The BIT enables investors to gain exposure to the price movement of bitcoin through a traditional investment vehicle, without the challenges of buying, storing, and safekeeping bitcoins.
*Publicly quoted on OTCQX® under the Alternative Reporting Standards
Let’s look to gold as an example currency. There is a limited amount of gold on earth. As new gold is mined, there is always less and less gold left and it becomes harder and more expensive to find and mine. The same is true with Bitcoin. There are only 21 million Bitcoin, and as time goes on, they become harder and harder to mine.
In addition to being scarce, Bitcoins are useful. Bitcoin provides sound and predictable monetary policy that can be verified by anyone. It's sound monetary policy is one of its most important features. It’s possible to see when new Bitcoins are created or how many Bitcoins are in circulation. They can be sent from anywhere in the world to anywhere else in the world. No bank can block payments or close your account. Bitcoin is censorship resistant money. It makes cross border payments possible, and also provides an easy way for people to escape failed government monetary policy. The internet made information global and easy to access. A sound, global currency like Bitcoin will have the same impact on finance and the global economy. If you understand the potential impact of Bitcoin, it won’t be hard to understand why investing in Bitcoin may be a good idea.
There is no official Bitcoin price. Bitcoin’s price is set by whatever people are willing to pay. CoinDesk’s price index is a good resource. Bitcoin’s price is generally shown as the cost of one Bitcoin. However, exchanges will let you buy any amount, and you can buy less than one Bitcoin.
As with any market, nothing is for sure.Throughout its history, Bitcoin has generally increased in value at a very fast pace, followed by a slow, steady downfall until it stabilizes. Use tools like Bitcoin Wisdom or Cryptowatch to analyze charts and understand Bitcoin’s price history. Bitcoin is global and not affected by any single country’s financial situation or stability. For example, speculation about the Chinese Yuan devaluating has, in the past, caused more demand from China, which also pulled up the exchange rate on U.S. and Europe based exchanges. Global chaos is generally seen as beneficial to Bitcoin’s price since Bitcoin is apolitical and sits outside the control or influence of any particulate government. When thinking about how economics and politics will affect Bitcoin’s price, it’s important to think on a global scale and not just about what’s happening in a single country.