When the central banks in Cyprus froze bank Accounts and limited the quantity of money that could be removed from bank account it generated a enormous uproar that has been felt across the globe. If customers did not have access to money how could they purchase and sell what exactly needed to carry on in our modern world? The truth is they cannot so consumers around the globe started to look for safer options to fiat money. Fiat currency is money which does not have any tangible value aside from what the government assigns to it.
Consumers Are Searching for a way to store Their buying power to protect themselves from getting bank accounts frozen for extended intervals. A lot of people began trading in Bitcoins. This really is a crypto-currency so it cannot be easily counterfeited but before anyone starts buying into this new money it would be prudent to comprehend the dangers. To be continued CryptoMojo.com
Bitcoins are not issued by any of the central banks or government so there is no liability whatsoever. If you’re dealing with Dollars,Euros or Pounds you’ve got the assurance that the authorities behind it is going to honor the debt while Bitcoins do not offer any guarantees whatsoever. The fact that nobody really knows who produced this currency so there’s no way of knowing whether it could be stolen right from under our eyes.
All these Bitcoins are saved inside a digital Wallet that may be encrypted on your PC. Even though this should offer a feeling of security if your computer is lost your Bitcoins are gone as well. It isn’t even like a credit card where you can get a substitute and continue like nothing has ever occurred.
While the safety of the money is a Concern by far the greatest worry is the value of it. Bitcoin can change in a minute and also unlike fiat currencies that are backed by Hard assets possessed by a nation if a Bitcoin worth drops you’ve got nothing of Value whatsoever.