Bitcoin has been around for more than a decade, and more and more people are starting to believe that it can rival FIAT currencies. The way it survived this long is a testimony to this belief. Cryptocurrencies are taking over the world, and no one can deny this anymore. BTC became so popular that it initiated the creation of Bitcoin cash. This crypto was created three years ago, and its advantage is that it can increase the size of a block, and thus to allow more transactions. In a short span of time that it’s been present on the financial market, it gained popularity. Because of this, people are starting to wonder can they begin saving money in BTC cash. Of course, there’s the more philosophical question of savings in Bitcoin cash or real cash? What’s better?
There’s no easy answer to this question, so we’re going to give you the advantages of both ways, and you can choose for yourself. This is not a decision you should make in a rush, and because of this, it would be smart for you first to read this article. We are not aiming to give and definite answer as we believe it’s not possible to do it at this time.
Advantages of Saving Cash
Real money has been present since the inception of the known world, and for many people is the only currency available. It’s no wonder people will decide to have their savings in cash. There are advantages to this way, and below you’ll have them listed. After reading them, you’ll understand while people will put their faith in what they can grasp with their hands.
Liquidity
If you have a saving account, then you know that this way, your money is like a liquid investment. You can have access to it at any moment. If this is what you seek, then it’s better to have it in a bank than to invest in the stock market or crypto. It’s a low-risk low gain situation, but most people love it that way.
Convenience
This is by far the easiest way to save your money. You can arrange to have the funds transferred every month from your other accounts to the one where you save or withdraw the money on a whim. You can work with your money and know where it is at all times. Subsequently, you’ll also avoid having overdraft fees. It can’t get more convenient than this.
Safety of money
While in a bank, your money can’t be touched. There’s no risk that you’ll lose any, as it’s not being invested. Yes, you’ll miss on the profits, the stock market could bring you, but there’s no risk involved. In the end, this is what you want if you decide to save in cash—no risk, for a calmer sleep.
Insurance
Most people want their money insured. This is natural, as there’s no point in saving if your payment is not secured. Luckily, if you put your money in the bank, it will be insured by FDIC or the NCUA. This type of security is what people are looking for in cash savings.
Short Term Savings
If you are looking to have money stashed away, but at your disposal for a quick spend, this is the way to go. Having money in the bank means that it’s there for you at all times. If you need a buck or two to spend on a vacation or some expensive item, a short time saving can be your thing.
Saving With Bitcoin Cash
By now, you know a thing or two about BTC, and you can learn more by going to immediate-edge.co. But, have you thought about saving in Bitcoin cash? This could be a thing that works for you if you’re willing to take the risk. Bitcoin is not tied to any amount of gold or coins, so it will probably retain its value. The fact it’s decentralized thanks to the blockchain means that it’s not controlled by any institution, which is its main characteristic and the one that attracts new investors, buyers, and traders.
So, is saving in Bitcoin cash a good idea? Well, BTC is sometimes unpredictable. It can hold its value for prolonged periods, only to spike. Same as it goes up, it comes back, but in the process of this, you can earn a lot. This is what makes it attractive for people to save in BTC. This crypto slowly is becoming trustworthy just like any other currency in the world.
To have savings in Bitcoin cash, you’ll need to have a wallet. Many platforms offer this service, and you can be a bank for yourself. This way, you can save your cryptocurrency as it was regular money in the bank. If you are lucky, your savings could grow with time, but at the same time, they could diminish in value due to Bitcoin’s volatile nature. For example, if you have put your savings into an electronic wallet one year ago, you would have more money today. With standard cash and a conventional bank, this would not be the case.
This the one thing you need to keep in mind. If you are looking to invest in Bitcoin cash and have savings, you risk a lot. This crypto is still rather new, and you’ll keep your savings only if the price doesn’t go down. And the only way to earn this way is if the price spikes as it happened with Bitcoin a couple of years ago.
Conclusion
As you can see, Bitcoin cash is rather new, so we’re not able to give it a high recommendation in terms of saving. While it has massive upside, we would stick with regular cash for the time being. There’s not too much to gain, but there’s little to nothing to lose either. In the case of Bitcoin Cash, you wouldn’t be saving any money but instead investing it as it’s the case with most another crypto. When you do this, it’s all up to the market with little being in your hands.