Bitcoin, the pioneer of cryptocurrency system, has evoked a massive trend that dramatically changes the way people trade currencies to earn profit. Despite being a riskier form of investment, Bitcoin investment becomes one of the most acclaimed investments especially due to the massive growth of its value. Not long ago, Bitcoin was only worth a thousand of dollars. After few years, Bitcoin price today has risen so considerably that people need to prepare hundreds of thousands of dollars to buy it.
There are basically two ways people invest in Bitcoin: buying and mining. In a nutshell, buying Bitcoin means investors buy Bitcoin and hold it until its value is worthy enough for selling whereas mining means investors invest in hardware that they use to verify transactions on the Blockchain, to release new Bitcoins into circulation, and ultimately to get paid from Block reward. If you are new in Bitcoin and confused about which route you should take, here we will show you the advantages of buying and mining Bitcoin so that you can finally decide which option is suitable for you and gives you more profit.
The Advantages of Buying Bitcoin
- Buying is simple. You buy Bitcoin, hold it, and sell it when the price is right.
- Selling is also simple. You simply sell Bitcoin just like you sell other salable goods. You can trade through online exchanges, using common marketplaces like Amazon and eBay, or directly to a buyer using money transfer or hard cash.
- Buying is no-brainer. You only need to get a Bitcoin wallet, which is easy, and to start investing in it. There is no complicated technicalities involved.
The Advantages of Mining Bitcoin
- Bitcoin mining is challenging, you get a sense of real working if you mine Bitcoins. If you love getting rewarded for doing challenge, you will enjoy mining Bitcoin.
- Bitcoin mining can be planned rather easily. With Bitcoin mining calculator, you can estimate your profit by taking such factors as miner’s price, electricity cost and difficulty into account.
- By mining Bitcoin, you know exactly the flow of the currency units. Because your primary task is to verify transactions, you know where Bitcoins go.
- The profit is generally higher than buying Bitcoin, though it can sometimes be lower, but the most important thing is that both losses and profits are more predictable.
In brief, if you are new in Bitcoin, buying is the most feasible option for you. If you want to involve yourself more in monitoring and manipulating the growth of this cryptocurrency, and to be rewarded for that, you should be a miner.