Pros of Bitcoin
- Most valuable cryptocurrency
- One of the safest payment methods available
- Plenty of mining opportunities
Cons of Bitcoin
- The value of Bitcoin can be very volatile
History – The history of Bitcoin
Bitcoin was first started back in 2009 as the first decentralised cryptocurrency ever made. The man who started Bitcoin went by the name of Satoshi Nakamoto. Although whether this is his real name or not is a mystery. As his identity has never been confirmed by anyone. Nakamoto created Bitcoin to be fully autonomous and free from any government or financial authority’s control. A decentralised, peer-to-peer currency was the dream, a dream that he fulfilled.
The first block of Bitcoin known as the “Genesis block” was mined in 2009 and the rest is history as they say. The digital currency initially got off to a rocky start with few knowing what it was or what it entailed. Not many people were interested in buying something they knew nothing about but over time Bitcoin began to rise dramatically in value. The volatility of the cryptocurrency was apparent as it hit recorded substantial highs followed by the lowest of lows all within the space of a few months.
Bitcoin has now hit a point of relative stability having one big spike at the end of 2017 followed by a big drop off towards the end of 2018. Since then, the crypto has continued to steadily rise in value and is now something that many people covet.
Bitcoin is a truly remarkable currency and while there have been times where it has been wholly volatile it now appears to be steadily climbing to new record highs. Check out our review of Litecoin trading so you can put into perspective just how valuable Bitcoin is in relation to its other crypto competitors.
Development – How has Bitcoin developed?
Bitcoin has been through a number of changes over the years. It has seen its value dip and rise continually and it has seen a number of different crypto begin on the back of its Bitcoin core client. These cryptos were formed as a result of hard and soft forks from the original Bitcoin core client. Now we can find thousands of different cryptos competing in the market.
Satoshi Nakamoto laid out the blueprints for Bitcoin with a white paper that he published in 2009. Should you want to see what the thought process was behind launching Bitcoin and how it was going to proceed then check out this paper in more detail.
Since its inception in 2009 Bitcoin has gone through a number of different hard and soft forks. The most famous of these hardforks were Bitcoin XT, Bitcoin Classic, Bitcoin Unlimited, Segregated Witness and Bitcoin Cash. There were also a number of different soft forks as well that include names like DASH, Litecoin and many more. Honestly, there are numerous amounts of cryptos that spawned from a soft fork from Bitcoin, far too many for us to mention all of them. Take a look at our Bitcoin Cash trading review to see how this crypto fork compares to the original.
Statistics & Major Facts – Things to know before you trade Bitcoin
As it is with almost all cryptocurrencies, Bitcoin does in fact have a maximum supply cap. Right from the jump, it was known that Bitcoin would only have 21 million coins to mine in total. As it stands, over 18,5 millions coins have been mined leaving a little under 3 million coins left. The process of mining the rest of the available Bitcoins will still take some time as Bitcoin halving takes place roughly every 4 years or every 210,000 blocks in the chain.
As we know, Bitcoin is by some distance the most valuable cryptocurrency you can get your hands on. And while it has certainly seen its significant dips in value in the past it has continued to break its own records in recent years. At the moment you would need to fork out $47,000 to buy Bitcoin and that is for a single coin. A hefty amount of cash which is looking more and more likely to become even higher as the years go by.
We mentioned before that there have been 18,5 million Bitcoins mined. In order to mine successfully, miners need to verify Bitcoin transactions by solving a series of numeric puzzles to reach 1MB of data in total. In order to prove that they actually verified the transaction they need to provide proof of work. Essentially, this is to illustrate that you have put in the computational effort to solve the numeric puzzle that would verify the transaction successfully. This is done through the Secure Hash Algorithm 256 (SHA-256).
Security, Features, Use Cases – The uses of Bitcoin
One of the main reasons that Bitcoin is known to be one of the safest currencies to use in the world is down to the fact that it is fully decentralised. The Bitcoin network is able to make the payments so safe because the Bitcoin transactions are individually verified by crypto miners who are then rewarded for their auditing work with Bitcoin tokens. Giving miners an incentive also subsequently makes the payments more secure as they continue to verify every transaction that they can.
Should you be worried about any potential Bitcoin trading scams? Quite frankly no, the security of Bitcoin is truly exceptional and the only real way for you to be scammed is by your own lack of good judgement. What we mean by this is that you would only be duped by Bitcoin scams if you gave away your access key or revealed critical information about your account by replying to a less than legitimate email.
