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Bitcoin stack up and down arrows

Why Did Crypto Crash?

The value of crypto markets reached trillions of dollars in about a decade after the launch of Bitcoin, which was crowned as the best performing asset of the decade in terms of annualized returns in 2021. Still, it is hard to make sense of Bitcoin’s victory through our traditional narratives.  Bitcoin’s rise to the top hasn’t been "slow and steady" like the tortoise’s victory in Aesop’s famous fable, nor has it been "swift and capricious" as the hare. The history of crypto evokes a far more mythical animal.  Every few years, the cryptocurrency market crashes and burns, evaporating millions of dollars from the market, only to be reborn from its ashes and fly towards even higher peaks than before, just like the mythical phoenix. In this guide, we will explore the reasons behind some of the biggest crashes in the history of Bitcoin and cryptocurrencies and try to shed light on how the crypto market has managed to recover every single time.

Why Does Cryptocurrency Drop in Value?

The price of cryptocurrencies swings up and down due to supply and demand dynamics. When demand for a cryptocurrency like Bitcoin rises, the prices also increase as there is only a limited supply of Bitcoin on the market. When demand falls for some reason or another, the prices also go down. In other words, the dynamic relation between supply and demand causes Bitcoin prices to swing from one end to the other, just like a pendulum. There are many forces that affect this dynamic. The value of any cryptocurrency depends on the public’s perception of its usefulness and desirability as an asset. Positive news and content about crypto, developments that make it accessible to large masses, and backing from institutional actors, all renew people’s faith in the crypto economy, while delays, hacks, negative news, scams, and disruptive government regulations create distrust and cause a fall in the overall demand. Sometimes, a sudden surge in demand can also cause an inevitable crash: When prices increase too swiftly, people become less incentivized to buy, and holders are tempted to sell-off in order to make huge profits. This is partly the reason why crypto price peaks are often followed by weeks or months of decreasing prices. But once the falling prices stabilize, the climb to the peak starts anew.

Why Did Bitcoin Crash in 2017?

The first major crypto market crash took place in December 2017, triggering Bitcoin’s fall from grace that would continue up until December 2018. But before we look into why the crypto market crashed so hard, let’s discuss why crypto bloomed during 2017, crowning Bitcoin with a new all-time high price. You might be surprised to learn that the price of Bitcoin was less than 1,000 USD at the beginning of 2017. Bitcoin’s value rose steadily in the following months, surpassing the 2,500 USD mark in June 2017. Then, things took a dramatic turn: prices doubled within the next two months and then quadrupled again reaching almost 20,000 USD per BTC in December 2017. The dramatic rise of cryptocurrency prices was attributed to several reasons: Bitcoin had expanded from “OGs” (a small group of early investors) to larger audiences; more cryptocurrency exchanges were established globally; and a slew of ICOs (initial coin offerings) has created a lot of excitement, drawing millions of dollars from investors in assets that promised to be the new Bitcoin, at least in terms of investment returns. The ICO boom in particular is an oft-cited reason for the eventual collapse of the crypto market. Research shows that most tokens rolled out in ICOs (around 80%) during 2017 were little more than scams and Ponzi schemes. Though the scope of fraud hadn’t been clear by then, many expected the ICO bubble to burst towards the end of 2017. Researchers also think Bitcoin price manipulation might have contributed to the infamous crash. Economists studying Tether-Bitcoin transactions identified a pattern that shows USDT/BTC transactions by a single trader on Bitfinex exchange propped up Bitcoin prices when the prices were dropping on other exchanges, creating an artificial price bubble that popped once the year ended.

Why Did Crypto Crash in 2018?

After reaching its all-time high on December 17, 2017, within 5 days, Bitcoin lost almost half of its value, falling to 11,000 USD. The fall would continue up until January 2019, with Bitcoin settling at around 3,500 USD. These days, the crypto crash of 2018 is regarded as almost inevitable: As a growing and completely unregulated market, crypto is more than vulnerable to frauds and thieves, and evokes FOMO like no other, partially because the promised returns are impossibly high. The combination of these factors reached its peak in the ICO boom, creating an unsustainable bubble growth that could only pop, washing away millions of dollars of investment. The falling crypto prices and lack of any development from many token projects, or outright disappearance of project managers, caused a sell-off panic that created a snowball effect on crypto prices. Add the alleged effects of Bitcoin price manipulation by large Tether holders to the equation, and you get the 2018 crypto crash.

Causes of the Biggest Dips in 2021

Bitcoin surpassed its all-time high not once but twice in 2021. In April 2021, Bitcoin prices reached  $64,000 per BTC. But the peak didn’t last long and Bitcoin lost more than half of its value in May 2021, falling as low as 30,000 USD. Elon Musk’s announcement that Tesla would no longer accept Bitcoin payments due to Bitcoin’s environmental impact, the Chinese ban on cryptocurrency mining that evaporated half of the Bitcoin network’s hashing power, the US Department of Justice investigation of stablecoin Tether, and remarks by government officials that new crypto regulations are on the way are all thought to have contributed to Bitcoin crash. But the asset recovered and began to rise again in September, and reached an all-time peak in November by surpassing 66,000 USD before prices began falling once again, sliding down for weeks. There is ample cause for the latest price dips. Just as crypto mining recovered from the Chinese government’s earlier ban, another regulation from China’s central bank outlawed all cryptocurrency transactions (which had continued through foreign markets after the government’s previous regulations), crippling one of the largest crypto markets in the world and decreasing Bitcoin price. Another blow to the Bitcoin market came with the announcement that the now-defunct Mt.Gox exchange would re-distribute 140,000 BTC among the former Mt. Gox customers who lost a staggering amount of Bitcoin to an infamous hack. These newly-released 140,000 BTC would not only increase Bitcoin’s supply drastically but could also drain the little liquidity in the market if investors decide to cash out.

Final Words

All the factors above are contributing to Bitcoin’s downward slide, but of course, as you might have realized by now, peaks and crashes are actually a normal part of Bitcoin’s growth. Price peaks are often, in time, followed by crashes that give way to new peaks, as the causes of these nerve-wracking drops work themselves out, and Bitcoin believers hold on for the next higher high or buy more at a bargain price. In other words, Bitcoin grows cyclically, and price drops can be an excellent time to delve into the crypto market. If you are interested in investing in Bitcoin but find yourself wondering and worrying about recent prices, you can reach out to one of our Coin IRA specialists to get the latest market news and learn how to take advantage of “buying the dips”.
Bitcoin in shopping cart

Who Accepts Bitcoin: The Growing Retail Acceptance

Bitcoin is the most popular cryptocurrency on the market, and its reputation as a digital currency is growing as time goes by. There are many businesses and nonprofits around the world that accept Bitcoin (BTC)  payments and donations. We put together a list of reputable companies that accept BTC, in order to give you a sense of the digital currency’s reach, and how it is shaping the future of money:

Major Companies and Retailers that Accept Bitcoin

Overstock

Overstock is the first major US retailer that started accepting Bitcoin. Overstock is an online market where you can find everything you need for your home, from furniture to clothing, jewelry, and pet supplies. Overstock invested in blockchain technology early on, blazing the trail for many other stores that would follow its footsteps to a cryptocurrency retail revolution.

