10 Reasons to Invest in Cryptocurrency

Why invest in cryptocurrency?

What are cryptocurrencies?

invest in cryptocurrencyCryptocurrency is a digital asset that is developed and designed to function as a medium of exchange – just like real life money, albeit – online. It is maintained and managed by cryptography which functions as a security measure. Cryptocurrency was first implemented in 2009 after the creation of Bitcoin. While cryptocurrencies attracted a growing following in subsequent years, it only captured significant investor and media attention in April 2013 when Bitcoin peaked at a record $266 per / coin.

As the world is becoming more economically insecure, and with the ever evolving nature of the Internet, many are beginning to and feel it important to invest their hard earned money into a platform that is both secure and growing.

Welcome to the world of cryptocurrency investment!

Why invest in cryptocurrency?

10 Reasons to buy cryptocurrency for investment today

We must add, the following is simply our opinion based on the facts and background behind cryptocurrency. While we endeavour to help our customers as much as possible, we recommend always doing your own homework before investing anything into a currency.

So, to kick off with, let’s breakdown the components of a cryptocurrency and see why you should be investing in cryptocurrencies today.

Security

cryptocurrency securityCryptocurrency systems are based upon cryptographic security and cryptography. What this means is, rather than ‘trusting in the bank’ and its I.T department to keep your money and banking details safe, when you invest in cryptocurrency, you’re trusting in ‘the math’. This security means that it’s highly unlikely your account will ever be compromised.

The very nature of cryptocurrency which prevents it from being compromised is the ‘blockchain’ itself.  The security of the system is also safer than the others as it relies on a ‘proof of work’ system. This is to say that, once a transaction has been confirmed on the blockchain, it is set and cannot be changed. After confirmation, the transaction becomes part of an immutable history record of transactions; it cannot be reversed and can most definitely not be forged. More so, once a transaction has occurred almost everyone across the network knows about it at the same time which adds more emphasis to the security of the transactions.

This transaction process is completed by miners. They are the only ones who can confirm a transaction. Miners take the transactions, stamp them as legal and legit and then spread them across the network after which every node adds it to its database as part of the blockchain.

This blockchain technology and ‘proof of work’  system is unique to cryptocurrencies and an attractive pull for investors weary of Government and institutional interference in transactions and traditional banking / investing. With the blockchain, investors can be safe in the knowledge that there isn’t a chance of anyone outside of the miners getting involved in your transactions.

The security is further emphasized by that fact that your coin funds are locked in a public key cryptography system. Only the owner of the private key can send cryptocurrency. Strong cryptography and the magic of big numbers make it impossible to break this scheme. A Bitcoin address is more secure than Fort Knox.

Both of these make up the basis of security within the cryptocurrency economy.

Anonymity & Privacy

While once an attractive advantage to those on the ‘dark web’, the pseudonymous nature of crypto is still a plus to everyday investors and traders.

This pseudonymous feature is a benefit which ultimately means that neither a transaction nor the accounts to which they’re sent,  are ever connected to real world identities. Once a person is given the crypto address it is almost impossible to track it to them. The addresses are seemingly random chains of around 30 characters. While it is usually possible to analyze the transaction flow, it is not necessarily possible to connect the real world identity of users with those addresses.

This anonymity and privacy was one of the founding features of Bitcoin itself, again – preventing external parties, organisations or governments from knowing what you’re investing in or buying, how much you have spent, nor from whom you’re buying.

cryptocurrency transaction feesTransaction Fees

Cryptocurrencies are made more advantageous by the fact that they involve lower fees than any other money transaction processes. Usually there are zero, or very low transaction fees for cryptocurrency exchanges because the miners are compensated by the network. The only fees that are incurred by the operators are with the third party who is involved for creating and maintaining their own wallets.

Compare these low or non-existent fees to those charged by traditional banks or online payment processors e.g. PayPal, Stripe etc.

