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Will Bitcoin become a long-term investment channel?
Investment trends in Israel have evolved significantly in recent years.
Traditionally, Israelis have focused on real estate, both domestically and internationally, and stock markets.
However, the expansion of investment funds available in Israel has led people to explore a wider range of investment opportunities.
Rising interest rates have simplified the process of investing money and produced favorable returns.
Before this change, cryptocurrencies like Bitcoin attracted considerable attention.
Bitcoin’s value has risen from around $40,000 to a range of $70,000, making it increasingly attractive to investors.
Governments around the world are starting to recognize several of them digital currenciesincorporating them into traditional investment channels.
However, regulatory frameworks are still out of step with new technologies, leading to cases of fraud that have affected some investors.
Bitcoin was founded in 2008 by an individual or group known as Satoshi Nakamoto and was first used in 2009.
Unlike traditional currencies issued by governments, Bitcoin is not controlled by any central authority, such as a central bank.
Instead, transactions are verified by network nodes using cryptography and recorded on the blockchain.
One of the main features of Bitcoin is its limited supply; only 21 million bitcoins will exist.
This scarcity is designed to prevent inflation and maintain the value of the currency over time.
Government attitudes towards Bitcoin vary significantly across the world. Representations of the Dogecoin cryptocurrency are seen in this illustration taken on June 16, 2022. (credit: DADO RUVIC/REUTERS)
Some countries have embraced Bitcoin and other cryptocurrencies, recognizing their potential for innovation and economic growth.
In Israel, attitudes towards Bitcoin and cryptocurrencies have been somewhat mixed, with regulatory initiatives and growing interest in the technology.
Making it easy to secure crypto investments in Israel
One of the leading Israeli technology companies in this space is Gold pieceswhich has been active since 2013, operating under the compliance and approval of the Ministry of Finance and the Capital Market, Insurance and Savings Authority.
Their platform is known for its simplicity and security, offering a reliable option for those interested in digital currency investing.
One challenge when purchasing cryptocurrency is transferring it to your bank account; Israeli banks sometimes block such transfers, especially if the funds come from digital currencies. However, transfers from supervised entities like Bits of Gold are more convenient and organized.
Bits of Gold solves this problem by managing the tax on interest earned, saving you from having to deal directly with tax authorities.
Additionally, transactions can be made in US dollars, eliminating the need for currency conversion fees shekels to dollars.
The company offers customer support in both English and Hebrew to answer any relevant questions about managing and selling currencies, which is especially important for new customers.
Investing in cryptocurrencies represents a new form of investment.
It is important to note that the associated risks may be greater than those of other investment avenues.
However, given the trajectory of technology, regulation and growth potential, it could be a viable investment option.
This article is not intended as investment advice or recommendations.