There are two ways to look at Bitcoin in my opinion. First, is solely as a proof of technology. A real-life example that blockchain is not only feasible and safe but also the most effective way to decentralize data. If you view Bitcoin this way, it has indisputably been a huge success. In fact, we probably could have stopped caring about this “real-life example” about 4 years ago, since it had already proven it’s worth.
The second way to view Bitcoin, however, is an investment vehicle. And this view is much more interesting to me because there are literally people retiring early from unexpected Bitcoin investment gains.
It’s no secret that Bitcoin among other cryptocurrencies has gained an incredible support base over the last few years. Adoption of Bitcoin as an alternative (likely superior) form of transacting is increasing at a pace that few would have expected when Satoshi publicized the Bitcoin Whitepaper in late 2008.
In my eyes, Bitcoin derives its value from the likelihood that it will take over part or all of our current fiat systems. Therefore, in simple terms, as more and more people create Coinbase accounts to buy/sell/transact in Bitcoin, the price should continue to rise.
This brings me to the meaning of the title.
Just one year ago, the word “Bitcoin” was foreign to the majority of millennials and the vast vast vast majority of our parents. Now, “Bitcoin” has at least touched the ears of most people, young and old, yet not too many can explain Bitcoin past saying decentralized currency. Herein lies the incredible short-term (6-12 months) potential for gain.
You don’t have to contemplate the probability of Bitcoin taking over the banking systems, or international trade, or any country’s currency for that matter. You just need to know that as more people invest in Bitcoin, more people will also be learning about Bitcoin. And as more people learn about Bitcoin, more people will tell their friends, teachers, students, and relatives about Bitcoin. And…. you see where I am going with this.
Related Article: This is the official crowdsourced Bitcoin Projection Poll
My generation is at the lowest income level of their careers. All we have is a little bit of saved up money to invest in Bitcoin. Just imagine what will happen when our parents’ generation finally decides it’s worth their time to read the Bitcoin Whitepaper and watch a few blockchain videos. They have 401k’s and no more kids to support or put through college.