What is Bitcoin Maximalism All About?
Bitcoin has been the grandfather in the cryptocurrency coin market since its launch in 2009. The crypto enjoys many privileges being the first crypto and igniting the entire crypt phenomenon. Even to this date, Bitcoin has the lion’s share in the crypto market, and no other crypto is even getting closer to Biotcoins’s position.
The popularity has made room for many innovations, and Bitcoin maximalism is one of those phenomena. Yet not many are still aware of what this Bitcoin is all about. But no worries, this article will walk you through the ins and outs of Bitcoin maximalism. So continue reading to learn more.
What Exactly Is Bitcoin Maximalism?
Bitcoin maximalism is an ideology where people believe that Bitcoin will be the only crypto or digital asset people will need in the future. According to the believers of this ideology, every other digital asset is inferior to Bitcoin.
These believers also tend to claim that other digital currencies are not in line with the vision Satoshi Nakamoto had for digital currencies. Many agree with this belief, while many oppose it fiercely. Bitcoin maximalism is against every other altcoin currently available in the market.
But Why Is There Bitcoin Maximalism in The First Place?
There are many reasons behind people believing in Bitcoin maximalism, and some of these reasons include:
- Bitcoin’s Prominence: Many investors are still reluctant to spend or invest money in cryptos. But that’s barely the case with Bitcoin, as it has been around for the most extended period, and many people trust it. According to Bitcoin maximalists, Bitcoin is the way to help people trust digital currencies and invest in them.
- Bitcoin’s Blockchain: The other argument from Bitcoin maximalists is the reliance on Bitcoin’s blockchain. Every digital currency is deemed successful and unsuccessful based on its blockchain network. When it comes to Bitcoin, there is barely any other such network that ensures such reliance.
- Bitcoin’s Influence on Other Cryptocurrencies: One of the primary factors fueling Bitcoin maximalism is Bitcoin’s influence on other crypto coin market prices. According to maximalists, investors should invest their money in Bitcoin instead of diversifying their portfolios.
Perturbs Associated With Bitcoin Maximalism
There are many hurdles that Bitcoin maximalists need to be mindful of, and some of these hurdles include:
- Volatility: The crypto market is no stranger to volatility, as the prices of cryptocurrencies fluctuate almost daily. Even Bitcoin is not free from this volatility, and pouring all your investments into Bitcoin can be risky.
- Scalability: Every Bitcoin transaction has to be verified by a miner on the blockchain network. So as Bitcoin transactions increase, more miners have to get into the job of verifying all transactions. Unfortunately, there is a finite number of miners, and it is only a matter of time before there are not enough miners to deal with the influx of Bitcoin transactions.
The future for Bitcoin maximalism is uncertain as there are just too many stakeholders in this. The increasing number of cryptocurrencies makes it very clear that there will be more cryptos in the future. Putting one blockchain network against another is not an ideal future for the crypto world. Even experts from one of the most well-known crypto marketing agencies agree.
Also Read: How to Get Crypto by Watching Ads