While saving on transaction fees vs. the usual fees, is great for us here in the UK, leaving more in our pocket or in the investment we’re wishing to invest it, these traditional banking fees mean that many in poorer worlds are excluded from the banking world altogether, they’re ‘unbanked’. The low fees for crypto allow these individuals to finally become part of the wider trading and commercial world.

Use & Barrier to Entry

use virtual currencyThe joy behind cryptocurrency is that, unlike some traditional investment methods which are difficult to jump into, investing in crypto is easy, permissionless and accessible to trade with 24/hours a day.

That is, to be able to access crypto you don’t have to ask anybody to use it. You can receive and send Bitcoin or any other cryptocurrencies without expensive software, training or licenses and no one can prevent you from doing so. There is no gatekeeper and ultimately, anybody with access to a smartphone, a laptop or a desktop PC can use it at any time of the day or night.

There are a number of websites where you can buy your first lot of cryptocurrency, or alternatively, why not give one of our brokers a call to discuss a virtual currency order to get your foot on the investment ladder.

Call 0203 189 1451 or email [email protected].

Portability

Ever tried carrying a large amount of money abroad? Well, we haven’t, but we understand in certain jurisdictions it’s difficult, if not sometimes impossible. Cryptocurrency solves this issue, these currencies are easily and legally portable.

With the current major currencies, it is difficult to carry around large amounts of money. Cash amounting to millions is risky to carry for several reasons, which is why crypto investors prefer it to other currencies. It is possible to carry and move around with a million pounds’ worth of cryptocurrencies in a memory card and no one would be any the wiser.

Speed of Transaction

speed transactionHere in the UK we have Faster Same Day Payments from some banks, but this in itself has limitations. You can only send up to £25,000 / day, and only to partnering banks with same day faster payments systems in place.

Attempt to send a CHAPS payment, or authorise a payment to a bank in a far flung corner of the world, and you’ll be waiting at least one day, if not more for the payment to clear.

With cryptocurrency, you can send money anywhere and it will arrive minutes later, as soon as the currency network processes the payment.

Cryptocurrency transactions are built to be incredibly fast and globally available. You can send money anywhere and it will arrive a handful of minutes later, or as quickly as the network processing the payment will allow for.

It doesn’t matter where you’re based or where you’re sending the money to, the global network of computers processing transactions will ensure it gets there faster than almost any banking institution.

This speed makes investing in cryptocurrency for short term investments an attractive one, with the network itself being able to keep up with fluctuating currency price changes.

No Debt

Unlike the normal banking system, cryptocurrencies have no debt but are the bearer. This is to say that the Fiat-money on your bank account is created by debt, and the numbers, you see on in your bank account represent nothing but debts. It is a system of IOU.

Cryptocurrencies do not represent debts. They just represent themselves. They are money as hard as coins of gold and whatever the number that is reflected is the exact amount of money that you have.

Controlled Supply & Low Inflationary Risk

Controlled Supply currencyMany argue that cryptocurrency trumps FIAT currency like USD and GBP for one key reason – quantitative easing. Most cryptocurrencies operate under controlled supply, which means no ‘printing of money’. In Fact, networks limit the supply of the tokens even in cases where the demand is high. For instance in Bitcoin, the supply decreases in time and will reach its final number somewhere around 2140. All cryptocurrencies control the supply of the token by a schedule written in the code. This means the monetary supply of a cryptocurrency in every given moment in the future can roughly be calculated today. There is no surprise as the investor is assured of the factors of the value of what they are buying.

So, despite being labeled ‘cryptocurrency’ – the likeness to Gold and Silver commodities in that the supply is limited, is far more true than that of traditional FIAT currency.

Cryptocurrencies also have a lower inflationary risk. This is because all other world currencies are controlled by their respective governments. As an example, if a particular government employs the wrong policies, becomes corrupt or is faced by crisis, their individual currency suffers. This is what at times leads to a fluctuation in the value of their currencies and, as mentioned, can lead to the printing of more money.