PayPal

It’s only natural that the internet's favorite payment processor company, PayPal, joined the crypto-sphere, considering it has always been one step ahead of the competition when it comes to digital payments. PayPal allows US customers to make payments with Bitcoin, Bitcoin Cash, Litecoin, and Ethereum. PayPal provides an advantage to business owners as well, since it offers lower cryptocurrency transaction fees than the fees credit card companies charge.

Venmo

Our favourite social payment app now supports digital currency purchases! Following in the footsteps of its parent company PayPal, Venmo rolled out a crypto program earlier this year, in collaboration with the trading service provider Paxos. All verified US users can buy Bitcoin, Bitcoin Cash, Litecoin and Ethereum with the Venmo App. Venmo credit card users also have the chance to use their cash backs to buy crypto without paying any transaction fees. The program is being rolled out gradually, so don’t worry if you haven’t seen the option on your app yet!   

BitPay

BitPay is a payment processing company that facilitates payments with Bitcoin. You can buy gift cards with BTC for several companies on the BitPay website, including Amazon. BitPay also has its own cryptocurrency wallet and offers a BitPay prepaid MastercCard. You can connect BitPay Mastercard to your BitPay crypto wallet and convert your Bitcoin funds to USD to load the prepaid card and spend your funds on anything you want to!anywhere that accepts MasterCard.

Twitter

Social media darling Twitter announced in September 2021 that it is rolling out a new tipping feature on its app, allowing users to send bitcoins to their favorite creators as tips! Twitter has been testing its tips feature since May 2021 and the feature will roll out globally in the upcoming weeks. Apple iOS users are expected to be able to send Bitcoin tips as early as October 2021, and Android users will quickly follow suit. Thanks to Twitter's integration with the Strike Bitcoin Lighting wallet, users will be able to add Bitcoin addresses to their profiles and send BTC to support each other.

American Red Cross

The American Red Cross is a non-profit organization that provides disaster relief and emergency aid during natural and man-made disasters such as hurricanes, accidents, and explosions. You can donate Bitcoin to the American Red Cross through BitPay, one of the biggest cryptocurrency payment services in the world. BitPay also facilitates payments with Ethereum, Bitcoin Cash, and a few other altcoins.

Newegg

International electronics supplier Newegg is one of the first companies that started accepting Bitcoin and other digital currencies as payment. As the American Red Cross, Newegg uses the BitPay infrastructure to accept Bitcoin payments. While you can’t use BitPay for subscription orders or pre-orders, pretty much everything else is available. Just keep in mind that all sales through BitPay are final. You can read about its terms and conditions here.

NordstromFlexa

The Gemini-supported Flexa app allows cryptocurrency users to spend their Bitcoins on more than 40,000 locations across the US. Users can download the Flexa app from Google Play or Apple Store and integrate their cryptocurrency funds to Flexa’s wallet in order to make purchases simply by scanning QR codes on their mobile phones. Whole Foods did a test run on the app, and you can use digital currencies to shop from Nordstrom and Dunkin Donuts. You can download the Flexa app to see the full list of locations where you can spend your Bitcoins.

Etsy

The independent trading platform Etsy allows sellers to accept cryptocurrency payments if they wish to do so. If you see that your favorite handcrafts store allows “other” payment methods, there is a chance that they accept Bitcoin payments too. Message the seller to inquire whether they accept digital currencies and they can easily provide you with a Bitcoin address.

Rakuten

Rakuten launched its own cryptocurrency payment service in 2021. Rakuten customers in Japan can trade Bitcoin, Ethereum, and Bitcoin Cash for Rakuten Cash without paying fees, and use their Rakuten points to shop for online and offline services throughout Japan. Previously, Rakuten charged 300 Yens on bank transfers.

AirBaltic

AirBaltic Airlines started accepting Bitcoin for their services back in 2014 and they are still going strong. The airline offers cheap flights across Europe and the Middle East. You can buy flight tickets from AirBaltic with your Bitcoin through BitPay.

ExpressVPN

ExpressVPN is a popular virtual private network service that ensures your online privacy. It is also one of the rare subscription services that accept Bitcoin as payment. ExpressVPN accepts Bitcoin for yearly subscriptions. You can get a 12-month plan that comes down to an average of $8.32 per month. Payments can be made through BitPay. 

Wikipedia

We can’t praise the world’s largest open-source encyclopedia enough, but those who really appreciate this free resource can support it by making Bitcoin donations! Wikimedia Foundation, the parent company that runs the free encyclopedia accepts Bitcoin donations through BitPay.

Gyft

Gyft is a digital gift card platform that accepts Bitcoin. You can buy gift cards from over 200 retailers with Bitcoin through the platform, including Target, Starbucks, and Whole Foods. Gyft doesn’t charge additional fees for Bitcoin payments.

AMC

AMC entertainment owns the world's largest movie theater chain. The AMC CEO, Adam Aron, has announced plans for accepting Bitcoin payments for movie tickets. AMC’s US theatres are expected to start accepting Bitcoin towards the end of 2021.

Amazon Gift Cards

While Amazon itself doesn’t accept Bitcoin, you can still use BTC to buy Amazon gift cards at Purse.io. Purse is a marketplace that meets Bitcoin owners with gift card sellers. The platform has a handy search engine that allows you to search for any Amazon product, or better yet, allows you to copy the product link directly to the search bar.

Walmart

Finally, Walmart recently posted a job opening on its website back in August, seeking to hire a blockchain expert responsible for developing a cryptocurrency project for the US based retail giant. The position will be responsible for planning ‘crypto-related investment and partnerships,’ opportunities for Walmart. The official posting is now closed, presumably because they already hired the expert they are looking for! We think a cryptocurrency future for Walmart might be on the horizon very soon.

Here’s an important tip

If you are looking for a specific product to buy with your cryptocurrency, or if you are merely curious about whether your favorite brands are available to buy with Bitcoin, check out the spendabit search engine to discover the wealth of available options for spending your BTC.