As Bitcoin continues to grow and more people look to join Bitcoin mining pools, the digital currency value keeps rising and the payment security continues to be strengthened. Check out our Binance Coin trading review to see how the security of this crypto matches up against that of Bitcoin.
How To Trade – Our guide to Bitcoin trading
As Bitcoin becomes more popular with each passing day, we have found that more trading platforms have added the cryptocurrency to their list of available markets. Whether you use a Bitcoin exchange or a standard broker it is much easier to buy Bitcoin on these trading platforms these days. At BitReviews Canada we analyse every one of the best Bitcoin trading sites new or old to assess how good these Bitcoin Trading platforms are. You can always visit our site to do some more in-depth reading on the best Bitcoin trading sites available to users in Canada.
At BitReviews Canada we have a very specific set of criteria that we use to put together our reviews of the best Bitcoin trading sites. We try to cover all the important facts and features of these platforms to give you a well-rounded and unbiased review of the quality of these brokers’ sites. Before you can get started with any Bitcoin trading, you should check out our crypto trading reviews and rankings list to help yourself in finding the best Bitcoin trading sites.
You will want to make sure that the best Bitcoin trading sites allow you to convert Canadian Dollars to Bitcoin on their platforms. It should not have to be a pain for you to buy Bitcoin with Canadian Dollars. Many brokers will allow you to buy crypto online but many of these brokers will also limit you in this regard. You may only be able to trade Bitcoin through buying CFDs which means you won’t actually own any Bitcoin on the platform. No matter what you are after you shouldn’t have any problems finding one of the best Bitcoin trading sites.
Some of the other important factors we consider with our Bitcoin trading reviews include things like licensing and security, customer service and the extent of a broker’s Bitcoin trading fees. Be sure to read our Bitcoin trading reviews to find one of the best Bitcoin trading sites that are safe to use, have reasonable trading fees and that also provide you with the best customer service. We will also let you know if these Bitcoin trading sites allow you to access a demo account before you sign up. Demo accounts can give you a good idea of whether or not that broker will be a good fit for you.
The thing about trading Bitcoin is that it is no different to other trading instruments. This means that you will need to put in a decent amount of effort to gauge what the market might do. As we have mentioned before, Bitcoin can be quite volatile at any given time; this might mean that you will see a significant dip in value or a big spike. Try to do as much research as you can to ascertain whether or not you should hold on to your position or sell. Check out our XRP Ripple trading review to compare the trading stability of Bitcoin with another cryptocurrency.
Future Outlook – What’s in store for Bitcoin?
Since its major spike at the end of 2017 and the subsequent drop off in value towards the end of 2018, Bitcoin has actually steadily begun to climb to new heights. Our one piece of advice is to be wary of any expert that claims to know exactly where Bitcoin will be in a few years time. This is not to say that previous analysts haven’t been correct at some point but the volatility of the cryptocurrency should not be underestimated.
There are differing views on what the state of Bitcoin will look like in the next couple of years. Some believe it will rise to an exorbitant value where others believe it will rise but not nearly as high as many think. You of course have your analysts who believe that it is merely a bubble waiting to be burst. Whichever viewpoint you choose to subscribe to, it is important that you always stay abreast of the market changes yourself and try to prepare for any significant variations to the value of the currency in the near future.
Reputation and Customer Feedback – Bitcoin reviews
The reputation of Bitcoin has continued to grow more and more positive as the years have gone on. This is largely down to the fact that the cryptocurrency is incredibly valuable but crypto purists will tell you it is because of the fact that it has stayed true to its roots. Bitcoin remains fully decentralised and is still the safest cryptocurrency to make payments with.
User reviews may vary but that will also be dependent on things like their own personal experience with losing their Bitcoin or their experience with lower quality Bitcoin trading platforms. In terms of being an actual payment method you will find that most Canadian users come away with a positive outlook on their experience using the cryptocurrency.
Overall Conclusion – A world-renowned cryptocurrency
And so we come to the end of our Bitcoin review. You should now have a firm grasp on where it all started and how we got to where it is today. We can thank Bitcoin for the multiple different cryptocurrencies that we can choose from today. The Bitcoin core client is responsible for most of these and it gives people more options, especially more affordable options for them to use different cryptocurrencies for their everyday transactions.
As far as Bitcoin is concerned, there are few currencies that can offer you that kind of anonymity and payment safety. It would appear that the cryptocurrency is continuing to win over the hearts and minds of more people every day. However, Bitcoin has skyrocketed in terms of its value so if you are looking to buy a more affordable cryptocurrency then we suggest taking a look at our Ethereum trading review.