By creating a bitcoin wallet, you can immerse yourself in a world of digital money and transactions, where your anonymity will be enhanced. Unlike with credit cards and traditional payment processors, you don’t have to provide your name or other personal information to create a bitcoin wallet. Having a bitcoin wallet also empowers those who live in undemocratic countries, as they can donate to political causes using bitcoin, thereby bypassing government censors. Having a bitcoin wallet can also help consumers bypass credit card companies that operate like a monopoly by allowing them to purchase goods and services blacklisted by these big financial players.
As more people adopt bitcoin for everyday transactions or as an investment, the value of the cryptocurrency may rise substantially. Besides the added convenience and freedom of using bitcoin, in the long run users who leave some bitcoin in their wallets may find that they can purchase more goods and services with the digital currency due to its rise in price.
Currently, a unit of bitcoin is worth substantially more than a troy ounce of gold. Because of the cryptocurrency’s growing pains as it gains mainstream adoption, delayed transactions have become more common with bitcoin, leading some investors and users to see bitcoin as more of a store of value than a currency for day to day transactions. As the first cryptocurrency with global brand awareness, many view bitcoin as the “gold standard” of cryptocurrencies.
Time will tell, though, if bitcoin will eventually be used primarily as a store of value or as a currency for day to day transactions, which will require a significant modification in its code, known as a “hard-fork.” A hard-fork would create two currencies, the original bitcoin and the newer one allowing it to scale with increased global adoption. Currently, there is intense disagreement within the bitcoin community on the role of bitcoin and whether it should be forked in such a manner, with some believing a fork will sow confusion and dilute the power of the brand, and ultimately its value. Despite these concerns, the value of bitcoin has continued to rise, as use of the cryptocurrency continues to grow around the world.
However, as with all investments, due diligence is needed. Before making any investments, it is important to thoroughly research the investment and possibly discuss the matter with a licensed expert. The beauty of bitcoin, though, is that it is more than just a potential investment. Bitcoin promotes personal and financial liberty given its decentralized nature and independence from central banks, and thus those using bitcoin can play a role in fostering more freedom for consumers.