A Few Words Before You Go…

New ways of incorporating blockchain and digital currencies into retail structures are emerging every day, encouraging retailers to consider accepting Bitcoin as the technological infrastructure evolves and the public demand increases. The numbers are already growing and we will make sure to update you when that happens.  Hopefully, now you have a better understanding of where you can use Bitcoin as a digital payment method. There are thousands of online and offline retailers around the world that accept these payments and the numbers are growing every day.  If you want to learn more about Bitcoin and how it can change the way you handle your finances, get in touch with our Coin IRA crypto specialists who can help you put together a cryptocurrency portfolio.
Bitcoin token with blue SUV car

A Motorist’s Guide to Investing in Cryptocurrency with Tax Benefits

Let's look at the possibilities of using a Cryptocurrency IRA to ensure security for your retirement and gaining benefit from the remarkable profits that are available to those who invest in Bitcoin and other cryptocurrencies like Ethereum or Litecoin.  These are not just a new asset class - they are part of a new technology that has vast potential. In 1885 Karl Benz invented the first motor car: a three-wheel, tiller-steered vehicle powered by a ¾ horsepower single-cylinder engine. Despite many naysayers and its obvious shortcomings, the idea immediately caught on. In 20 years, motor vehicles were commonplace, starting a giant new industry. We are completely familiar with them, but every motor vehicle can trace its ancestry back to that 1885 prototype. New technologies need to go through an acceptance process to become normalized in society. Advances like this take time. Some people don't want to get involved with unfamiliar technology. In 1885 horses were the norm, and gasoline-powered vehicles were a strange circus act. Bitcoin is as revolutionary in financial circles as the motor car was to transport. It has started a "gold rush" to invest in cryptocurrency.  Are you ready to dip your toe in the water? Let's say you are a person who needs to save for retirement. Perhaps your previous IRAs have not delivered sufficient returns. Interest rates are low, and conventional asset classes are underperforming. You need to ensure that your money and assets are safe for your family's future in an unstable economy. Bitcoin and other cryptocurrencies have delivered staggering profits in the last ten years, beating all other assets in the same way as a Formula One car outperforms a family sedan. Recently, major companies from institutional investors to Tesla have invested in cryptocurrencies and reaped the benefits.

What Are the Benefits of a Cryptocurrency IRA Account?

By investing in a Cryptocurrency IRA with a reputable company, you enable the best protection of your investment, as well as having experts on board to ensure tax efficiency under IRS rules. The cryptocurrency in the IRA will be stored safely in a best-in-class, hybrid, multi-signature digital wallet with military-grade encryption. Rest assured you will not need to master all of Bitcoin's intricacies to get started in the same way it is not necessary to know how to fix your car's engine to obtain the benefits of personal transportation. The Crypto IRA experts at Coin IRA will take care of that. What is important to know is that the backbone of cryptocurrencies is the blockchain, which is a ledger or "Decentralized Ledger Technology" (DLT) that is validated by many computers in a peer-to-peer network, making it very robust and tamper-proof, and leaving the confines of banks as "trusted third parties" behind. Long-term investors, retirement investors, passive investors, and early adopters of new technology, whether young or old, can benefit from their investing a part of their retirement into cryptocurrency.  Here are just a few great reasons:

6 Reasons to Invest in a Crypto IRA

 
  1. Diversification of your investment portfolio

Many people are unaware that they have alternative investment options in IRAs.    A few select qualified custodians offer cryptocurrency self-directed IRAs in both pre-tax (Traditional) and post-tax (Roth) accounts,           which increase diversification and thereby reduce risk.
  1. Return on Investment

Bitcoin and other cryptocurrencies have outperformed every other investment class over the past few years, and experts forecast this as a continuing, long-term trend.
  1. Hedge against inflation and financial turmoil

Bitcoin has a fixed number of coins designed into its protocol. That means there are only 21 million Bitcoins that will ever be mined, restricting the supply.  Unlike conventional currencies like the dollar, Bitcoin cannot be devalued by overinflating the supply.
  1. Privacy and Security

Every Bitcoin transaction is recorded and visible on the blockchain by entering the public key, also known as the wallet ID, which is a series of letters and numbers that keep the parties to the transaction anonymous. There is also a private key, known only to the sender, which is necessary in order to authorize buy or sell transactions.
  1. Disengagement from the conventional financial system

The decentralized peer-to-peer nature of blockchain transactions means that "trusted third parties", e.g., banks, stockbrokers, lawyers, etc., are not needed to transfer value in the cryptocurrency ecosystem. This innovation is the most significant departure from conventional financial technology pioneered by Bitcoin.
  1. Tax advantages

With a Roth cryptocurrency IRA, you can invest post-tax money into an investment vehicle, your gains accrue tax-free, and you pay no taxes when you take your distributions. If you choose to invest in a conventional Cryptocurrency IRA, you can invest with pre-tax dollars, your gains accrue tax-free, and you only pay taxes when you take a distribution. In either case, a Cryptocurrency IRA offers you tax advantages that you can’t get by investing in cryptocurrency anywhere else.

Navigating Temporary Detours

Cryptocurrencies are very volatile.  Although the basic trajectory of the two biggest—Bitcoin and Ethereum—has been steadily upwards for a decade, sudden dips are typical.  Some authorities are negative towards cryptos, and some countries have banned them.  The decentralized design of these currencies makes it unlikely that banning them would succeed globally.

How a Cryptocurrency IRA Can Help You Through This Process

Coin IRA is a fully compliant and licensed institution working with the most experienced cryptocurrency IRA custodians.  We will walk you through the process of setting up and funding your new Cryptocurrency IRA, guiding you every step of the way to safe trading and secure storage of your Bitcoin and other cryptocurrencies.

Take the Next Step

You can contact us to find out more about how we can help you with tax-efficient cryptocurrency investing. This is a whole new field of technology, and you should be excited to be an "early adopter". With economic turmoil starting to emerge, and the fallout from the pandemic being an unknown factor on the horizon, you need more than ever to ensure that your future and the future of your family are protected by having various advantageous investments. Starting a Cryptocurrency IRA is like choosing another quality “vehicle” to add to the journey to your retirement.  
Hand holding an ethereum coin

How High Will Ethereum Go?

Ethereum is more than just “an altcoin” in the Bitcoin and other altcoins phrase. As graphs suggest, it remains strong in spite of going through a turbulent 2020. Isn’t this a positive signal that Ethereum (ETH) has set solid grounds for potential investors? If you’re still hesitant when it comes to the legacy of Ethereum or maybe feel reluctant to shift your focus from “the one and only” Bitcoin, no worries.  Investors’ reluctance arises mainly from Ethereum’s native settings and the fact it’s been associated with a more technical background. It’s true, this blockchain-based representative is nothing similar to what you’ve already come to know of Bitcoin (BTC), Litecoin (LTC), or Stellar (XLM). The blockchain technology behind Ethereum is far more robust than all listed examples, which makes Ethereum more than just a regular cryptocurrency. It’s been utilized to serve as the basis for building new, decentralized applications on top of it. In this respect, Ethereum has great support from Enterprise Ethereum Alliance, an association consisting of Fortune 500 companies that have entered a strong partnership in developing cross-industry projects and innovations based on Ethereum smart-contract technology. We’ll discuss the core ETH principles to see to what extent BTC and ETH differ and whether Ethereum has the slightest chance of surpassing the unquestioned crypto champion BTC. We’ll support this with a short history of Ethereum and near-future predictions, which will potentially serve as a valuable guide for you as a potential investor.

