Can I Get Rich Or Achieve Life Changing Income By Investing In Crypto 1280x800

Can I get Rich or Achieve Life-Changing Income by Investing in Crypto?

The monumental gains by crypto assets over the years have become an irresistibly strong allure for investors worldwide. For instance, in just the past year, bitcoin’s value has increased by 372%. Its alternatives like Ethereum and Dogecoin have grown by 1,500% and 19,000%, respectively.

In retrospect, a $1,000 investment in bitcoin a decade ago would be worth $15 million today. Very few investment vehicles could grow your wealth as phenomenally. So the answer to the question ‘Can I get Rich or achieve Life-Changing Income by investing in Crypto.’ would be a resounding, Yes. However, it is not that simple, and this article will get into the details of it.

How Crypto will Change the World

You need to understand that the growth of crytoassets value is squarely pegged on its acceptability by the masses. The more people accept it, the higher its value in the market, and the richer the owners of cryptoassets. That begs the question, what would make crytoassets more acceptable? Well, below, we have listed some of the top reasons.

1. The Strength of Cryptocurrency over Fiat Currency

Fiat currency is money created by the central government of a given country. That gives the government absolute control over the currency. Thus, fiat currency is exposed to risks of human manipulation and corruption. Woe unto you if you are living in a country with a corrupt government.

On the other hand, cryptocurrencies are operating off a decentralized ledger. Its value is determined by what a seller and buyer in the peer-to-peer network are willing to trade for it. It is based purely on the economic laws of demand and supply.

2. Little-to-No Transaction Fees

Have you ever looked at your bank statement and got shocked at just how high are the transactional fees? Some banks even charge you a fee for receiving payment into your account. Sometimes even charging a monthly fee for holding an account.

With cryptocurrencies, you don’t hold an account with a centralized entity. Instead, your account is in a verifiable public ledger. Thus, you automatically steer away from such unnecessary fees. Also, whenever you make a transaction, the fees charged are so low – if at all – compared to what the typical bank charges.

3. Easy and Clearer Transactions

A traditional business transaction may involve using a broker, a legal representative, and a lot of paperwork. The net effect is you end up paying a lot of fees to facilitate the transaction. There is no need for brokers and lawyers with cryptocurrency because everything on the blockchain framework is verifiable in the first instance.

4. Readily Available

Conventional financial services have excluded a lot of the world’s population; much of that can be attributed to the design of the service. The service requires specific support systems to operate — systems like government regulations, opening physical banks, and installing physical securities in banking halls and ATMs.

On the other hand, cryptocurrencies are readily available to anyone from whichever part of the world. Provided they have access to internet-enabled devices. The blockchain platform is also not governed by a single centralized entity; thus, its deployment to any world region is instant.

5. Strong Security

Crypto transactions are highly encrypted, and a successful transaction cannot be reversed. This feature makes it more secure than transactions done over conventional banking systems. Blockchain transactions use top-tier encryptions, with only the bonafide users having the keys. It would be harder for hackers to infiltrate and tamper with the transactions than the encryption system used in a typical digital bank transaction.

6. Ultimate Ownership

Your continued use of a banking system is subject to terms and conditions laid out by the government of the given country and the bank itself. Failure to abide by these regulations, you run the risk of your account(s) being frozen. Your ownership, control, and right to privacy of that account are not wholesome or guaranteed. In contrast, a crypto-wallet (account) gives only the bonafide owner of the account full access, control, and privacy.

How Cryptocurrency Can Make You Rich

For the reasons given above, we can confidently say that cryptocurrencies are filling up gaps in the current fiat-currency-based financial systems. For that reason, experts believe more and more people will come on board the cryptocurrency system. However, for them to transact in crypto, they first need to own the cryptos. So how does one possess a cryptocurrency?

1. Crypto-Mining

Cryptocurrencies are generated through an elaborate mining process. When a successful mining occurs, new crypto is injected into the circulation. This mining process also performs another critical function of confirming new transactions in the network—a crucial aspect of maintaining blockchain ledger integrity.

However, this mode of earning cryptos is not for everyone. Since it requires massive investment in obtaining and maintaining the top-tier computing hardware used to compute the very complex mathematical problems. This route of earning cryptocurrencies is limited to a very few with profound financial muscles.

2. Crypto Exchanges

A popular way of earning cryptocurrencies is by buying them from someone looking to sell them. That happens in crypto exchange marketplaces, an online platform where buyers and sellers of the cryptoassets find each other. The laws of demand and supply set the value of the cryptocurrency at any given time.

These platforms are also critical for speculative investors and form the basis of the answer to the central question in this article. Savvy investors buy cryptoassets when their prices are low and sell them at their peak prices of a given season. This route is the surest way to becoming a millionaire through cryptocurrency. However, it demands a careful and consistent study of market trends.

3. Accepting Cryptocurrency Payment

You can also accept cryptocurrency as payment for the goods or services you are producing. Already, some big multinational companies have begun accepting bitcoin as payment. With the growing confidence in cryptos, more individuals and businesses will be accepting it as a mode of payment in place of fiat currency. The more goods and services you sell, the richer you grow in cryptoassets. The million-crypto question remains: What do you sell that is so attractive to bring you many customers consistently.

People who became Rich riding on Cryptos

Earlier, we mentioned a $1,000 investment in cryptos ten years ago would be $15 million today. These might just sound like some math extrapolation and inflation adjustments. Except there are real people who have made a fortune through timely investment in cryptos. A few examples are as follow:

  • Erik Finman: At the age of 12, he made a $1,000 investment in bitcoin in 2011. Today, his 431 bitcoins have a market value of a little over $26 million.
  • Glauber Contessoto: He made a bold move to put all his savings into a cryptocurrency – dogecoin – that started as a joke but is now worth billions. His savings on dogecoin are now worth $1 million after the crypto surged by 400%.
  • Tyler and Cameron Winklevoss: A pair of twin brothers and previous Olympic rowers who got a $65 million lawsuit settlement against Facebook, invested that cash, and now boast of a portfolio worth $3 billion each. The duo started buying bitcoin in 2012, launched their own crypto exchange Gemini, and purchased the digital art auction platform Nifty Gateway.
  • Michael Saylor: CEO of the IT firm MicroStrategy, Saylor was one of the early investors in bitcoin before its major boom. His investment is now worth $2.3 billion.
  • Tim Draper: As a renowned Venture Capitalist in the Silicon Valley space, in 2014, Draper bought $18.7 million worth of bitcoin from the U.S. Marshals. Following the agency’s shutdown and subsequent confiscation of the now-defunct Silk Road black market. Today, Draper’s investment is worth $1.5 billion.

Conclusion

Yes, indeed, you can become wealthy by investing in cryptocurrencies. However, one must be watchful of the market trends. Like any other investment, you want to buy low and sell high. Taking precautions not to be swung by momentary market trends; could lead to you missing out on a more suitable chance coming a few hours, days, or weeks.