More so, crypto investors believe that the currency has a lower falling risk when compared to other currencies. This is because Bitcoin and other altcoins are global currencies that don’t depend on government policy that can ultimately fail and cause hyperinflation or complete collapse of the currency (Zimbabwe!).

The key here is that cryptocurrencies are not dependent on the economy of any particular country. Their value is not influenced by the normal trends in the global economy and therefore will remain highly valuable even under the worst of circumstances.

The Rising Price of Virtual Currency

rising price cryptocurrencyWhile the past few paragraphs outlined the benefits for investing in crypto from a technology and feature point of view, the biggest pull factor for most investors is the sheer rising price of cryptocurrency.

People are ‘following the money’ in anticipation of possible future price rises across the crypto market. Where could the price of crypto go in the next few years?

Bitcoin was worth merely a few USD / coin 7 years ago, most recently it reached a record high in June, 2017, climbing above $2,900(source) for the first time.

This was more than double the price it was selling for at the beginning of May, and an incredible 500-fold increase over the past five years. Bitcoin reached a high of 5 million won in South Korea on May 25, the equivalent of about $4,500 and far higher than the US price of around $2,700 at the time.

And the price of Bitcoin in Japanese yen was then about $300 higher, on average, than the price in US dollars at the time. Other currencies such as the relative newcomer on the block Ethereum, grew sensationally since it’s inception, and is now trading at about $280/coin.

Further to individual coin price increases, the trading volume for each currency is increasing day in day out. Which is an indication that even more investors globally are making their first entry into the crypto investment world.

The video below includes some thoughts from business masters including Bill Gates and Richard Branson about the future of Bitcoin, altcoins and future price rises. 

Conclusion – Ready to invest in virtual currency?

To understand the revolutionary impact of cryptocurrencies you need to consider all the properties. Bitcoin, for instance, is a permissionless; irreversible and pseudonymous means of payment and therefore, it is way out of the rigid and bureaucratic control of banks and governments over the monetary transactions of their citizens. You can‘t stop someone using Bitcoin, you can’t stop someone accepting a payment, and you can’t undo a transaction.

As money with a limited, controlled supply that is not changeable by a government, a bank or any other central institution, cryptocurrencies will, for good or worse, help you to escape the scope of the monetary policy. They take away the control central banks take on inflation or deflation by manipulating the monetary supply. Meaning that, the value of your money under cryptocurrencies cannot be affected by inflation in your country.

Most cryptocurrencies are designed to gradually decrease production of currency, placing an ultimate cap on the total amount of currency that will ever be in circulation, mimicking precious metals such as silver and gold.

With this in mind, and with the ‘silver and gold’ idea in our head, surely it is time to start investing in cryptocurrencies today?

Buy Virtual Currency in the UK Today

If you’re ready to invest and buy cryptocurrency in the UK, we’d be more than happy to help you. We offer a unique 1-2-1 cryptocurrency brokering service, allowing regular and also first time buyers access to the cryptocurrency market at competitive rates for both Bitcoin and many of the top 100 altcoins.

Some of the most popular digital currencies supplied by us here at CryptoxBureau include:

Bitcoin BTC, Ethereum ETH, Ripple XRP, Litecoin LTC, Ethereum Classic ETC, Dash DASH, NEM XEM, IOTA MIOTA, Monero XMR, EOS EOS

Buying with us is incredibly easy, simply head to the ‘registration’ page, complete the online form, and a broker will be in touch with yourself via email or telephone within 60 minutes.

Your dedicated broker will be able to provide a competitive custom quote for your virtual currency order, all you have to do is transfer the funds via UK bank transfer, and your broker will release the coins into your chosen, safe and secure currency wallet.

If you’re ready to make contact with us, why not head to our registration page or alternatively give us a call or email us and we’ll be in touch within 60 minutes.

invest in cryptocurrency

Email a Broker
Contact Us
Need help? Email us your questions and a broker will be in touch ASAP.