Ultimate Guide to Investing in Blockchains
by Blockchain council Blockchain certificationsBy now, you
would have certainly heard of the term ‘blockchain’ as it is the buzz word in
several circles. You might have also heard people telling you how profitable it
can be to invest in blockchains. In this article, I will be briefing you about
the various investment options that blockchain technology offers. But before
delving deeper, we will first define the term ‘blockchain.’
Understanding
Blockchain
A blockchain can be
defined as a decentralized, digital ledger or database that helps store transactions
in a transparent and immutable way, meaning that data, once stored on a
blockchain, cannot be altered or deleted by anyone.
Guide
to Investing in Blockchains
The first and foremost
step to take before investing in blockchains is consulting a financial expert
or advisor. Once that is done, you can start looking at investment options such
as:
1. Stockpiling
Bitcoin
Just like many
investors stockpile gold in anticipation of rising prices, there are many
others who stockpile Bitcoin. Though the two assets may be totally different in
nature as gold is tangible and Bitcoin is not, both of them are similar in
terms of the basic investment principles. For instance, both gold and Bitcoin
are considered rare.
It all simply boils
down to supply and demand. As there is a limited supply of both, a rise in
demand causes a rise in value. If you are one who thinks that stockpiling
bitcoin will only work for investors, consider the case of the famed Winklevoss
twins who had reported about holding one percent of the total amount of
Bitcoins that were in circulation. Today, there are many methods that are
available for procuring Bitcoin. So, this is certainly a good time for you to
begin a cryptocurrency investment portfolio.
2.
Altcoin Crowdfunding
Crowdfunding refers to
using small amounts of the capital gathered from many individuals for financing
a new business venture. It is now considered a mainstream method for raising
seed capital for all forms of investments. One method of investing in
blockchain is by indulging in crowdfunding by using alternative coins. In this
method, the total coin supply is pre-mined and sold in an initial coin offering
(ICO) before the network is publicly launched. In this method, investors will
be able to purchase coins with the expectation that there will be a rise in
prices in the future if this service becomes popular.
3.
Investing in Startups Exploiting Blockchain Technology
Investing in a startup
is less risky than investing in a cryptocurrency. The main challenge one will
face is finding or defining a blockchain startup. There are many startups that
use blockchain just to produce tokens, coins, or to transfer coins or tokens
from one person to the other for a specific purpose. There are also startups
out there that invest in blockchain technology just because the other options
are not suitable for them. So, if you are confident that you have the means and
the inclination to invest in a blockchain startup, you must certainly do so but
with caution. Like you would do for any other investment option, make sure that
the startup company that you are considering uses blockchain only for
blockchain purposes and that they are looking at blockchain as a permanent
solution and not as just a temporary one.
4.
Invest Your Time and Money to Learn Blockchain
Blockchain, as most of
us know, is one of the highest in-demand, candidate-short industries. Employers
all over the world are looking for blockchain professionals who have profound
knowledge in the field and would be able to use that knowledge to design
blockchain solutions that will help- make a huge difference in their business
processes. Investing in blockchain technology does not only refer to the
options that have been mentioned above. It also refers to putting in both your
time and money to enroll in blockchain courses or certifications
offered by universities or online learning platforms that will equip you with the
adequate knowledge needed to stay way ahead of your peers in the blockchain
ecosystem.
Conclusion
Investing in
blockchains is certainly a great step considering the potential exhibited by it
in the past decade. To learn more about blockchain certifications and to become a
blockchain expert, check out Blockchain Council.
Ref :https://www.blockchain-council.org/
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Created on Apr 14th 2020 02:30. Viewed 241 times.