Community post
Bitcoin or any other cryptocurrency backed by what?
I just can't seem to get with the idea that bitcoin is something that I want to put money into. What is it backed by? What can make it better than gold and silver. Shouldn't we be working towards a currency that is backed by gold or silver?
Bitcoin seems to be pretty volatile. Look at what just happened to it recently. Is it any better that investing in the stock market?
Replies (2)
It took me over 3 years to finally get Bitcoin (BTC,) but I did and have tripled my money. But your question is a good one, but I tell friends and family to do some research or let me explain it simply - All U.S. money Federal Reserve note is a Fiat currency, not backed up by ANY collateral like Gold or Silver.
So yes - BTC is a Virtual or Fiat currency.
I'd buy some BTC, make some money and buy silver as the long term investment.
thanks for the comment. not a bad idea!