Cryptocurrency is finally stripping itself of its old title as a fad, and is seeing widespread adoption. Particularly a lot more investing is happening in Canada.
A lot of speculation is normal surrounding a new concept, especially a digital currency that is separate from the government. However nowadays holding cryptocurrency as an asset is becoming more common than ever. It’s seen as something to invest in alongside traditional stocks. One of the main interests in it is the belief it will change finances, as we know it.
Some still argue to stay away from cryptocurrency such as Bitcoin out of belief that it is worth nothing. Billionaire investor John Paulson said “I would describe them as a limited supply of nothing. There’s no intrinsic value to any of the cryptocurrencies except that there’s a limited amount.”
There are only 21 million Bitcoin in existence. Which is why Paulson argues the value is artificial. Although the same argument could be made that cash, a piece of printed-paper or money on a screen also has no intrinsic value. Value is given to it by widespread adoption – which is what is happening to cryptocurrency.
There are concerns about cryptocurrency security as hackers have managed to steal cryptocurrency from exchanges before. A Canadian company is attempting to regulate exchanges. The Canadian government is also increasing efforts at regulation, including keeping a lookout for unreported crypto transactions and undeclared profits.
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