Back in 2009, bitcoin, the most popular cryptocurrency, started its journey in the global market. Since then, it has secured a stable position in the digital asset industry. In the past, people had many misconceptions about bitcoin but slowly things are being cleared up. Tech giants like Microsoft, IBM, etc. are accepting bitcoin as a standard medium of exchange. They are the top tier multinational companies in the world. Unless they were certain about the use of bitcoin, by no means would they have taken this decision.
So, by now it should be pretty clear about the acceptance of bitcoin worldwide. But in this article, we are going to highlight some of the things which cryptocurrency users don’t know. Read this article carefully to learn many interesting facts about the crypto industry.
Cryptocurrency is not anonymous
Most of us think that cryptocurrency is mostly famous because of its anonymous use. But this is not the case. Since the transactions of bitcoins and other cryptocurrencies take place in a decentralized network, it’s very natural to think that the source of transactions cant is tracked. But the governments and pro hackers can easily do so by analyzing the multiple associated nodes in the network and finding the source of the transaction with a high level of accuracy.
So, if you are thinking that you have the ultimate anonymous payment medium you are making a big mistake. It’s just a matter of time before each transaction gets tracked upon request. Though it’s not as easy as traditional bank transfer, still it can be done within a short period.
Some of you might have heard that the government of Jordan and Lebanon doesn’t support bitcoin or other cryptocurrencies in any form. So, it’s obvious the demand for bitcoin in such countries will be lower as it is not appreciated by the local government. On the other hand, countries like Australia, Japan, etc. consider it as being like traditional fiat currency. You don’t have to think about regulations or laws. Feel free to transact in bitcoin and cut out the middle man. Fiat crypto conversion is very simple and you can expect to get the standard FX exchange rate for converting your bitcoin or other cryptocurrencies into traditional fiat currency. When you look for the exchange, make sure you use a reliable service provider like bigX.
Bitcoin is just part of the crypto industry
Some naïve users often think bitcoin is a synonym for cryptocurrency. But this is not completely true. There are many other cryptocurrencies available in the market with different exchange rates. Prices are determined based on its complex algorithm and market capitalization. Bitcoin has gained huge popularity in the crypto industry as the first mover. The conversion of Bitcoin is an easy task compared to other digital assets.
You can trade bitcoin
Most of us think that buying bitcoin is the only way to make a profit in the crypto industry. But many reputed brokers’ offer crypto trading services through which you can make a profit by selling or buying bitcoin at your desired price. It’s more like trading the Forex major pairs in the global market. But when you start thinking about trading bitcoin never expect to get insane leverage. Most of the time, traditional currency pairs are traded with high leverage. But for cryptocurrencies, you should not expect more than 1:5 leverage. Though it can lower down the profit factors while trading the bitcoin, it also reduces the risk exposure to a great extent.
To make consistent profit by trading cryptocurrencies make sure you learn about technical and fundamental analysis. Develop a unique strategy so that you can execute the trades with managed risk. Never expect to win all the trades even though you will be trading bitcoin.