Having spoken about investing in Bitcoin I thought it would be good to share with you what Bitcoin actually is.
Basically it is a digital currency that was invented in 2009. The idea was to transfer currency over the internet outside of the traditional systems.
This has resulted in a currency that can not be controlled by Governments, banks or large corporations.
Bitcoin smashes down barriers, you can transfer it all around the world even if the receiver doesn't have a bank account.
I believe Bitcoin has the potential to change the world. Bitcoin could actually end up being safer than cash.
There will only ever be 21 million bitcoin and they are released slowly by a process called mining. This means that will be rare and unlike traditional cash will not be diluted like money is when new money is printed and backed by nothing.
The problem for Bitcoin is the price fluctuates like crazy, It really goes up and down a lot, this scares a lot of people and is a major reason why they stay away.
Also people think of it as an underground currency that is used mainly by criminals and it scares them.
I see Bitcoin as still in it's infancy, Early adopters are buying and if it becomes more poular and the masses start to buy the price could rise a lot. It is not a get rich quick scheme and anyone buying has to beware of the fluctuations.
However there is a possibility that Bitcoin will become a store of wealth in the future just like Gold & Silver. This could be an exciting opportunity as by then more people could be interested in investing.
There are issues with storing Bitcoin that can put people off buying and if you do not store correctly there is a danger of losing everything. I will talk about storing in later episodes.
I must stress that I am not recommending you buy Bitcoin and I am not advising in any way. All I do is share what I do. If you decide to buy or not then that is solely your choice.