the market value of bitcoin continues to rise and has a certain impact on the real currency, governments may declare it illegal. In mid May, the US Department of Homeland Security froze two bank accounts owned by Mt. GOx, the world's largest bitcoin exchange. This is a systemic risk that must be considered
Technical Security
the design algorithm of bitcoin is relatively safe at present, but each online trading platform is not without loopholes. With the rising market value, bitcoin has become the target of network hackers. Users' bitcoin is stolen and bitcoin trading center is attacked by hackers frequently, which will bring unknown fluctuations to the trend of bitcoin
what is the appreciation space of bitcoin?
money supply should keep pace with economic development. From the design principle of bitcoin, the supply speed of bitcoin is determined by algorithm, and has nothing to do with market demand and economic development. Although bitcoin eliminates inflation in theory, its relative lack of total amount and no secondary currency is the biggest weakness. Bitcoin is more likely to bring deflation than gold standard. Deflation is just as harmful as inflation, which directly deviates from the liquidity nature of money and is destined to have a very limited audience
the best time to enter the market may have passed
from the perspective of market trend, bitcoin began to rocket up this year from the initial exchange rate of 1 US dollar to 1309.03 bitcoin, reaching the highest record of 266 US dollars to 1 bitcoin in April this year. This is because, according to the algorithm, the supply of bitcoin is halved every four years, which is exactly the beginning of the new four years from this year. The time point at which supply is halved is certainly a sensitive time window
investors should have a strong enough heart
bitcoin trading has a high risk, it does not have the same limit as the stock market, and trading is open 24 hours a day. Due to the small number of chips, the price of bitcoin is easily controlled by the makers. It is possible that the price of bitcoin will rise several times a day. At the same time, it is possible to wake up and find that most of the assets are lost
the risk is that the future bitcoin will be stopped by the international machine, resulting in abortion
even if you don't roll up parkour, it's difficult for you to have enough basis to judge the rise and fall of bitcoin, and the probability of loss is greater
to sum up, there is no reason for you to spend your hard-earned money!