- Are you aware of the fact that the Stock Indices in the USA are down by more than 1% because of the COVID-19 Pandemic?
- Do you know which investment opportunities attract the lowest tax margins from the IRS?
- Have you been confused when it comes to deciding where you should invest in order to attract the highest gains?
The global economy is in serious turmoil because of the COVID-19 pandemic. With businesses shutting down and millions being forced into unemployment, investors are stuck in choosing stocks and assets, which are safe from the pandemic.
However, whatever assets you look at, there is a falling tendency attached to most of them. In such a situation, some of the most seasoned Wall Street investors are turning to a supposedly new financial asset, which is showing a lot of promise even during the pandemic- Bitcoin!
In this article, we are going to look at why Bitcoin is currently the best investment you can make if you are in the United States. However, before we go to the reasons, we are going to discuss Bitcoins for our readers who have no prior experience of the same.
Bitcoins: Meaning and Definition
I am sure all of you know gold and why it is considered as a solid store of value. We also know how gold is in limited quantities on Earth, which adds to its desirability and value. You can think of Bitcoins in a similar fashion.
Bitcoin is a form of digital money, which is mined by solving complex computational problems. Like Gold, Bitcoin will always also be available in limited quantities. 21 million to be exact. However, unlike gold, it can be used, as both a store of value, as well as a currency.
Bitcoin is decentralized, which means that the government or financial authorities cannot influence or regulate it. It works on a peer-to-peer network, which means there are no intermediaries and you do not have to pay commissions or conversion fees.
List of 5 Reasons which makes Bitcoin the Best Investment in the US in 2020
- It is giving the highest gains and growth margins to investors-
If you compare with Bitcoin with any other investment opportunity, you will see that the growth delivered is phenomenal. In the last few months, Bitcoin has grown in valuation by over 400%. This means if you had invested a hundred dollars in March 2020; in August 2020, you would have valued your investment at five hundred dollars.
- It is the least taxable asset in the USA-
According to the IRS, Bitcoin is considered on par with property making it subject to long-term capital gains. Just to give you a comparative analysis, gold is taxed at 28%, while traditional fiat currencies as investments are taxed at 37%. This means that in terms of saving taxes, Bitcoin is a very favorable investment opportunity.
- It is the most financially feasible way of doing business-
Bitcoin’s growth has also been attributed to the implications it has for altering global trade, as Bitcoin works on a peer-to-peer network, it eliminates the problems of currency conversions and commissions paid to intermediaries. This means you get an exact figure when you use Bitcoin for making payments or receiving them in the form of business products.
- It is easy to Buy, Sell, Trade and Invest in-
You do not have to do or go through something complicated in order to start trading or investing in Bitcoins. Many people do not know that you do not have to attach your SSN or your bank account to start. All you have to do is go on an exchange or a great trading platform and start trading right away.
- It has immense potential for the future-
Just as Elon Musk re-envisaged the EV and automobile industry, you too can become a part of a new financial order for the world. Bitcoin is still in its early stages and not many people are aware of the immense potential it holds. By being one of the founding investors in the ecosystem, you do not know where you will land up in a decade.
The Final Word
Any investor on Wall Street is likely to give you favorable feedback on Bitcoin as an investment. If you are one of the early investors, you will be able to turn into a millionaire just by making the crypto work for you.