5 Things You Should Know Before Buying A Bitcoin: As we know the trend of Bitcoin community is growing day by day. Recently, we have seen the value of Bitcoin, Ehereum or any other cryptocurrencies have increased rapidly. The growing number is motivating normal users to buy and invest in these form of currency. Research has shown that thousands of new investors are entering the crypto-coin community every day.
We have compiled an article for those who keep a strong desire to invest in bitcoin. First of all, you need to understand what Bitcoin is and how it works. For that, you might like to read our article What Is Bitcoin And How Does It Works?.
Now that you have understood what Bitcoin Actually is, let’s have a look at some of the facts that you might don’t know 10 Interesting Facts About Bitcoin That You Should Know. After reading both of the articles, you might consider reading this article because here we are going to share few things which you should consider before investing in Bitcoin.
1) Bitcoin is Highly Volatile
You must remember the fact that Bitcoin follows the supply and demand strategy. That means the more the people are willing to buy Bitcoins, the more the Bitcoin value. In simple words, the more people buy Bitcoins, the more will be the value. In another way, the more people sell it, the value will decrease.
You might have noticed that the Bitcoin value had reached the sky-high in no-time. This is because due to such high value, more and more people are investing in the Bitcoin. So, whenever it comes to dependability, you can’t depend on the value of Bitcoin because it fluctuates a lot.
2) You lose the Bitcoin Wallet, you lost everything
Before investing in the Bitcoin, learning about the security is the most important thing. Every bitcoins were stored in the Bitcoin Wallet, if you lost the wallet, Bitcoins are gone forever. As it doesn’t have governing authority, you don’t have any chance to recover them.
Suppose you have lots of bitcoins which you have stored over the years and suddenly the online wallet got hacked, in this case, you can do nothing. Or if you have stored Bitcoins on your computer, and if your hard disk failed, you got no option to recover them.
3) You can’t cancel Bitcoin Transaction
Suppose you have made a transaction over the Bitcoin network & later you regret making the transaction, you got no option to cancel the transactions. Once the Bitcoins leaves your wallet, it can’t be canceled.
So, if you are planning to make the transaction over Bitcoin network, make sure that you double check the transaction before making it. There’s no space for ‘Mistake’ in Bitcoin transaction. So, if you have sent Bitcoins to the wrong person, or entered the wrong amount, you better forget it.
4) Bitcoin Transactions are Not hidden
You must remember that once a Bitcoin transaction is done it’s stored permanently on the network. So, everyone can see the balance and transactions of every Bitcoin address. People who do lots of Bitcoin transaction uses different Bitcoin address to protect the privacy.
5) Know If Bitcoin Is Legal In Your Country
As we already mentioned, there’s no central governing authority of Bitcoin. Some Governments condemn the use of Bitcoins. Before investing in the Bitcoin, make sure to verify that if Bitcoin is legal in your country or Not. Obviously, no one would like to surround themselves with potential legal actions.
These are the five best things that you should know before investing into the Bitcoin. Hope this guide helped you, share it as much as possible.