How Does Bitcoin Stack Up To Other Investments?
By Ryan Velez
If you’ve been following the current standings of Bitcoin, you’re likely astonished, and probably kicking yourself if you had a chance to get in on the ground floor. While there’s a lot of debate whether this is a solid investment or destined to burst, it’s interesting to see exactly how it would stack up to some more conventional expenses that are currently paying off. Celebrity Net Worth crunched the numbers, and has some interesting facts to report.
According to those numbers, a thousand dollar investment in Bitcoin in 2009 would be worth $160 million worth of bitcoins as of the end of October of this year. Here are some equivalents to that from other investments if you made them a decade ago:
Alphabet (Google): $2,922
General Electric: $490
As you can see, it’s not even close to Bitcoin, even at the top level. What this list doesn’t cover is the fact that there have been many dips in value in Bitcoin, and cryptocurrencies in general, over the years. Compared to being an investor in a traditional company, it’s likely that a Bitcoin investor would need to have some sort of future sight to try and stick with it for so long during these gaps.
Bitcoin originated in 2008, when a man named Satoshi Nakamoto posted a research paper to an obscure cryptography listserv describing his design for a new digital currency that he called bitcoin. While Nakamoto said he lived in Japan, no one actually knows this for sure, and even the name may be a pseudonym.
Notably, it is the first decentralized digital currency – the system works without a central repository or single administrator. The network is peer-to-peer and transactions take place between users directly through the use of cryptography, without an intermediary. These transactions are verified by network nodes and recorded in a public distributed ledger called a blockchain. At the moment, research estimates that 2017, there are 2.9 to 5.8 million unique users using a cryptocurrency wallet, most of them using bitcoin. One can only imagine how much money those unique users have now if they had stuck around with bitcoin since the beginning.