The Safest "Cold" Wallet or Review of Bittrex Exchange

A day, which is believed to be a benchmark, is October 31, 2008. That was the exact moment when a person (or group of people) under a pseudonym Satoshi Nakamoto published an article "Bitcoin: A Peer-to-Peer Electronic Cash System". There was no need for intermediaries. Bitcoin network itself was launched in early January 2009, the first block was found on the same day, the reward was 50 BTC.

At that time, only geeks were interested in Bitcoin, there was no particular interest among investors, funds, and especially government. In September, 2009, BTC received his first rate, which was equal to $ 1 for a little bit more than a thousand coins. But in several months the situation changed, the new versions of the network were being released, the vulnerabilities and the problems were being solved, and the interest towards the innovation began.

In 2011, the first cryptocurrency exchange MtGox appeared, it became the center of the cryptocurrency industry at that time. It was 5-6 cents for one BTC. But in mid-2011 an incident happened, which is slowed down the development of the industry for a hacker attack. However, Bitcoin was unstoppable, since it was not just another financial bubble, but a fundamentally new money format, in which there was no place for monopolies and intermediaries.

Attention! Reading this paragraph may cause unrestrained urge to tear your clothes, hair, and possibly an attempt to bite your own elbow. We warned you, so we are not responsible for your emotional state. 🙂

Well, in reality, people who bought Bitcoin from 2010 to 2016, are now operating quite an impressive amount of currency. Let us calculate, what would you invested in BTC $ 1000 become in this time frame, as of the end of 2018. Let us start from 2017 and go into the past year by year:

• the beginning of 2017, it is now possible to buy 1 BTC), now $ 3 800, the increase is 380%;
• the beginning of 2016 (the rate is $ 430, it was possible to buy 2.32 BTC), now $ 8 816, the increase is 881%;
• the beginning of 2015 (the rate is $ 313, it was possible to buy 3.19 BTC), now $ 12 122, the increase is 1212%;
• the beginning of 2014 (the rate $ 771, it was possible to buy 1.29 BTC), now $ 4 902, the increase is 490%;
• the beginning of 2013 (the rate $ 14, it was possible to buy 71.42 BTC), now $ 271 396, the increase is 27 139%;
• the beginning of 2012 (the rate $ 6, it was possible to buy 166.66 BTC), now $ 633 308, the increase is 63 330%;
• the beginning of 2011 (the rate $ 0.05, it was possible to buy 20 000 BTC), now $ 76 000 000, the increase is 7 600 000%;
• the first established bitcoin rate (2009-2010) $ 1 – for 1 000 BTC, it was possible to buy 1 000 000 BTC, now this is $ 3 800 000 000, the increase is 380 000%. That is the number of coins possessed by the mysterious creator of Bitcoin – Satoshi Nakamoto.

We would like to remind you that the investment rate to the current rate of Bitcoin ($ 3 800), and not the December peak, when the price for one coin grew to $ 20,000.

Let us start in the major key and talk about those lucky ones.

• Eric Finman
  He is the youngest cryptocurrency millionaire in the world. 409 BTC, which is based on the current rate, is 1.8 million dollars. He bought Bitcoins, when he was only 12 years old. His grandmother gave him $ 1,000, which he had chosen to be a cryptocurrency investor. As the time has proved again, he made the right choice.
• Winklevoss brothers
  These are the brothers, who sued 65 million dollars from Mark Zuckerberg, for stealing their idea and creating Facebook without them. They took 11 million dollars and bought Bitcoins from the total amount of compensation. For one coin, the coin was being traded for $ 120. It means about 91 666 BTC, according to the current rate it is 414 million dollars.
• Chris Larsen
  He is officially the richest man from the world, who has made his fortune from cryptocurrency. He is a creator of the Ripple coin, which is now taking the 3rd place in the global Coinmarketcap ranking. Now Chris's fortune is estimated at about 8 billion dollars.

There are a lot of people who are making a fortune out of cryptocurrency. Therefore, let us move to those poor souls.

• James Howells
  Bitcoin back in 2009 and treated like a game, no one could even dream about this future of BTC. And disassembled his old laptop. He stopped doing this after a couple of years (7500 Bitcoins on his wallet). In 2013, he was cleaning his house and he threw away the hard drive, on which the Bitcoin wallet was. Literally, a few months later, when the coin reached $ 1,000, James remembered, that he threw away 7.5 million dollars. At present rate, his hard drive would cost 33.9 million dollars. It is really hard to imagine, what Howells suffered and is still suffering now.
• Bitcoin pizza
  On May 22, 2010, two most expensive pizza in the history were sold. At that time, the cost of Bitcoin was nominal, and the first miners simply did not know what to do with their "funny money". And here, one user under the nickname "Laszlo" wrote on one of the Bitcoin forums that he would pay 10,000 coins to those who would deliver him 2 pizzas. Laszlo did not overpay for his fatal lunch, but later in August, two pizzas cost him $ 600. As of today, Laszlo bought two pizzas for 45 million dollars. Every year, May 22, is "celebrated" as Bitcoin pizza day.
• Anonymous from Australia
  He person told his sad story. He started mining in 2009 and mined, as he says, with thousands of coins. After the complexity of the network had grown, he stopped doing this and transferred his wallet to USB-drive. He thought, that if coins were offline, nothing could happen to them.
  When, in the end of 2013, the Bitcoin rate reached $ 1,000, he flashed drive off.

