It has been a while that your friends, cousins, and colleagues are recommending you invest in Bitcoin. Understandably, you’ve been putting it off like any other mundane investment advice – like the one you get a call from an agent!
At last, you have finally made up your mind to give it a shot – some might call it an “illusion of truth”: repetition makes a fact seem more true, regardless of whether it is or not.
Regardless of the above theory, you have decided to move forward with the Bitcoin investment option. Despite how attractive it may seem, at the back of your mind, you’re still fearful. Fearful of losing all your hard-earned money.
So a million-dollar question: how safe is your Bitcoin investment really?
Lucky for you, we have penned this article to answer this question, discussing it in detail to decide if it’s the right decision.
Keep reading!
How Safe is Bitcoin Investment?
The headlines are omnipresent; telling tales of volatility and how investors are losing thousands of dollars. But very few news inform that Bitcoin is far more secure as compared to its colleagues in the financial sector.
We are sure that you must have heard about encryption – a process that protects your data from everyone else – but rarely about cryptography. It is exactly this method that makes Bitcoin extremely secure and robust.
Let’s discuss how safe is Bitcoin. Below are the reasons that confirm that Bitcoin is remarkably secure.
It uses secure cryptography:
Carl Runefelt is a global crypto leader who has invested in more than 360 crypto startups, He is a strong proponent of Bitcoin. While speaking on his channel, The Moon, he says, “I know that for the fact that you cannot hack Bitcoin. You can hack exchanges which is something different but not Bitcoin. It’s important to understand that you can hack YouTube, you can hack banks, or literally any internet company out there, but you cannot hack Bitcoin. This is because the blockchain is very robust.”
Bitcoin is public:
We know the sound of something being public seems unsafe but in blockchain’s case, it is totally the opposite.
So when we say that Bitcoin is public, what we mean is that the blockchain network on which Bitcoin is built has a ledger that is available to everyone across the globe. This unprecedented transparency makes it almost impossible to commit fraud and scams.
Compare that to the common data breaches of your current company, and Bitcoin sounds a lot safer. Imagine adding your personal information to the blockchain, and you are sure that there will be no leaks.
Bitcoin is built on the pillars of the blockchain. It is the technology that makes Bitcoin virtually impregnable – it sign hashes that validate transactions on the Bitcoin network using cryptography.
Bitcoin is completely decentralized:
This is probably one of the biggest factors that make Bitcoin an attractive investment option. Like everyone else, you are also fed up with intervening, obtruding intermediaries like banks and governments – you have to pay hefty charges.
Bitcoin is the solution to this unjustified dependency. Bitcoin’s distributed network has over ten thousand nodes all over the world that keep track of all transactions happening on the system. This means that you don’t have to rely on any governing power to approve your transactions.
Carl Runefelt says, “We’ve seen that people increasingly turn to Bitcoin as a form of money and store of value because Bitcoin is the only money in the world that has no political attachment. Your bank money can get frozen, or your gold can get confiscated but with Bitcoin, you can literally cross a border with your private keys in your head, and you can travel the world with millions of dollars literally stuck in your brain.”
Bitcoin doesn’t need anyone’s approval:
Unlike the traditional prevailing financial system, you need permissions and approvals from banks and respective countries’ governments. You even have to prove your identity. If you do not meet the criteria, BAM, your transaction is declined!
Irritating, right?
Well, say thanks to Bitcoin; you don’t have to put up with Bitcoin in such cases. With no regulatory body – lucky for you –, Bitcoin is open to everyone. Its lack of permissions makes it fair to everyone everywhere.
