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As new investors continue to invest and the market cap grows, Bitcoins price could be stable.Lack of adoption by businesses. The cost volatility is a large reason that many businesses have yet to adopt Bitcoin as a form of payment. Increased consumer adoption and cost equilibrium will eventually mitigate this disadvantage.Another disadvantage is that while many people have heard of Bitcoin, few understand exactly what it is or how it functions.

The more we spread the word and expand the Bitcoin community, the better off our bitcoins will be.How to Purchase BitcoinAs mentioned above, in the early years of Bitcoin it was difficult to find a trustworthy place to Purchase the cryptocurrency.   With the increase in demand for Bitcoin, numerous new companies have sprouted to help ease easily purchasing Bitcoin.These days, many Bitcoin exchanges have obtained enormous investments from venture capitalists.

You can compare exchanges and view our in-depth reviews in our How to Buy Bitcoin Guide.   Weve also listed our best two recommended options below:Coinbase launched in 2012 with the hopes of giving users an easier way to Purchase Bitcoin.   Since its launch, the San Francisco based startup has become the most commonly recommended buying option for newbies.

While they launched more recently than many of the competitors, the New York-based cryptocurrency exchange has quickly built a Fantastic reputation in the crypto community.   You can learn more in our Gemini Review and Users Guide.Who invented BitcoinSatoshi Nakamoto is credited with designing Bitcoin. Nakamoto claims for a man living in Japan born on April 5th, 1975 however there are speculations that he is actually an individual programmer or group of developers with a penchant for computer science and cryptography scattered around the United States or Europe.Nakamoto is thought to have generated the first blockchain database and has been the first to fix the double spending problem other electronic currency failed to.

A value of 100 is peak popularity.Google Trends constructions the chart to represent a relative search interest to the highest points in the chart. A value of 100 is the peak popularity for the word Bitcoin and a value of 50 means it had been half as hot at that moment.

Its amazing the way the searches relating to Bitcoin have spiked in the past few years.When Bitcoin began circulating in 2009, its early adopters consisted of programmers and a niche bunch of technical people. Its popularity over the years indicates that many of the disadvantages of Bitcoin will probably dissipate as Bitcoin becomes standard.Unsurprisingly, Bitcoins price has grown with increased demand.

 

 

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By gaining a significant number of adopters and users, Bitcoin has attained a network effect that brings even more users. Users who would otherwise be more apprehensive investing in a comparatively unknown and unproven digital currency are reassured by Bitcoins performance as time passes, its growing community, and the fact that people they know are adopting cryptos.Bitcoins first mover advantage, popularity, and network impact have cemented it as the most popular cryptocurrency with the largest market cap.

 

 

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Bitcoin is able to attract users better than any other cryptocurrency becauseIt has the network effect. Bitcoins network validates its worth to newcomers and gives Bitcoin a viral growth rate.The high market cap is comforting. Bitcoins enormous market cap provides users a sense of safety and stability since its harder to manipulate and not as prone to extreme swings in price.

 

 

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Many Bitcoin users are holding onto their bitcoins in hopes of selling them off for an enormous profit one day. With news articles portraying Bitcoin millionaires as lucky children who got in early, you cant really blame them. For instance, if you'd spent your $5 latte money on 2,000 bitcoins one morning in 2010, then they would be worth roughly $5.4 million today.

While many people have flocked to cryptocurrencies purely in search of financial gain, there are a ton of people which are only curious. Some individuals are sticking around and trying to understand what cryptos are all about. While more consumers increase Bitcoins network effect, more people forming in-depth understandings of cryptos also strengthen the busy Bitcoin community.Final ThoughtsBitcoin is still a relatively young currency but it's attained substantial user adoption and expansion.

 

 

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Understanding Bitcoins potential is an essential first step to seeing the brilliant solutions being worked on in the cryptocurrency world.Bitcoin paints a future that is radically different from the fiat-based planet today. This is either exciting or unsettling for the vast majority. Equip yourself with why not try this out the best potential resources. Become active in communities which further explore not only the technical applications of Bitcoin and other cryptos but with their general potential to interrupt virtually every market.

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