What Is Ethereum?

The idea of Ethereum as a decentralized, open-source platform for the use of its native cryptocurrency Ether was presented to the public in 2015. The coin itself is often referred to as Ethereum, and such interchangeable use of both terms has been widely accepted in the crypto jargon. The Ethereum software is run by Distributed Apps and Smart Contracts allowing safe and anonymous transaction execution without employing a third party to control the process. Ethereum is also a programming language used by software developers to create new applications that are run on Ether, as a basic cryptographic token and a moving wheel to the Ethereum software. This trading model has the ambitious goal of creating an entirely private environment resistant to cyberattacks and scams since there is no personal or bank information to be recorded on the blockchain ledger. Contrary to popular belief, Ethereum doesn’t have a limitless supply. The supply limit does exist but it increases at an estimated rate. As we mentioned above, Ether is a medium of exchange like all other cryptocurrencies and can be traded commercially. It’s the second-largest cryptocurrency, found on all well-established crypto marketplaces that allow trading with multiple assets other than Bitcoin. However, unlike other altcoins, Ether and the Ethereum-based tokens can be used only for dApps’ facilitation. That being said, you can trade another crypto in exchange for Ether, but Ether cannot be replaced with another crypto to supply computing power on the Ethereum blockchain.

Short History of Ethereum

According to one of the cofounders of Ethereum, Vitalik Buterin, the idea behind this blockchain technology arose from the flaws of the already existing Bitcoin network concerning full liberation from centralized authorities. This idea was described for the first time in the white paper Buterin released in 2013. The next year, he and the other co-founders created a crowdsourcing campaign selling Ether to participants through which they managed to raise $18 million. The first Ethereum release called Frontier was officially established in 2015. And then, in a relatively short period, Ethereum massively grew to gather hundreds of contributing developers. Expectedly, Ethereum went through severe growth issues mainly due to the concern of security, pretty similar to what Bitcoin faced in its early stages. In 2016, there was a critical cyber-attack resulting in a loss of $50 million worth of Ether, which raised the question of Ethereum security in general terms for the first time. The theft started a dispute in the Ethereum community followed by a separation into two separate blockchains Ethereum Classic (ETC) and Ethereum (ETH). Expectedly, it didn’t go without drastic price fluctuations. The price of $75 in May 2017 managed to hit $1066 by December the same year, following a dramatic drop to $411 only several months after, with no considerable recurrence of the 2017 success. This negative trend lasted until 2020, when the price of Ethereum started growing again, a trend that is still going strong at the time of writing this article.

Ethereum Price Prediction

The crypto market is in constant flux and many relevant predictions have failed to come to fruition. However, based on the unlimited operational model, experts see endless potential in the future development of Ethereum apps. When we also take into account that it was Bitcoin that led the way in general adoption, we find that we have a chronological pattern to rely on even though both crypto products differ at numerous levels. These enthusiastic predictions are further supported to some extent by the impressive figures that indicate a massive acceptance of digital assets and their rapid transformation into mainstream finance. Wallet investor’s technical analyses consider Ethereum a profitable investment opportunity predicting a long-term increase in Ethereum price. More specifically, by the end of next year, the price of Ethereum is estimated to rise to $6220, and in five years, it is expected to reach $11471. The Italian analysis service Previsioni Bitcoin goes even a step further, predicting an outstanding ETH value of $10,029 by the end of 2021. Long Forecast expects a drop in price under $3,000 soon this year, but the prediction is that it shouldn’t last longer than a month or two. They predict that by the end of 2021, Ethereum will hit $10,000 and continue to reach a new all-time high each following month for the years to come. So, the most relevant factors in the crypto industry share the general impression that Ethereum has a bright future. We’ve nothing else to do but conclude that Ethereum is worth our attention as a long-term investment. The question that remains is, can it surpass Bitcoin?

Final Thoughts

Ethereum is the most prospective candidate for outshining Bitcoin but it’s still a young player on the crypto scene. So, it’s quite unfair to compare both cryptocurrencies on equal terms. However, we must agree that Ethereum can be perceived as a more advantageous asset in several respects. First, the Ethereum network enables trading more than just one crypto. Second, Ethereum isn’t limited to a single cryptocurrency exchange method, offering smart contracts and Ethereum Virtual Machine options as well. Moreover, giant investors like Microsoft and IBM have chosen Ethereum as a wise investment. And finally, Ethereum is eligible for Cryptocurrency IRAs so that’s a perfect opportunity for your investment portfolio. As one of the crypto veterans, Coin IRA can provide all the support and guidance you need towards a rewarding crypto experience. Don’t let another historical price boom pass by unattended Contact Coin IRA’s experienced team and get started securely in your next chapter of life savings.
Staking Crypto Graph

Crypto Staking 101: How to Earn Passive Income with Digital Assets

Cryptocurrencies like Bitcoin, Ethereum, and XRP are all part of an exciting new asset class that is taking the world by storm. Gone are the days of traditional investing through brokers and banks — as the world becomes increasingly digital, the future of money is online. Crypto staking is an exciting feature of this brave new world, allowing you to earn 5-10% interest per month on your cryptocurrency holdings. By simply buying cryptocurrency and storing it on an online staking platform, you can earn generous profits without lifting a finger.

What is Crypto Staking?

As cryptocurrencies evolved beyond Bitcoin, developers created new methods of securing, storing, and validating transactions on digital networks. Known as 'consensus methods', these processes use complex algorithms to define how cryptocurrencies function within a decentralized environment. Proof of Stake (PoS) is a consensus method designed to help reduce the environmental impact caused by Proof of Work (PoW), which requires excessive amounts of electricity to operate. Rather than using warehouses full of computers to validate transactions on the network, PoS is secured and managed through staking: an act of faith and commitment from its users. In order to reward faithful users for their efforts in securing the network, staking rewards are paid out monthly at varying interest rates. These typically fluctuate between 5 and 10% and are defined by how well the network is performing. Users who stake coins on the network also get to vote on certain project decisions, similar to shareholders. Nowadays, most major crypto exchanges like Binance, Kraken, and Huobi allow staking directly on their platforms. In addition, many software and hardware wallets such as Ledger and Exodus also allow staking so you can maintain ownership of your private keys.

Benefits of Staking Crypto

Many people choose to stake crypto as a means to increase their profits without the risk of having to actively trade. In many cases, users who stake crypto make similar returns to those who actively trade crypto on a daily basis. Unless you are a highly experienced trader with spare time on your hands, it makes far more sense to stake crypto as it's low risk and requires no time commitment. Due to market movements, staking crypto is not entirely without risk but it does give you an additional backup should the market drop. For example, if the market value of your staked asset decreases by 2% but you earn 10% interest that month, you'll still come out in profit. At the end of the day, most cryptocurrency investors have a significant amount of capital stored on the blockchain - so why not make that money work for you? If you're worried about market volatility, there are even some stablecoins that offer staking with high returns of up to 10%. These coins avoid volatility by maintaining a price matched equally (1:1) to the US dollar, euro, or any other fiat currency.

