So a few weeks ago I succumbed and splashed out on a few bitcoin, the following week MTGox the biggest single exchange of bitcoin promptly collapsed and the value of the BTC came tumbling down with it, so it hasn’t been my best investment.
However, it is early days and proponents will tell you that they are going tobe worth 10,000 USD in the next 6 months, year, two years and some may say never, ever.
I dont claim to have any answers. I can say that Bitcoin isn’t being used as a currency, despite that moniker being attached with it. Its all about speculation, people are hoarding or even day trading on the volatility, so in some ways it bears a closer resemblance to stocks than it does an actual currency, except BTC doesn’t actually produce anything of value.
The price seems to be determined by two things, supply and sentiment. I suppose if I brought in when it was worth 100USD / BTC I might be a bit more bullish, but I didn’t so despite my keen interest, I am sceptical.
Everywhere you look is someone else talking about BTC, this is because the more mainstream it becomes, the more it is spoken about (just as I am partly guilty of here), the greater the demand will be, and hence this will boost values. In some ways its not that different to a pyramid scheme, where the early adopters are the ones who make the real cash, and its never too late for you to get on board too!
The underlying technology of bitcoin, the blockchain has the potential to be hugely disruptive to the way people do business and conduct transactions. It could change the way banking is done forever.
I wont explain in detail but I will point you to an excellent podcast on the topic that really delves into the nature of what bitcoin is and where its expected to go.
They mention a few altcoins on here too.
If after all this you feel that you want to at least take a look at what this is all about for yourself I suggest heading over to Qoinpro, where they will give you a few bitcoin for free when you sign up and a little more every day, as well as a few other alt coins such as Litecoin, Feathercoin and Fedoracoin.
Here’s what they have to say about themselves
QoinPro was conceptualized in December 2013 and launched on January 29, 2014. We are based in Hong Kong and work from different time zones (Hong Kong and the Netherlands) to offer near 24/7 support.
QoinPro is a multi-coin faucet with wallet-like features giving different free coins (Bitcoin, Litecoin, Feathercoin, etc) on a daily basis to all subscribed members. The multi-coin faucet functionality is step one of a much larger plan to eventually become a leading cryptocurrency platform.
Our primary objective in step one is to educate people and making it (very) easy for them to get started with cryptocurrencies.
Sign up to Qoinchain via this link, and they will give me a few more coins every day, don’t worry, its free and no payment details are requested.