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What are store-of-value cryptocurrencies? #shorts



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If you bought 100$ of Bitcoin in 2010, you would have 5 million dollars today. That is the best store of value in the history of mankind. But would that be true of Bitcoin if we purchase it today?

The answer is yes. Because Bitcoin is a store-of-value cryptocurrency. Store-of-value cryptos are designed to hold or even increase your purchasing power over time. Let’s say you invested 100 dollars in a bank with a return of 3-4 percent every year. However, if in a particular year, inflation rose by 5%, the amount of your money would have increased but not the value of your money or what we call purchasing power. Despite a 3-4% increase, your money can buy less goods and services today.

The best long-term investments are in assets that store the value of your investment or even increase them over time. Unlike fiat currencies like the US Dollar, Bitcoin is extremely limited in supply, fully decentralized and secure which makes it a fantastic store-of-value asset for investors, and this will continue to be the case in the future.

So if you would like to invest in BTC for the long term, now is a good time to buy it for cheap! Although don’t expect to make 5 million on a $100 investment, because we are past that phase now.
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Cryptocurrencies
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