November 28, 2020

6 Benefits of Investing in Cryptocurrencies

The birth of bitcoin in 2009 opened doorways to investment opportunities in an completely new kind of asset class : cryptocurrency. Lots entered the space way early.

Intrigued by the immense potential of these fledgling but promising property, they bought cryptos at cheap prices. Consequently, the bull operate of 2017 saw them become millionaires/ billionaires. Even those who did not stake much reaped decent revenue.

Three years later cryptocurrencies still remain profitable, and the market is here to remain. You may already be an investor/trader or maybe contemplating trying your luck. In both cases, it makes sense to know the benefits of investing in cryptocurrencies.

Cryptocurrency Has a Bright Future

According to a report titled Think about 2030, published by Deutsche Bank, credit and debit cards will become outdated. Smartphones and other electronic devices will change them.

Cryptocurrencies will no longer be seen as outcasts but alternatives to existing monetary systems. Their benefits, for example security, speed, minimal transaction charges, ease of storage, and relevance within the digital era, will be recognized.

Concrete regulatory guidelines would popularize cryptocurrencies, and boost their adoption. The particular report forecasts that there will be 200 million cryptocurrency wallet users by 2030, and almost 350 million by year 2035.

Opportunity to be part of an expanding Community

WazirX’s #IndiaWantsCrypto campaign recently completed 600 days. It has turn into a massive movement supporting the ownership of cryptocurrencies and blockchain in India.

Also, the recent Great Court judgment nullifying RBI’s crypto banking ban from 2018 has instilled a new rush of self-confidence amongst Indian bitcoin and cryptocurrency investors.

The 2020 Edelman Believe in Barometer Report also points out individuals rising faith in cryptocurrencies plus blockchain technology. As per the findings, 73% of Indians trust cryptocurrencies and blockchain technology. 60% say that the impact of cryptocurrency/blockchain is going to be positive.

By being a cryptocurrency trader, you stand to be a part of a thriving and rapidly growing community.

Increased Profit Potential

Diversification is an important investment thumb rule. Especially, over these times when the majority of the assets have sustained heavy losses due to economic challenges spurred by the COVID-19 pandemic.

Whilst investment in bitcoin has given 26% returns from the starting of the year to date, gold has came back 16%. Many other cryptocurrencies have registered three-digit ROI. Stock markets even as we all know have posted dismal shows. Crude oil prices notoriously crashed below 0 in the month of April.

Including bitcoin or any other cryptocurrencies in your portfolio would protect your own fund’s value in such uncertain global market situations. This fact seemed to be impressed upon by billionaire macro hedge fund manager Paul Tudor Jones when a month back this individual announced plans to invest in Bitcoin.

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