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As new investors continue to invest and the market cap grows, Bitcoins cost could become more stable.Lack of adoption by businesses. The price volatility is a huge reason that many businesses have yet to adopt Bitcoin as a form of payment. Increased consumer adoption and cost equilibrium will eventually mitigate this disadvantage.Another disadvantage is that while many people know of Bitcoin, few understand exactly what it is or how it functions.

The more people spread the word and expand the Bitcoin community, the better off our bitcoins will be.How to Buy BitcoinAs mentioned above, in the first years of Bitcoin it was difficult to find a trustworthy place to buy the cryptocurrency.   With the increase in demand for Bitcoin, numerous new companies have sprouted to help facilitate readily purchasing Bitcoin.These days, many Bitcoin exchanges have received huge investments from venture capitalists.

You can compare exchanges and see our in-depth reviews in our How to Buy Bitcoin Guide.   Weve also recorded our best two recommended options below:Coinbase launched in 2012 with the hopes of giving users an easier way to buy Bitcoin.   Since its launch, the San Francisco based startup is now the most commonly recommended buying option for newbies.

While they launched more recently than many of their competitors, the New York-based cryptocurrency exchange has quickly built a Fantastic reputation in the crypto community.   You can learn more in our Gemini Review and Users Guide.Who invented BitcoinSatoshi Nakamoto is credited with designing Bitcoin. Nakamoto asserts for a man living in Japan born on April 5th, 1975 but there are speculations that he's actually either an individual programmer or group of developers with a penchant for computer science and cryptography scattered around the United States or Europe.Nakamoto is thought to have created the first blockchain database and has been the first to fix the double spending problem other electronic currency failed to.

A value of 100 is summit popularity.Google Trends structures the chart to represent a relative search interest to the greatest points in the chart. A value of 100 is the peak popularity for its term Bitcoin and a value of 50 means that it was half as popular at that time.

Its amazing how the searches relating to Bitcoin have spiked in the past few years.When Bitcoin began circulating in 2009, its early adopters consisted of programmers and a niche crowd of technical men and women. Its popularity over the years indicates that many of the disadvantages of Bitcoin will probably dissipate as Bitcoin becomes more standard.Unsurprisingly, Bitcoins price has grown with increased demand.

 

 

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By gaining a significant number of adopters and consumers, Bitcoin has achieved a network effect that brings even more users. Users who would otherwise be apprehensive investing in a comparatively unknown and unproven digital currency have been reassured by Bitcoins performance over time, its growing community, and the simple fact that people they know are adopting cryptos.Bitcoins first mover advantage, popularity, and network effect have cemented it as the most popular cryptocurrency together with the greatest market cap.

 

 

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Bitcoin is able to attract users greater than any other cryptocurrency becauseIt has the network effect. Bitcoins network validates its worth to newcomers and gives Bitcoin a viral growth rate.The high market cap is comforting. Bitcoins enormous market cap provides users a sense of security and stability since its site web harder to manipulate and less prone to extreme swings in price.

 

 

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Many Bitcoin users are holding onto their bitcoins in hopes of selling them off to get an enormous profit one day. With news articles portraying Bitcoin millionaires as blessed children who got in early, you cant really blame them. For instance, if you had spent your $5 latte money on 2,000 bitcoins one morning in 2010, then they would be worth about $5.4 million today.

While many individuals have flocked into cryptocurrencies only in search of financial gain, there are a ton of people which are only curious. Some individuals are sticking around and trying to understand what cryptos are all about. While more users increase Bitcoins network effect, more people forming in-depth understandings of cryptos also strengthen the busy Bitcoin community.Final ThoughtsBitcoin remains a comparatively young currency but it has achieved substantial user adoption and growth.

 

 

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Understanding Bitcoins potential is an essential first step to seeing the brilliant solutions being worked on in the cryptocurrency world.Bitcoin paints a future that's drastically different from the fiat-based world now. This is either exciting or unsettling for the vast majority. Equip yourself with the best potential resources. Become active in communities which further research not only the technical applications of Bitcoin and other cryptos but using their read this post here overall potential to interrupt virtually every economy.

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