What are the Best Staking Coins?

Cryptocurrency is a fast-moving sector with new developments occurring on a daily basis. New projects pop up frequently, presenting competition to existing projects and creating ripples in the market. To choose the best staking coin, you should look for one that has been around for a few years, has a large market cap, and consistent annual growth. Some newer coins might offer higher returns than older ones but their low market cap and resultant volatility make them a risky investment. Solid, long-running, and reliable projects like Ethereum (ETH), VeChain (VET), Neo (NEO), or Tezos (XTZ) are low-risk investments that provide decent monthly staking returns. However, choosing the right staking coin for you also depends on how much capital you have to invest. Ethereum, currently the second-largest cryptocurrency by market cap, is an 8-year old project that recently changed its consensus method to Proof of Stake. To stake Ethereum, you would need to deposit at least 32 ETH at a cost of around $76,000 as of April 14th, 2021. Never fear though, as many smaller projects require no minimum investment, so you can start earning staking rewards with as little as $1.

Pros and Cons of Staking Coins

Staking cryptocurrency is an excellent way of making passive income but it does have its downsides. The most notable is the large initial investment required. With most coins, you can stake as little as you like but until you've managed to build up your investment, the interest you earn will be negligible. Ideally, you'll want to invest as much as you can in order to get the best returns. Even an investment of $10,000 will only return a few hundred dollars a month, so you'll need some decent capital to really get started. However, research shows that any money you stake will almost always provide better returns than a traditional savings account. Another con is the relative risk involved. Although cryptocurrencies are now a staple feature in most investment portfolios, they still represent higher volatility than other assets. To minimize your risk exposure, always ensure you choose a well-established and trusted coin to invest in.

A Range of Investment Opportunities

As cryptocurrencies continue to gain widespread adoption around the world, more and more financial products are being created to take advantage of this exciting new asset class. Aside from crypto staking, you can also invest in your favorite cryptocurrency through EFTs, index funds, investment trusts, and IRAs. Coin IRA offers services to help you convert your existing 401(k), Roth IRA, or Traditional IRA into a Cryptocurrency IRA. This provides you with a safe, custody-backed way to benefit from the exceptional gains that cryptocurrencies offer while also securing your retirement. Speak to a Coin IRA advisor today and discover how easy it is to become a crypto investor.  
Bitcoin symbol against trading screen

Is Self-Trading Right for You?

With all the interest in crypto, it’s no wonder that more and more people are interested in self- trading. It’s easier than ever to create an account and start buying and selling cryptocurrencies. Even online courses promise to teach you everything you need to know about investing in this new asset. Self-trading in crypto can make for a wild ride, but with the potential for enormous gains. The question is, is self-trading worth the risk?  The answer is YES. With that in mind, this article weighs up the advantages of self-trading.  You'll also learn how cryptocurrency trading works, and you'll find suggestions about the kinds of issues you should watch out for.  

How Does Crypto Self-Trading Work?

On the face of it, self-trading crypto doesn’t look very different from trading in stocks. You’ll need to pick a crypto company to work with and create an account. Most platforms will request some form of personal identification, as well as information about how you want to fund your account.  Coin IRA offers both IRAs and Individual Trading accounts, and since Equity Trust will act as the custodian for your account, there's no need to worry about a wallet or the security of your assets.  Equity Trust, an IRS approved custodian, has been in the self-directed IRA business for 45 years and has $34B in assets under custody.  Equity will ensure your digital assets are held safely and securely in your account.

What Are the Benefits of Self-Trading Your Cryptocurrency?

Profit Opportunities Are Increased

Cryptocurrency can be highly volatile, which means that there are constant opportunities for profit. On the plus side, all of this movement means plenty of chances to turn a profit, and having the access to execute trades yourself, without delay.  At the same time, trading in such a volatile asset means that you’ll need to either be constantly engaged, set trade triggers, or be willing to sit back and play the long game.

Crypto Market is Always Open

The cryptocurrency market truly does not sleep. Unlike the stock market, which keeps relatively tame banker’s hours, virtual currency trading goes on 24 hours a day, seven days a week. That means more opportunities for profitable trades. Of course, that endless buying and selling also means that you will want a trading platform that is secure yet simple to use, like the Coin IRA Digital Asset Self-Trading Platform.  Even beginners find it straight forward and easy to navigate. Every form of investment carries some risk, and crypto is no exception.  Cryptocurrency is highly complex. Besides bitcoin, there are thousands of different virtual currencies on the market, each with its own backers who can spin a convincing story about their currency’s likely rise. The extreme volatility associated with crypto can make it hard to untangle truth from fiction since it’s easy to get distracted by a temporary surge or fall. As long as you feel comfortable making your own investment decisions and can follow step by step instructions to place a trade, you can reap great benefits from self-trading. Adding cryptocurrency to your investment portfolio will open up new avenues of possibility, whether you plan to use the investment to fund your retirement or to diversify your overall portfolio through an individual trading account Investing Through Coin IRA With the help of the experts at Coin IRA, learning to self-trade is simple, and you'll have access to a simple yet robust platform. The experts at Coin IRA will be your personal guides through every step of your new adventure into the exciting world of self-trading cryptocurrency!      
Man pointing to blockchain

Blockchain Is Your Friend: A Primer on Blockchain Explorers

Just for a moment, imagine what it would be like if you tried to find what you need on the Internet without a search engine like Google, Bing, or Yahoo. For most people, it would be quite a challenge, to say the least. Just as there are search engines to help us discover what's available on the Internet, there are what's known as blockchain explorers (or sometimes block explorers) to help users navigate the blockchain. This might sound like an odd concept, but once you've learned the basics of blockchain explorers — or perhaps even tried out some of the ones on our list of recommended blockchain explorers — you should soon see the utility that these essential tools can offer. So, are you ready to do some exploring? Here we go!

Offering Transparency

One of the most important advantages of blockchain technology is the transparency that it provides to users. The transactions made on a blockchain are stored permanently on a record/ledger that's open-sourced and viewable anytime, anywhere by any interested party. That might sound daunting but consider the implications. The level of transparency offered on the blockchain can help to reduce fraud and illegal activity generally. And for the non-fraudsters out there, you should be able to track your transactions since they're all permanently recorded. But how? That's where blockchain explorers come in. Just as a search engine can help you track down nearly any type of information you're looking for in the tangible world, a blockchain explorer can quickly assist you in locating the details of transactions that took place on the blockchain of most well-known cryptocurrencies.

How Does a Blockchain Explorer Work?

