Financial literacy is not an education you can get in most schools, yet it is some of the most important information you can learn. Increasing your financial education can put you on the right track to meet your financial goals.
Brown Investors wants to help bridge that gap for you and increase your financial education. For example, cryptocurrency is one of the least understood investment methods, but investing in it could be the key to your investment success.
What Exactly is Bitcoin?
Think of Bitcoin as digital currency. There is no physical money associated with it, and exists online only as a way to securely make payments and investments. The value of Bitcoin does change, making it a volatile investment strategy, but one that could payoff if you are patient. Like the stock market, investing in Bitcoin is something you should do over a period of time, and not pull out all your money solely because you see a spike or dip in pricing.
Making use of peer to peer technologies, Bitcoin has become the easiest, safest, and quickest way to make payments online.
Pay Online Securely with Bitcoin
You can now use Bitcoin on such platforms like PayPal, Square, and Cash App. If you have been victimized by a hack and had to replace your credit or debit cards, you might be on a mission to find a more secure online payment method — Bitcoin is an option. While you can easily make payments with this type of currency, it also keeps your personal information anonymous and protected, meaning hackers cannot get your credit card and banking information, saving you headaches down the road.
Bitcoin Could Surge if Dollar is Devalued
From an investment point of view, keep an eye on Bitcoin. As inflation increases, the value of the dollar decreases, but the value of Bitcoin is only going up. With Morgan Stanley predicting a 10% drop in the dollar within the next year, Bitcoin is likely to hold its value or see an increase. There has never been a better time to get in on Bitcoin, as the value of your investment stands to soar in the coming months and years.
The world is becoming more and more accepting of Bitcoin as a payment method, so this is a good time to not only learn about Bitcoin, but cryptocurrency in general.
Other Cryptocurrency
Oftentimes, you will see the term "Bitcoin" used instead of the word "cryptocurrency" kind of like we sometimes say "Kleenex" when we should say "tissue." While Bitcoin is the most popular cryptocurrency, there is another that you should be aware of as well. Ethereum has gained in popularity in recent years.
Ethereum is the second most popular cryptocurrency behind Bitcoin, and another great currency. The biggest difference is that Ethereum uses its own programming language and Bitcoin does not. Like Bitcoin, it is used as a digital currency, make payments, and store value.
When you invest in stocks, you typically diversity your portfolio, thus you should carry the same mindset, if you choose to invest in cryptocurrency.
What's Next?
For more information about Bitcoin and cryptocurrency, continue to follow Brown Investors on our social media platforms — Instagram and Facebook. We regularly share links and pointers to help increase your financial literacy, so you can make educated investment decisions.
For those of you who like to read, check out this
white paper by Satoshi Nakamoto, as it too can help you gain a better understanding of Bitcoin. Reach out and
contact us
today as our team is standing by ready to answer any questions you have about cryptocurrency!