Is Bitcoin – The Best Cryptocurrency?
Is Bitcoin – The Best Cryptocurrency?
Bitcoin was one of the first cryptocurrencies to be launched (in 2009). Cryptocurrencies have been around for more than a decade, yet some people are quite wary of it. This is because not everyone realizes the various benefits that come with it. If you are new to this domain, you might want to know about the best cryptocurrency.
Now, which is the best cryptocurrency in the market? It is none other than Bitcoin. Well, why’s that? In the present article, we will explore what drives most people to invest in this crypto. Bitcoin is the most popular form of cryptocurrency globally, owns the largest market cap, and is the most traded cryptocurrency.
Below we have listed 6 different reasons that make Bitcoin the undisputed king of cryptocurrencies.
What Makes Bitcoin the Best Cryptocurrency?
As we already mentioned, Bitcoin is one of the first digital cryptocurrencies in the world. Read ahead to find out what makes BTC different from fiat currencies.
Pseudo-Anonymity –
Bitcoin is built on a blockchain of its own. This blockchain help users maintain pseudo-anonymity. The users have unique public addresses, and the blockchain keeps a public ledger of all the transactions on the network.
So unless you know the public address of an individual, you cannot trace the transaction to them.
Decentralization –
One of Bitcoin’s most significant highlights is its decentralized nature, which means no government or institution controls Bitcoin and its functioning. Your coins aren’t stored in a bank or secret vault; instead, they are available on a worldwide collection of nodes.
Scarcity
Unlike fiat currencies, there is a limited supply of Bitcoin. Only 21 million bitcoins will ever be in existence, 18.5 million of which have already been mined. Since it is finite, the BTC is rare and valuable, like gold and other precious metals.
As the supply decreases and demand increases, the value of Bitcoin will rise manifold.
Transportability
Bitcoin can be used as a medium of exchange for goods and services in an economy. You can transfer BTC easily between two parties within a couple of minutes at low transaction costs, through crypto exchanges and wallets.
Durability
While fiat currency notes can be torn or burned, digital currencies not tangible, which keeps them safe from such harm. You may not lose bitcoin the same way that you lose a dollar bill. However, you must be extra heedful about your BTC because if you misplace your private key, an unauthorized user can access your coins.
Counterfeitability
Bitcoin transactions are verified by a network of miners on the blockchain, making it difficult to counterfeit bitcoins. To forge bitcoin, you would need to confuse everyone on the network.
Final Thoughts
The above-said reasons make Bitcoin one of the best cryptocurrencies in existence. Many cryptocurrencies have followed in the footsteps of Bitcoin and are thriving.
Although Bitcoin is the best, there is still a lot of room for improvement, and we are yet to see the full potential of Bitcoin. As governments and the general public realize the benefits of cryptocurrencies and adopt them, we will see further development in Bitcoin.