You don't have to know all of the technical details of how a blockchain explorer works, but it's essential to at least have a basic understanding. To put it simply, a blockchain explorer collects bits of information from a network by using an application programming interface or API and a blockchain node. After extracting as much data from the network as possible, the node interface will then store and arrange that data. Finally, the software will and present the data to you, the user, in a searchable format. Once you've accessed a blockchain explorer, you should be able to quickly search for and explore data about the mined blocks and/or transactions on the blockchain of your choosing. Typically, you won't need anything fancier than a normal web browser and Internet connectivity to access a blockchain explorer. What you'll see varies from one blockchain explorer to the next, but oftentimes you'll see a screen displaying a live feed of blocks as they're being mined, with a particular focus on the most recent blocks and transactions. And, just like you'd see in an Internet search engine, you'll most likely find a search box in which you'll usually be able to enter an address, block, or transaction that you're looking for. Or, if you'd rather just browse, it's not unusual to see a list of the latest blocks and/or transactions right on the home page.

What Can You Do on a Blockchain Explorer?

Whether it's Bitcoin, Ethereum, or another popular blockchain, you should be able to dive in almost immediately and discover potentially important bits of information with a blockchain explorer. Typically, a blockchain explorer will allow you to:
  • Track the transaction history of any wallet address on the blockchain that you've specified
  • View recently mined blocks
  • Discover unconfirmed transactions on a blockchain
  • Check for double-spend transactions
  • Find out find who successfully mined a particular block
  • Identify "orphaned" blocks that aren't attached to the main blockchain
  • Track down the "genesis" or original block of a blockchain
  • Look for the mempool-size, or the aggregate size of unconfirmed transactions in bytes
  • See other minutiae such as transaction fees, blockchain difficulty, and hash rates
Some blockchain explorers will even let you seek out the largest transaction of the day — perhaps you can find that big-money "Bitcoin whale" you've been looking for! Just keep in mind that each blockchain explorer is different, and sometimes they're specific to one or more blockchains. For example, you probably won't find much success if you try to use a Bitcoin blockchain explorer to locate data on the Ethereum blockchain.

Start With These Block Explorers

Ready to take a chance and see what's out there on the blockchain? If so, then we invite you to try any or all of these popular blockchain explorers. Blockchain.com Explorer: This is one of the most popular Bitcoin block explorers available today. Here, you'll find the usual search features (latest blocks and transactions, mempool-sizes, and so on), but you can also access more specific details like ownership by time held, daily active addresses, and concentration of retail investors versus "whales." BlockCypher: The interface here is super-simple and uncluttered, but that's the beauty of BlockCypher. The front page serves up the specified blockchain's recent blocks, current fee estimates, and latest transactions, and a search bar can take you to specific information pertaining to a handful of blockchains, including Bitcoin, Ethereum, Litecoin, and Dogecoin. BlockChair: This one's reminiscent of Google's home page as it displays a big, prominent search field front-and-center. Probably the most significant feature of BlockChair is that it allows you to search for transactions, addresses, blocks, and even embedded text data on 17 different blockchains. TokenView: Imagine being able to explore the transactions of more than 100 different cryptocurrencies. This is actually possible, believe it or not, with TokenView. This blockchain explorer is a veritable gold mine of information, including daily trading volumes, lists of pending transactions, the number of active wallets, block reward winners, and more.

Making the Blockchain Your Friend

Regardless of your level of expertise, you can make friends with just about any blockchain — it's just a matter of getting to know it better, and blockchain explorers give you the tools and the information you'll need to do just that. And when you're ready to really step up your crypto game, be sure to check out Coin IRA, a fully compliant and licensed institution guiding you through safe buying, selling, trading, and storing of Bitcoin and other cryptocurrencies.
Bitcoin symbol against stock market graphs

Owning Bitcoin vs Grayscale Bitcoin Trust — What’s the Difference?

Unlike stocks which are almost always bought through and held by a brokerage, cryptocurrencies like Bitcoin offer much more flexibility. They can be bought and held on an exchange like Coinbase, held in a personal wallet without a custodian, and they can even be traded directly between people. One method of buying Bitcoin that has caught the attention of many investors is the Grayscale Bitcoin Trust - a fund that behaves just like a stock that is intended to allow investors to get price exposure to Bitcoin without owning actual Bitcoin. Is buying shares in a Bitcoin trust like the one offered by Grayscale the right choice for you? Read on as we go over the pros and cons of buying Grayscale shares versus owning actual Bitcoin using a company like Coin IRA.

Grayscale Bitcoin Trust – What Is It, and Who Is It For?

The Grayscale Bitcoin Trust (GBTC) is a fund that trades on the OTCQX market, the highest quality tier of OTC markets that offer trading in companies that are not listed on traditional exchanges. The fund buys and holds a set amount of Bitcoin and then maintains a balance of Bitcoin held on deposit for each share of the fund. According to its official website, each share of GBTC represents 0.00094716 BTC. Currently, there are two ways to invest in GBTC. The most direct route is to purchase them on the OTCQX.  Alternatively, accredited investors may periodically be able to invest in a GBTC "Offered Product" which may come at a preferable price but has fairly steep entry requirements. Namely, the Offered Product sale is only available at certain times, requires investors to be accredited, and has a $50k minimum investment. As with mutual funds and some ETFs, Grayscale charges an annual fee of 2%. Additional fees you might see from buying GBTC could include brokerage commission fees. Not all brokerages – especially discount ones – support OTCQX market trades. Who is the right audience for GBTC?  Since GBTC behaves more like a stock, it makes sense for those that only want to interact with stocks and stock-like funds. A person could have tax or other financial liability concerns when dealing with Bitcoin. By wrapping the Bitcoin inside of an exchange-traded investment, an investor can insulate themselves from making contact with the real cryptocurrency. GBTC may also make sense for those looking to make quick or short-term trades. However, an investment platform like GBTC will definitely not be for everyone. With its 2% annual fee, potential commission fees, and minimum investment requirements to get the best deal, those looking to avoid fees and high barriers to entry might want to avoid GBTC. As its annual fee is recurring (you pay it every year), those with a long-term investment horizon stand to lose a significant portion of their investment just from fees. Finally, buying GBTC does not provide much in terms of tax incentives. You can expect to pay full capital gains taxes as you would with any other stock or ETF.

