Bitcoin is generally the main and most known cryptocurrency, always taking the lead in all news and actions followed by other Altcoins. In one sentence, it is a Digital Decentralized Currency, meaning there is no central bank, center or single administrator to the network. Bitcoin is regarded as the digital gold, in fact, it holds the value of your wealth better than any other financial instrument.
First of all, let's agree that the Fiat Currencies that we use (EGP, USD or even EUR) are in fact a big lie. Actually there is one main reason behind that, that is they often print excessive amounts of money to cover up government debts. However, such unhealthy act increases the supply of the cash currency, with the same demand causing inflation. Which means that the brand new iPhone you used to buy cost 6,000 EGP five years ago, but now the brand new iPhone might reach up to 23,000 EGP. Actually, the iPhone doesn't have an added value that deserves the 400% increase, that is exactly where the 17,000 EGP went - Inflation. Another example, is that during the COVID Lockdown, Donald Trump (Ex. US President) decided to pay everyone in the whole country money so they can afford living, therefore he printed 3 Trillion Dollars INSTANTLY. That summed up to around 20% of the whole circulating amount of US dollars in the world. In other words, each $100 you owned instantly turned out to become $80.
Therefore, since the dawn of ages, individuals have resorted to Gold for its well-known good store of value. This is due to the fact that Gold is scarce, you cannot just print huge amounts of gold instantly. Also, people worldwide recognize Gold as a tradable asset. Which means if you have 1kg of Gold, you can easily convert its value in any location on Earth.
However, there has been some drawbacks to Gold. Like the fact that it is not portable. It would be challenging to actually send $1M worth of Gold from here to China. Let alone fool's gold, and the fact that not everybody can identify authentic gold. I want you to ask you mother since when did she get hold of gold, how much did it cost, and how much is it worth right now. Also to inquire was it a good investment or not. Most probably the answer will be, gold was the best investment ever - and they're holding forever and never selling.
Now going to Bitcoin:
- SCARCITY. There can only be 21 million Bitcoins in the whole world and algorithm. The structure has been made to hold no more that this amount, this highlights the limited supply and increasing demand more than ever. There are 21 million Bitcoins and 8 Billion People in the whole world - you can do the simple math
- DECENTRALIZED. No certain Central Bank holds your data. You are in full control. No opportunity for the bank to freeze your account, take your funds or ask you about sources of your wealth.
- MOBILITY. You can actually move your wealth from a place to another with no questions asked and in no time. For example, you can send $10M worth of Bitcoin from your place to Sweden, and the whole transaction won't take a couple of minutes to get confirmed.
We'll be getting deeper into how the network works and so, but for now I want you to imagine when everybody gets to know such opportunity. In ten years from now, it is really imaginable how this imagination might turn into a reality. The point is, if you can invest in it right now, you're definitely saving yourself a lot. This is a table of how 1000 EGP would have been worth if invested in crypto:
* Calculated upon current BTC Price ($40,000)
You've already missed being a billionaire, you don't want to miss being a millionaire. I just want you imagine what will happen when all governments and institutions accept and acknowledge the Bitcoin Power. What will happen to the Bitcoin Price? Definitely to the moon :)
** Not Financial Advise