Bitcoins, above all the loss of Bitcoins, leads to the next very important paragraph.

You may purchase bitcoins today in many ways:

• on exchanges;
• via online exchangers;
• via offline exchangers (work only in large cities for now);
• mining (not exactly buying).

You can store cryptocurrency:

• on exchanges (the most convenient, but not the safest option);
• on hot wallets;
• on cold (hardware) wallets (the safest, suitable for long-time storage, does not imply daily use of assets).

Looking at the chart of capitalization of the cryptocurrency market, you can see, it consists of ups and downs with a safety increase in a long-term perspective.

Source: CoinMarketCap

Investors will be better able to sell long-term and short-term (speculative) investors.

Long-term investors

Ideally – never. As it can be seen, the upward trend in the cryptocurrency market remains since his emergence. But it took a new horizons.

The main piece of advice that will help the long-term investors There is no need to sell all of your Bitcoins after the statement of some expert that the cryptocurrencies are expected to result in dot-com crash. such forecasts about cryptocurrency are made by incompetent people or are part of market manipulations. The information posted by mass-media should be strictly verified. It is also necessary to keep track of small savings in the earliest stages.

But still there are some cases when a coin should be sold:

• ordinary scam;
• not following the Road Map by team, which in the future may cause the collapse of the coin.

Short-time investors (traders)

For those who want to run their own capital, it is trading ideal for multiplying investments. Here you are an opportunity. Sometimes it is better to bear than a loss faster than a waiting for income. It depends on the chosen strategy.

Today, there is a sufficient number of goods and services in the world, which can be purchased for digital coins. The most important factor here is the government. For example, in Europe, Germany, the Czech Republic, Spain, Austria, Belgium, Holland are the most developed in this regards. Slightly fewer places, where you can pay with Bitcoins, can be found in Bulgaria, England, Poland, Romania. Literally, there are several places in France and in Ukraine.

In the Russian Federation cryptocurrency is not allowed, but in private you can find a sufficient number of offers to exchange goods or services for digital assets.

In the United States, it is also officially allowed to buy goods for Bitcoins in certain states: New York, Florida, California, Washington, and unofficially similar to all the country.

Cryptocurrency became quite widespread in Japan. A well developed trade for crypto is in Thailand, Malaysia, Indonesia, South Korea.

What exactly can be purchased for Bitcoin?

• Real estate. Leading developer in the UAE, Knox Group, provides the opportunity to purchase luxury housing for Bitcoins. In New York, Manhattan, you can buy a VIP-class apartment for Bitcoin from the Magnum Real Estate developer. Such proposals are found everywhere, in almost all major cities on our planet.
• Cars. Cars that you can buy using a cryptocurrency are a premium class models. The biggest deals to the most technological sedan – Tesla Model S. And the country, in which there is the largest number of car dealerships and where you can pay with BTC, is the Czech Republic.
• Travels. Airlines are willing to accept payment in digital coins since 2014. Air Lituanica has even canceled commission if you pay with BTC.
• Education. The first was one of the universities in Cyprus. Now you can pay for your education in many major universities around the world (King College, USA, University of Cumbria, UK, etc.).
• Electronics and software. In this area, payment with cryptocurrency is common as nowhere else.
• Other goods and services. Enormous amount of private advertisements which is presented around the world in completely different industries. As it can be seen, the number of places where you can pay with Bitcoin is increasing every year.

If you take a look at the BTC chart in 2018, you can certainly see an impressive correction and throwback from the peak value of 60-70%. There is no general answer to the question: "When is it better to buy Bitcoin?", As we might need to be able to predict the future to tell. For the reasons for increase or decrease.

• Fact # 1 – the blockchain technology is very perspective, as it solves a number of problems (transparency, decentralization, security, etc).
• Fact # 2 – the number of new crypto startups in 2018 has increased in a number of times in comparison with previous years, it means that if 1% of them succeeds, this will give the industry a new booster.
• Fact # 3 – in the long-term perspective, all investors are still in a huge plus.
• Fact # 4 – in 2018, cryptocurrencies were discussed for the first time at the G20 and all participants have found that it is pointless to forbid them, they need to be regulated and maintained.
• Fact # 5 – the potential for growth is still enormous, since the total capitalization of the cryptocurrency is about $ 130 billion, while the monetary assets of humanity are estimated at $ 90 trillion.

The cryptocurrency market is developing in a very storming peace; it has already been generated by a large number of new millionaires. Of course, in order to buy coffee or bread in any shop with cryptocurrency, there is still much more to be done.

Having analyzed tons of information, we answer the main question, which concerns the relevance of investment in cryptocurrency. We believe that cryptocurrency is a very promising area for investment. But it should be done with cold mind and without counting on early enrichment. You should definitely diversify your portfolio, periodically, copy the data of your wallets on high-quality hard drives (preferably several), learn how to filter the information and not to fall into market manipulations. In this case, the chances of succeeding in this field are much greater.

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