Owning Real Bitcoin 

While indirectly investing in Bitcoin through something like GBTC may come with a few convenient features, there is a multitude of reasons why owning real Bitcoin through a company like Coin IRA might be better for you. The first and most important thing we need to consider is the cost. While investing in a managed fund like GBTC comes with regular annual fees and high upfront minimums, Coin IRA has a one time fee at the time of purchase, not a recurring fee, and charges nothing at the point of liquidation. The 2% annual fee that Grayscale charges may not matter to those looking to quickly buy and sell shares in search of short-term profits. However, for those looking for a long-term investment a recurring 2% fee can greatly impact their bottom line. Next, let's review the tax implications. Buying and selling any type of share on a stock market will create immediate taxable events. Strategies that involve regular buying, selling, and re-buying will face the brunt of this reality as the tax bill at the end of the year piles up. Investment accounts such as 401(k)s and IRAs operate in a manner that is highly tax-efficient. These accounts allow you to shelter your earnings from taxes for years or even decades, allowing them to grow unencumbered. And with digital assets like Bitcoin, taking a long-term approach is likely going to produce the best results. Finally, it's important to think about the difference between owning actual Bitcoin versus having shares in a Bitcoin fund. With Coin IRA, investors actually own Bitcoin or a number of other available virtual currencies, not some derivative, and owning Bitcoin in your IRA comes with even more advantages including institutional-grade, segregated, multi-asset cold storage for full custody for your digital assets.  Your IRA assets are also protected by crime insurance that covers internal and external theft on assets held in the care, custody and control of the custodian's chosen storage provider.  You can gain peace of mind knowing your digital currencies are protected with a combination of advanced security practices and a suite of customized insurance solutions.  While there are no requirements for understanding how to secure Bitcoin and keep it protected from hackers, viruses, and other digital threats when you opt for GBTC, ultimately you still own a derivative of Bitcoin, not the real thing. And with Coin IRA, IRAs are established with a professional custodian and guided by experts that have years of retirement experience.  It's never too late to start a long-term, growth-focused strategy with Bitcoin – no matter what the price is today.

How Should You Invest in Bitcoin?

Each investor is different, so you will need to weigh the pros and cons of GBTC and direct Bitcoin ownership against your own investment goals. However, it is logical to say that if your goal is to make quick, short-term trades against the price of Bitcoin without actually holding any, a Bitcoin fund like Grayscale might be appropriate for your strategy. Depending on the type of funds (qualified retirement funds or regular savings) you want to use to make your purchase, you may elect to buy Bitcoin and hold it yourself.  Just keep in mind that with this strategy you will need to be responsible for keeping your Bitcoin safe.  Any security failures could result in the total loss of your investment. Finally, if you are investing for the long term and want to allow your investment to grow without an immediate tax burden, you may find a lot more benefit to your bottom line by allowing the experts at Coin IRA to present your options and guide you to the finish line.
Bitcoin graph rising and falling

How Much Will Bitcoin Be Worth In 2030?

The movement of Bitcoin’s price is in the limelight of the investors’ community nowadays. Admittedly, Bitcoin’s behavior has never been predictable, but this intense interest seems to have been escalating over the past several years. The reason is pretty clear: nobody expected that Bitcoin would become such a globally influential event, let alone an asset. This virtual currency became equally popular among high-grade institutional investors and eager individuals, so frequent ups and downs don’t tend to affect its influence on the world’s economy. Therefore, near-future predictions about Bitcoin are quite a thrilling topic to discuss today. This article will combine scientific analyses with experts’ opinions in order to provide a reasonable expectation for Bitcoin in 2030. Furthermore, we’ll cover some of the previous price predictions so that you can see to what extent the viewpoints can differ when talking about cryptocurrency.

A Brief History of Bitcoin’s Price

Can you imagine that it has been just over a decade since the decentralized concept of Bitcoin was introduced to the world? It all started in 2009, when the anonymous genius Satoshi Nakamoto published a link to a white paper called Bitcoin: A Peer-to-Peer Electronic Cash System, heralding a new wave of financing that excludes all layers of intermediaries and time-excessive transactions. It wasn’t an easy way for Bitcoin to receive any sort of public recognition. Interestingly enough, its first denominational value against the American dollar was with a symbolic rate of  US Dollar = 1,309.03 BTC. Gradually, Bitcoin received more and more attention, and between 2010 and 2017, its price ranged between $2 and $1,200. However, we aren’t talking about an upward price trend here. On the contrary, Bitcoin prices could rapidly shift in both directions within a single month or even a day. As an illustration, in October 2017, the exchange rate of Bitcoin was under $5,000,then reached an all-time high of $20,000 in December the same year and suddenly dropped to $7,000 several months later. The pandemic outburst in 2020 forced people to orient towards digital space, which naturally led to the Bitcoin boom. No single day would pass without Bitcoin making headlines. The new digital era may have added to Bitcoin’s huge demand, but it doesn’t seem to have brought any price stability. For example, in April 2021, Bitcoin reached a jaw-dropping value of $63,000 but a single tweet from Tesla’s CEO Elon Musk was enough for an unfortunate, almost double fall. Was anyone even close to predicting this?

Previous Predictions

It’s astonishing how experts’ predictions for 2020 varied. One of the most interestingly wrong ones was the prediction of the (late) famous entrepreneur John McAfee, who claimed that Bitcoin will reach $1,000,000 by 2020. McAfee stated this in July 2019 and what’s more, he was really assertive and confident in his over-optimistic forecast. On the other end of the spectrum, the influencer Robert Schwertner shared a considerably pessimistic prognosis in January 2020 for the ongoing year, where he claimed that Bitcoin had no future. Despite these drastically inaccurate statements, some experts got quite close. The predictions of Alexander Zaidelson, Beam CEO, and Danny Scott, CoinCorner CEO were almost 100% accurate, showing that we still can rely on crypto experts’ opinions. 

Experts’ Opinions: Bitcoin in 2030

Short-term negative fluctuations of Bitcoin’s price shouldn’t discourage you. The predictions for 2030 are generally favorable. To be on the safe side, we’ll focus on the most plausible ones.  Tyler Winklevoss, one of the famous Winklevoss twins and owners of Gemini, claims that Bitcoin will soon replace gold as a leading store of value, getting close to its market cap of $9 trillion, which means that Bitcoin has a real chance to hit $500,000 by 2030. The first investor in the popular social media app Snapchat, Jeremy Liew, projects Bitcoin’s value in 2030 at the same amount as Tyler Winklevoss:  $500,000. Liew, whose fortune is estimated at $2 billion, is involved in the crypto business as an investor in LedgerX, a reputable hardware wallet. This opinion is also supported by Peter Smith, owner of another Bitcoin wallet company called Blockchain. Smith’s forecast for the value of Bitcoin in 2030 dates back from 2017. He’s been right on track so far. Kay Van-Petersen, a Danish bank analyst, doesn’t have expectations that are as high. He predicts a potential Bitcoin value of $100,000 per unit before 2030. Van-Petersen is a Twitter business influencer with proven expertise in online investments. This opinion is far from pessimistic, but it sounds more reasonable than $1 million forecasts.  

