Decoding what Bitcoin is, a look at its history, how to buy Bitcoin, and its rising popularity in 2021.
Who would’ve thought that a digital currency incepted in 2008 will hold a market capitalization higher than Tesla and Facebook in 2021? Bitcoin, invented by an unknown person or entity under the name of Satoshi Nakamoto, has a market cap of nearly $950 billion in 2021. It is currently compared to digital gold and is growing in popularity as an investment vehicle. In 2021, Bitcoin is a leading financial instrument that draws attention from institutional investors, hedge fund managers, university endowment funds, retail investors and driving mainstream adoption.
What is Bitcoin, and why is it gaining rapid attention? In this introduction to Bitcoin article, we look at the journey of Bitcoin in a decade and how to buy Bitcoin.
What is Bitcoin?
Before Bitcoin, there have been many attempts at digital currencies. However, most of these attempts largely failed due to the lack of proper infrastructure. Bitcoin is the first digital currency to have succeeded at such a grand scale. The cryptocurrency combines the principles of blockchain technology and cryptography to ensure a secure infrastructure for the transfer of coins.
Bitcoin is a cryptocurrency that facilitates the peer-to-peer transfer of coins without any intermediaries to process or monitor. Its inherent infrastructure ensures that Bitcoins, once used, cannot be accessed again. Moreover, it is decentralized - there are no central institutions like banks that approve the transactions. Instead, the Bitcoin network is an open-source network that is accessible to anyone.
Bitcoin: From 2008 to 2021
Bitcoin is the first cryptocurrency in the market. Today, the crypto market consists of more than 8000 digital currencies, and the overall market capitalization has surpassed $1.5 trillion in 2021. Bitcoin is represented by its symbol BTC. The price of 1 BTC has exponentially increased from $0.08 in 2008 to $50,000 in 2021. The rise in its growth trajectory has made it the best performing asset of the decade.
A satoshi is the smallest unit of Bitcoin currency. One satoshi is equal to 0.00000001 BTC. The total number supply of Bitcoin is limited to 21 million. Its limited supply is one of the reasons for its comparison as digital gold.
In recent years, Bitcoin has garnered attention from institutions like Square, led by Twitter CEO Jack Dorsey, and Tesla, led by Elon Musk. Institutions and hedge fund managers are investing millions of dollars in Bitcoin, and investors are now including BTC in their trading portfolios. Moreover, this cryptocurrency is also gathering mainstream adoption with the rise in blockchain wallets, retail investors, and increasing transaction activity on its network.
In 2020 alone, the value of Bitcoin grew by more than 300%, while in a span of two months in 2021, the value of Bitcoin increased from $30,000 to $50,000. Moreover, several developments suggest how Bitcoin is gradually moving to normalization. From Industry leaders’ arguments of Bitcoin crossing $100,000 by the end of 2021 to even football players and companies considering to offer salaries in Bitcoin - it is leading mainstream adoption in 2021.
Rising Popularity of Bitcoin
Bitcoin is leading as one of the most searched queries on Google. Retail investors are drawing their attention towards trading in this crypto and leveraging the gains. The number of active addresses holding atleast 0.01 BTC increased to more than 700,000 in 2020, with the number of active addresses surpassing the mark of 1 million.
Statistics and analysis reveal that Bitcoin is gaining popularity in developed nations and even in developing countries like India, Malaysia, Thailand, the Philippines, and more. For instance, in India, the volume of cryptocurrency trading increased exponentially with $60-65 million worth of Bitcoin trades happening in the Indian regions. A survey reveals that the second and third highest rates of cryptocurrency use in the survey were recorded in Vietnam and the Philippines, respectively, even surpassing countries like the U.S, Switzerland, and China.
Additionally, this suggests that the demand for Bitcoin is rapidly rising in countries like India, Vietnam, and the Philippines. Countries like Singapore are adopting crypto-friendly laws to facilitate the mainstream adoption of Bitcoin and cryptocurrencies. Let’s explore how to buy Bitcoin in these regions in 2021.
How to Buy Bitcoin in 2021
XanPool offers an optimized way to buy Bitcoin from seven countries simply by clicking a few steps. It facilitates a near-instant and intuitive process to buy and sell cryptocurrencies, including Bitcoin, with local payment methods.
Let’s take a step-by-step procedure on how to buy Bitcoin from different countries using XanPool.
Step 1: Signup on XanPool
Click on the ‘Sign up’ tab available on the homepage of XanPool. The process is simple and easy. You need to mention your name, email address and create a password. After you submit, you have to verify your details by clicking on the link received through the mail. Alternatively, XanPool offers the option to sign up using your Facebook account.
Step 2: Buy Bitcoin on XanPool
You can buy BTC from several different countries through XanPool. From the dashboard, select the country that you want to buy your BTC from. Currently, XanPool offers its services in Singapore, the Philippines, India, Indonesia, Japan, Hong Kong, Malaysia, Thailand, and Vietnam. Select the local payment method that you wish to use for buying BTC. Click on Xchange.
Step 3: Enter your wallet address
Verify all your details and enter your wallet address where you want to transfer your Bitcoins. Alternatively, you can also transfer to the OKEx cryptocurrency exchange platform. After you make the transaction, XanPool takes less than five minutes to process and transfer BTC into your account.
To ensure an optimized experience, XanPool offers several features and easy functionality to exchange Bitcoin to fiat currency and vice versa.