Can small investors profit from bitcoin? According to Coin Stocks, the greatest risks right now are bitcoin’s volatility and the threat of a security breach.
Many people comprehend the stock market, yet most still don’t fully understand the complexities of digital forms of money like bitcoin or Ethereum. However, that may change, with organizations like Global Blockchain Technology Corp (BLKCF). BLKCF promises to reveal the secrets of the market, and expects to become the world’s first publicly traded company that invests in digital currencies.
The cryptocurrency climate has expanded enormously since its beginning. Over twelve different cryptographic forms of money hold capitalizations at or above $1 billion, while the aggregate market cap is over $100 billion. This has been a noteworthy reminder both for the fintech world and for “old-school” finance – regardless of volatility or security concerns, seemingly nothing can stop the current momentum of cryptocurrency.
Bitcoin itself has increased from about $0.30 in 2011 to around $6,600 at the time of this writing. $100 in bitcoin in 2011 is now worth over $1.87 million today. Many of the greatest shifts in digital currency have happened recently. Organizations have now begun to create their own tokens like bitcoin or ethereum to raise capital.The cryptocurrency can be traded, mined and accessed, which changes the landscape for businesses across the global fintech world.
We are now observing returns upwards of 2000 percent along with the extra value of venture liquidity. BLKCF representatives state that their company will give prospective investors access to blue chip crypto holdings like Bitcoin and Ethereum, access to pre-ICO financing and ICO financing, and even investing in blockchain startups.
In addition, Bitcoin exchange traded funds (ETFs) have been attempting to get approval from the U.S. Securities and Exchange Commission (SEC). However, digital currency ETFs have been less than successful in the past; the SEC rejected the Winklevoss’ twins application for a bitcoin ETF.
While investing in something that has seen such aggressive returns may be tempting, consumers looking to grow their portfolios either in the short or long term should be very careful and do their research (as is true with any significant investment). As mentioned previously, bitcoin’s volatility and the risk of breaches means that sky-high returns are not guaranteed. Famous investor Warren Buffett has even called bitcoin a “bubble.” Whatever investment strategy consumers choose, they need to ensure that they are making the right decision for them.