Bitcoin keeps conquering the global financial industry by increasing its influence with each passing day. Most recently, we witnessed the biggest spike in value in its history. As of late January and early February, Bitcoin is valued at over $34,000, with many experts believing that it can rise as high as $50,000. They believe that this milestone will be reached by the end of the year.
The sudden surge in value attracted many new people to the network who are keen on making a profit. But, making money and turning into overnight millionaires is not the only reason as to why millions of people want to use Bitcoin. This cryptocurrency has tons of other great advantages over the FIAT currencies and these advantages make the competition look obsolete.
With that thought in mind, we decided to take a look and explain all of the advantages that Bitcoin has as a way to help you understand why so many people are fond of using the cryptocurrency. We are also going to take a look at one of the most frequently asked questions about Bitcoin – how do people make money with it. Let’s begin.
How Do People Make Money With Bitcoin?
The process of making money with Bitcoin has 2 stages. The first stage is earning it. People can earn Bitcoins by buying them or mining them. Buying them is easy, but expensive while mining them is hard, yet free.
Mining is actually recording Bitcoin transactions and verifying them. To do that, miners need to solve complex puzzles. The reward for each solved puzzle is Bitcoins. The more transactions you record; the more rewards will you reap.
One thing to keep in mind when mining Bitcoins is the even called halving. This event takes place approximately every 4 years and during this time, the circulation of Bitcoins in the market is cut in half.
After you earn Bitcoins, you earn the second stage – selling them. This is where trading sites help you maximize your profits. Let’s take one of the most reputable trading sites as an example –  the Bitcoin Pro website. This platform has one of the most advanced AI systems which analyze the market and use the data to make an accurate prediction on how Bitcoin will fluctuate in the near future.
With this data, traders get vital information on when is the best time to sell their Bitcoins. Since Bitcoin has a high volatility rate, knowing when to sell them means that you can maximize your profits by thousands of dollars, depending on how many Bitcoins you are selling.
Now that we’ve gotten this clear, let’s check out the advantages that Bitcoin has over its competition.
The Advantages Over Other FIAT Currencies
First of all, Bitcoin utilizes an advanced technology called cryptography. This is a method that hides valuable information about its users through the use of codes. With cryptography, Bitcoin users gain a very important advantage – a certain level of online anonymity. Now, this does not mean that you are off the grid, but you can rest assured knowing that the level of your online security is at a very high level.
Next up, Bitcoin is not controlled from any centre (banks/governments). That means that they cannot impose any hidden or added fees. To make things even better, general fees for certain transactions are also much lower. By using Bitcoin, you save money with every transaction.
Speaking of transaction, when using more popular methods, such as credit or debit cards, it may take a few days before they are completed due to the fact that these transactions have a certain processing period. That is not the case with Bitcoin. Instant transactions is the next advantage that it has over FIAT currencies.
Finally, we go to the biggest advantage – making money. As you read earlier in the article, Bitcoin has the power to run you into an overnight millionaire. All you have to do is keep an eye on the market, get familiar with the process of trading with Bitcoin, and work hard.
What About Other Cryptocurrencies?
Now that we’ve seen what are the advantages that Bitcoin has over the FIAT currencies, what about other cryptocurrencies? There are plenty of cryptocurrencies like Bitcoin, but none of them come close to it. Why? Bitcoin’s network is far more stable, it provides a higher level of online security through its anonymity for the users, and most importantly – Bitcoin’s value is unmatched. It dwarves the competition when it comes to its price.