Scientific Analyses: Bitcoin in 2030

As accurate as they may turn out, Bitcoin’s price predictions by crypto-savvy experts are emotionally-driven personal assumptions. Let’s direct our focus to the scientific instruments that project the forecast based on the existing pattern of Bitcoin’s movement.  You’ve heard that mining is the initial method of acquiring Bitcoin. The reward miners get when they generate a new piece of Bitcoin (solving complex math problems) is known as a subsidy. The subsidy amount is divided by two every four years. Originally, it was 25 BTC, but it’s dropped to  6.25 BTC by this point. By 2028, halving will reduce the mining reward to 1.5625 BTCT. This process is called Bitcoin halving, and the next one is expected in less than two years. Each time a halving occurs, there is unmistakable growth in Bitcoin’s price. This is closely related to using the stock-to-flow mechanism, which existed long before the rise of cryptocurrencies, as an indicator for determining the commodity’s price. This mechanism determines how much Bitcoin is presently circulating against its currency production, corresponding with the supply-demand system of the halving ratio. According to the standard line graph, Bitcoin is likely to surpass the psychological barrier of $1,000,000 before 2030. Provided that there is a total supply of 21 million BTC (around 4 million out of the total supply is considered gone forever as a result of irretrievably lost private keys), and only a limited proportion of the circulating Bitcoin is liquid (since the majority of Bitcoin investors keep their assets for ages), this model predicts a sky-rocketing demand for Bitcoin.

Final Thoughts

The positive predictions of Bitcoin’s future are powerful enough to reshape our hesitating attitudes towards the blockchain industry. However, there are many external factors that could interfere with the rising trend of Bitcoin, varying from global politics to hidden business interests. Certainly, you shouldn’t ignore any of the possible scenarios, but the final decision for investing in Bitcoin must be based on your personal investment goals and business instincts.  More particularly, if you believe that Bitcoin’s heyday has already gone and somehow you missed out grabbing a piece when you had a chance, there is a broad spectrum of other altcoins to consider. These include prevalent ones like Ethreum (ETH), Litecoin (LTC), Bitcoin Cash (BCH), and Stellar (XLM). However, if you stick to the belief that Bitcoin’s time is yet to come, do not wait for a second longer and find a well-suited marketplace for your future long-term savings.   Whichever belief you hold, you can always count on Coin IRA to provide clear options and to facilitate your ultimate decision. Now that you have a clear understanding of Bitcoin’s forecast, it’s time to see for yourself that investing in crypto has never been easier, especially when our team stands behind your long-term investment plan.
Bitcoin gold token

Seven Ways Bitcoin Can Benefit Everyone

Bitcoin is the leader in a new technology wave. Until now, only banks could create currencies. Now anyone can create what is called a 'token' to use for a myriad of different purposes; some could be to keep health records, to monetize watching advertisements, or to easily send money to a foreign country. Up till very recently, cryptocurrencies were the province of geeky individuals – the average investor kept to more mainstream assets for their retirement portfolio. However, in the past few months, institutions and high-profile public figures like Elon Musk have been buying large amounts of Bitcoin and other cryptocurrencies. Many conventional investments have delivered very poor returns recently, but had you invested in Bitcoin and the cryptocurrency sector you'd have seen your investments skyrocket – BTC up 160% in 2020, compared to S & P 500 13.73% and gold 21.6%. So now Bitcoin is for everyone who needs to invest in their future. If you’re one of those people who have heard about Bitcoin but can’t decide if you’re going to invest or not, you’ve come to the right place. Here are some reasons why you should buy Bitcoin, preferably via Coin IRA, which is an easy route to owning the asset.

Bitcoin Is a New Asset Class

Asset classes are things like gold, real estate, as well as stocks and bonds. Cryptocurrency has now become part of this group because of Bitcoin’s amazing return on investment (ROI). Major corporations like TESLA have invested in Bitcoin, so many people are confident that they have made the right choice. It won't be long before Bitcoin is a normal part of many people's investment or retirement portfolios. Investment advisers say that a diversified portfolio is best – and what better way to diversify than to add another asset class?

Bitcoin Is Resilient

External events like a stock market crash shouldn't affect Bitcoin. It is not surprising because Bitcoin is created to avoid these scenarios, including real estate and traditional money system problems. There are many people who are putting some of their money in Bitcoin because they see it as a “safe haven” - like gold - in case their other investments tank.

Bitcoin Is Limited

This is the reason why it has risen its value. Bitcoin can’t be printed, unlike regular money. The cryptocurrency is limited to 21 million. This property is not seen negatively. Scarcity value drives the price up as more people buy crypto – so Bitcoin is for everyone. You need to invest in it now as there will not be enough for everyone who wants it.

Confiscation Is Impossible

Fiat currency can be frozen by the bank, depending on where you live. For example, in Cyprus a few years ago, there was a financial problem, and the banks took 10% of everyone's deposits. You don’t have to worry about these things because it will never happen to cryptocurrency. It is not dependent on central banks and even the government so. They have no control over it. The only person who has control over your digital money is you.

Central Banks Can Not Be Trusted

If you think back to the banking crash of 2008, central banks all over the world created billions in currency as “helicopter money” to drop into the banking system to ensure liquidity. That means that your own dollars essentially lost value. We don't know if a further crisis will force the Fed to do something similar again. The idea of a cryptocurrency that can't be devalued by a central organization is becoming more attractive and more useful by the day for wise investors.

Technological Barriers Are Disappearing

It is getting easier to buy and store Bitcoin. Previously you needed to be quite a geek to manage to invest successfully. This was stressful, and if something went wrong you might lose access to your coin hoard (note that Bitcoin cannot be 'destroyed' because they all remain on the blockchain, but it is possible to lose access to them – however Coin IRA is a way to avoid this issue). Coin IRA is a pioneer in offering Cryptocurrency IRAs, providing an excellent customer experience in guiding you through safe buying, selling, trading, and storing of Bitcoin and other cryptocurrencies. The portfolio includes Bitcoin and Ether, the No.1 and No.2 cryptocurrencies, and six other major currencies including Litecoin (LTC) and Dash (DASH), and a new and exciting “Decentralized Finance” or DeFi coin called Chainlink (LINK).

Bitcoin is not Counterfeitable

One of the issues with conventional assets is they can be faked. Dollars can be counterfeited. Stocks can be devalued by the company issuing more of them. In recent years there has been suspicion of some gold ETFs, that there isn't actually the right amount of gold in them – that is they aren't really backed by enough physical gold in a vault. Those investors could lose out. Nobody has managed to counterfeit even a single “Satoshi” (the smallest division of bitcoin, a millionth of a coin). It simply isn't possible because the decentralized ledger – the blockchain – is verified on millions of computers worldwide. This gives cryptocurrencies a considerable advantage over regular asset classes.

Now Is the Time to Invest in Crypto

Now is the time to add some cryptocurrencies to your investment portfolio. Bitcoin was developed with the goal of letting people control their individual economies. This objective is now happening globally, providing citizens with outstanding benefits.

Bitcoin for Everyone

So really, Bitcoin is for everybody. It certainly changes the world of investment. For years major financial institutions laughed at Bitcoin or called it a scam. Now they are rushing to set up cryptocurrency investment divisions, buying Bitcoin in large amounts, and looking for the most innovative projects to put money into. If you choose to take control of your destiny and invest in Bitcoin, you’re doing the right thing. Talk to a representative at Coin IRA to learn how to diversify your retirement investments with this exciting new asset.
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