Beginners' Guide: A Way to Buy Bitcoin and Other Cryptocurrencies in Singapore

by Elijah Levi Freelance writer and professional blogger who spec
If you haven't lived under a rock, there's a high probability that you just might have heard of a touch cryptocurrency called Bitcoin (usually abbreviated BTC).

Especially after filing with the U.S. Securities and Exchange Commission (SEC), it was revealed that Tesla bought bitcoin worth $1.5 billion, and announced that it plans to start accepting bitcoins as a kind of payment for its products in the near future.

Not to mention that Singapore's largest bank DBS (SGX: D05) has announced that it will find a digital exchange that will allow investors to trade cryptocurrencies.

You may also have been following the volatile movements in virtual currency prices and done your extensive due diligence.

Now you can invest in some Bitcoin investment Singapore forum or other cryptocurrencies that you just might have researched.

But you might be wondering: where to start?

As usual, we caught you!

While the whole investment process may seem touch-sensitive for those that are new Bitcoin and other cryptocurrencies, the whole process really isn't too complicated if you break it up.

So here's our guide to buying Bitcoin and other cryptocurrencies in Singapore!

But there may be a short primer about Bitcoin and why it's cost.

Why do Bitcoin and other cryptocurrencies have value?

Simply put, the value of Bitcoin stems from its acceptance as a store of useful and payment systems.

In addition, the value of Bitcoin stems from its final offer, as there can only be 21 million bitcoins that will be mined in total. Once these bitcoins are mined, the availability of bitcoin will not increase.

At the time of writing, about 18.58 million bitcoins were mined, which indicates that about 2.42 million bitcoins have yet to be put into circulation.

In fact, Bitcoin has value due to its growing usage as a kind of money.

Like money, Bitcoin shares certain characteristics:

1. Strength
2. Portability
3. Interchangeability
4. Deficit
5. Possibility
6. Recognition.

But, that's where it differs.

Unlike traditional government-issued fiat currencies, which gain their value from trust in central authorities or precious metals such as gold or silver, which gain their value from deficits and its physical properties, Bitcoin relies on mathematics and therefore blockchain.

With these qualities, the only thing left for any kind of money is to carry the value of reliability and widespread distribution.

For Bitcoin, you will appreciate this by measuring the number of users, traders, companies, banks, and institutional investors who have accepted Bitcoin.

At the top of the day, the value of Bitcoin as a currency comes only and directly from people willing to simply accept them as payment.

But how is it valued?

What influences the price of Bitcoin?

In fact, the price of Bitcoin especially suffers from the forces of supply and demand.

Here's how it works. On the demand side, the price of Bitcoin increases when demand increases. When demand falls, the cost falls accordingly as well.

As for accessibility, the availability of Bitcoin is more stable, as only a certain number of bitcoins are in circulation. In addition, bitcoins are mined and created at a foreseeable and decreasing rate. this suggests that demand must follow this rate of inflation in order to remain at the bitcoin level sustainably.

Since Bitcoin remains less widely accepted, the market for it is still small compared to what it often is. Thus, the value of Bitcoin is very unstable because it does not take significant outflows or cash inflows to affect the value of Bitcoin.

Another important thing to notice is that while it is almost impossible for Bitcoin to be hacked, your wallet or exchange account is vulnerable. this is often why it is very important that you just implement proper storage and security measures.

Monetary Authority of Singapore (MAS) Cryptocurrency Regulation
It is important to note that as cryptocurrencies are a relatively new phenomenon, there is no maximum amount regulation in Singapore just yet.

The order comes into force in accordance with the Payment Services Act 2019. Cryptocurrencies are classified as digital payment tokens (DPT), and therefore the law regulates individuals or organizations that buy or sell cryptocurrencies or facilitate cryptocurrency exchange.

However, this law is particularly aimed at combating money laundering and terrorist financing. this suggests that there is no legal protection. MAS does not have to protect your cryptocurrency or make sure that every crypto transaction is handled correctly.

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About Elijah Levi Freshman   Freelance writer and professional blogger who spec

3 connections, 0 recommendations, 28 honor points.
Joined APSense since, March 3rd, 2020, From Dhaka, Bangladesh.

Created on Mar 23rd 2021 02:56. Viewed 401 times.


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