Early on March 9, cryptocurrencies were trading in the green. The total market capitalization of all cryptocurrencies was $1.76 trillion, up 2.54 percent from the previous day. The overall crypto market volume over the last 24 hours has decreased by 7.85 percent to $78.92 billion.
The entire volume in DeFi is currently $13.31 billion, accounting for 16.86 percent of the total 24-hour volume in the crypto market. The overall volume of all stable coins is now $65.93 billion, accounting for 83.54 percent of the total 24-hour volume of the crypto market.
Bitcoin's price is currently Rs 31.09 lakh, with a 42.31 percent market share. According to CoinMarketCap data, this was a 0.04 percent fall from the previous day.
On March 8, India's finance minister, Nirmala Sitharaman, stated that the government will announce its view on cryptocurrencies after the ongoing consultation process is completed.
"The consultations are now underway, and you are welcome to participate. Following the completion of the consultation process, the ministry would likely sit and ponder it over, which is necessary because we need the executive to ensure that they are not violating any legal requirements. After that, we'll come out and say where we stand on that. I know you asked me to say whether we are regulating it or prohibiting it. I'm not going to get into it right now. But, yes, we will discuss it after the consultation. I'm delighted you like the taxation, too "According to Sitharaman.
Meanwhile, according to Reuters, US President Joe Biden is set to sign a long-awaited executive order this week asking the Justice Department, Treasury Department, and other agencies to investigate the legal and economic implications of launching a US central bank digital currency.
To combat the growing threat of ransomware and other cybercrimes, the White House announced last year that it was exploring a wide-ranging monitoring of the cryptocurrency industry, including an executive order.
Biden's order establishes a 180-day timetable for a series of papers on "the future of money" and the role of cryptocurrencies in the changing landscape.
Bitcoin FAQ
Is Bitcoin 'real' money? And if so, why?
Yes, Bitcoin is a currency. You can use it to make purchases or, if you prefer, you can exchange it for other currencies, such as the US dollar, and then use it to make purchases. Bitcoin's value is determined by the free market, just like any other currency.
Who is in charge of the Bitcoin system?
One of the reasons Bitcoin appeals to individuals is that no one owns or controls it. Volunteer coders began adding new features to the software, which is now open source and can be updated by anybody.
The 'miners' are in charge of making updates and other decisions. In order to run the network and execute transactions, miners use computers or specialized devices to generate massive quantities of computing power. As a result, they get paid a fee for each transaction. Until the final one of the 21 million BTC supply is 'mined,' they will also receive newly produced bitcoins. If mining continues at its current pace, this will happen by the year 2140. If Bitcoin is still in existence, the miners will be motivated to keep the network running by the payments they receive.
Is it legal to use Bitcoin?
Yes. There have been no countries to date that have banned the usage of Bitcoin, however certain countries restrict its use more than others. Because it may be used to conduct criminal transactions, Bitcoin is frequently connected with the underworld. All currencies have the same problem. However, Bitcoin is more difficult for authorities to track than a digital transfer of fiat, but it is easier to track than cash.
Can you tell me where I can get bitcoins?
It's possible to buy bitcoins on a cryptocurrency exchange or straight from an individual investor. Mining is another way to earn bitcoins.
Is it wise to put money into Bitcoin?
As far as whether or not you should invest in Bitcoin, it's all about what you're comfortable with and what your financial goals are. There is no way to know for sure whether Bitcoin or any other asset is a wise investment. It's true that past success is no guarantee of future results; thus, you must rely on your own judgment when making an investment if you want to profit from a price fall.
Is it possible to profit from trading Bitcoin?
In the Bitcoin market, you might make money and lose money at the same time. In order to open long and short positions on Bitcoin, many users use charts to keep an eye on the price of the cryptocurrency. A fluctuating currency like this can be rewarding, but it also comes with a high degree of risk.
Further investing opportunities are also possible with Bitcoin. There is an option to buy gold and silver with Bitcoin through JM Bullion.
Use Cases
Digital Cash
Using Bitcoin instead of government-backed fiat currency while conducting digital payments is a solid use case. You can invest in gold and silver with Bitcoin, which is widely accepted by e-commerce businesses as well as other currencies like the US dollar.
Speculative Asset
Bitcoin's extreme volatility has made it a popular trading asset for swing and day traders, who can profit from large intraday or interday price movements.
Intangible Asset
As a store of value, Bitcoin's use case is disputed because of the currency's high volatility. Unlike the precious metals markets, where fluctuations of 1–2 percent are unusual, Bitcoin can change by 10% in a single day, and several large collapses have happened in the decade or so since the network's debut, frequently spanning years.
But on a long-term basis, Bitcoin has been a tremendously profitable investment. In fact, with a gain of 60% in less than two months, economists have named Bitcoin as the best-performing asset class of 2019.
To boost the portfolio's Sharpe ratio and reduce volatility, minor Bitcoin investments can be added to a diversified portfolio. Although there is no certainty that Bitcoin's price will rise like it has in the past, there is little doubt that it will continue to rise.
