Top 5 Reasons to Buy Bitcoin in 2021-22

1. Bitcoin Is Not Directly Affected By The Banking Crisis

Banks are the gatekeepers of a country’s financial health. If they are too tight with lending, things grind to a halt, and if they are playing too fast and loose, there will eventually be a reckoning a la 2008. 

In our current climate, banks are forced to deal with late payments from many borrowers. This is because of the financial challenges this crisis has brought up for many. Business loans and mortgages will not generate the quarterly income banks usually expect, which affects the number of money banks make. 

 

Therefore some banks may face bankruptcy and freeze their clients’ funds to avoid that. That may seem logical to some, but certainly not to the account holders whose money is stolen (albeit legally). For example, in April, the Egyptian central bank had to limit cash withdrawals because people were panicked and trying to hold on to their wealth during the crisis.

On the other hand, if one were to buy Bitcoin in Canada from a Bitcoin merchant or cryptocurrency exchange, there’s no need to keep that currency with a third party like a bank. Anyone can keep their entire Bitcoin wealth of any amount with them in a wallet in cold storage, safe from the greedy fingers of banks or governments who reserve the right to seize what they want at their leisure. 

2. Bitcoin Has Real Supply And Demand

Of all the speculation going on, perhaps the most impactful is being made by central banks who, ever faithful to their nature when facing a crisis, resort to waving their money printing magic wand to keep the unsustainable fiat currency model afloat a little longer.

Like most magic tricks, of course, that’s just an illusion, an elaborate illusion, but an illusion nonetheless because no value has been added. It just pumps more numbers into the hands of banks to lend out.

That’s something a cryptocurrency exchange in Canada wouldn’t do. Cryptocurrencies retain their actual value based on the demand and are not a central supply source that can arbitrarily devalue the currency at will to prop up its bloated establishment.

3. Bitcoin Offers A Whole New Dimension For Diversification

This is where decision-making and strategy are critical. While bold, all-in moves attract our attention, it’s usually those who carefully moderate how much they commit to what level of risk who manage their way to success.

For a long time, the choices have been cash, commodities (both physical and futures), and securities (stocks and bonds). But those are all part of the same overall market and therefore manipulated by the same infrastructure, like how some countries shorted gold on the market for years while hoarding physical gold at lower prices by the ton to secure their national currencies.

4. Bitcoin Is Futureproofing 

Things are moving in a new direction. Not long ago, the concept of buying Bitcoin was easy to ignore, but now Bitcoin merchants in Canada have offices on entire floors in commercial buildings. With this in mind, it’s not unreasonable to expect Bitcoin to become a standard alternative for certain transactions.

With more and more people researching ‘how to buy a bitcoin in Canada’ on their browsers,  that’s almost a given. According to Google, interest in ‘buy and sell Bitcoin’ searches rose nearly 100% this past March. On the other side of the planet, China’s Baidu search engine reported a 183% increase in Bitcoin searches in late May.

5. Bitcoin Offers Mobility

If another crisis, like, say, the second wave of COVID-19, were to hit your area hard, can you safely move your assets to somewhere more stable?

The answer is no. In our current system, the money in the bank is as good as the bank’s property, with your name on the lease. Try going to your bank and asking for all your money, and you’ll soon see what the bank’s idea of ‘your’ money is. Alternatively, cryptocurrencies are in your hands, without the hassle of physical cash or the control of banks. You can hold all of your cryptos in a cold storage wallet.

Conclusion 

As you can see, there are many reasons to buy Bitcoin in the current climate. As always, there’s no silver bullet solution in these unprecedented times, but the concept of Bitcoin as part of a diversification strategy is a great option to have. With careful risk management, it can lead to beneficial results thanks to increased market activity, mobility, and upward momentum.

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