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As new investors continue to invest and the market cap develops, Bitcoins cost could become more stable.Lack of adoption by businesses. The cost volatility is a large reason that many businesses have yet to adopt Bitcoin as a type of payment. Increased consumer adoption and price 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 we spread the word and expand the Bitcoin community, the better off our bitcoins will be.How to Purchase BitcoinAs mentioned above, in the first years of Bitcoin it was difficult to find a reliable 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 enormous 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 top 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 has become the most commonly recommended buying option for newbies.

While they launched more recently than many of their opponents, the New York-based cryptocurrency exchange has rapidly 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 claims to be a man living in Japan born on April 5th, 1975 however there are speculations that he's actually an individual programmer or group of programmers with a penchant for computer science and cryptography scattered around the United States or even Europe.Nakamoto is believed to have generated the very 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 graph to represent a comparative search interest to the highest points in the graph. web A value of 100 is the summit popularity for the term Bitcoin and a value of 50 means it had been half as hot at that time.

Its amazing the way 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 prevalence over time indicates that many of the disadvantages of Bitcoin will likely dissipate as Bitcoin becomes more standard.Unsurprisingly, Bitcoins cost has grown with increased demand.

 

 

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

 

 

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Bitcoin is able to attract users better than any other cryptocurrency becauseIt has the network effect. Bitcoins network supports its value to newcomers and provides Bitcoin a viral growth rate.The high market cap is comforting. Bitcoins enormous market cap provides users a sense of safety and stability since its harder to manipulate and not as prone to extreme swings in cost.

 

 

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

When many people have flocked to cryptocurrencies only in search of financial gain, there are a ton of people which are simply curious. Some individuals are sticking around and trying to understand what cryptos are about. Even though more users increase Bitcoins network impact, more people forming in-depth understandings of cryptos also strengthen the active Bitcoin community.Final ThoughtsBitcoin remains a relatively young currency but it's achieved substantial user adoption and expansion.

 

 

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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 planet today. This is either exciting or unsettling for the huge majority. Equip yourself with the best possible resources. Become active in communities which further explore not only the technical applications of Bitcoin and other cryptos but using their overall potential to interrupt virtually every economy.

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