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The effect of Bitcoin adoption

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In recent years, within the world of cryptocurrencies, some concepts have been coined around certain events, in this case I come to discuss what is known as "The Bitcoin effect", which is basically defined as the result of the adoption of the Bitcoin by any company or institutional organization.

 

It began with the most recent case, that of PayPal, a company that decided to venture into the crypto market last October and launched its platform during November, it was rumored that Paypal was buying 95% of the recently mined Bitcoin at a price between 17,800. and 18,300 dollars, this event in general caused that Paypal will increase its prices on the New York Stock Exchange, each share going from 180 dollars to 223 dollars, a historical maximum for the company and it is estimated that in this fiscal semester it earned 40 % more than in the past due to your investment.

 

Another case is MicroStrategy, which invested a total of 250 million dollars, thus acquiring 20,000 Bitcoin's each at $ 12,500, its shares rallied 12% immediately, and today the company's earnings are above of the 150 million dollars in less than 4 months

 

Many call this the Bitcoin effect.

 

What is your opinion about it, do you agree?

 

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Lastly, PayPal was allowing buy/sell/hodl of Crypto currency and I guess yesterday they announce Crypto could be used in paying merchants inside PayPal app and the stock of PayPal just sky rocket within some time. It says that investors are willing Crypto adoption in all level.

Now paypal is a competitor for Crypto.com cards and Binance Card too.

Yes MicroStrategy, stocks has also risen up after Bitcoin investment and that's the reason they are planning to buy more btc even at such peak moment of Bitcoin. 

It's right that Investors are looking to invest for something that is resistable to inflation and Bitcoin seems the only choice that's why , if a company announces Bitcoin investment. Investors hurry to come and the stocks price gets spiked up.

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NOTHING I SAY IS FINANCIAL ADVICE. YOU SHOULD USE YOUR MIND ,FOR YOUR MONEY,

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8 hours ago, Ridam said:

Lastly, PayPal was allowing buy/sell/hodl of Crypto currency and I guess yesterday they announce Crypto could be used in paying merchants inside PayPal app and the stock of PayPal just sky rocket within some time. It says that investors are willing Crypto adoption in all level.

Now paypal is a competitor for Crypto.com cards and Binance Card too.

Yes MicroStrategy, stocks has also risen up after Bitcoin investment and that's the reason they are planning to buy more btc even at such peak moment of Bitcoin. 

It's right that Investors are looking to invest for something that is resistable to inflation and Bitcoin seems the only choice that's why , if a company announces Bitcoin investment. Investors hurry to come and the stocks price gets spiked up.

@Ridam Will PayPal allow you to pay with bitcoin or other cryptocurrencies at merchants that accept the PayPal gateway? That interests me a lot, another question do they accept external deposits, that is, can I send bitcoin to my paypal account?

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2 hours ago, 1qDan said:

@Ridam Will PayPal allow you to pay with bitcoin or other cryptocurrencies at merchants that accept the PayPal gateway? That interests me a lot, another question do they accept external deposits, that is, can I send bitcoin to my paypal account?

It is no longer a news @1qDan. PayPal now accepts bitcoin (storing/sending/receiving) bitcoin but as much as I know,I don't it is much in implementation right now and also for payment directly to merchant that accepts bitcoin. It is more like a proposal which will only be available later.

At least as reflecting in my account.

Edited by Raqeebzy
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The BTC is adopted  by big giants of market and made the BTC skyrocket. The effect will be come out because the amount is very big and attracted many new investment for BTC. BTC is gaining big investment even the price is increasing. It's not long a ho BTC was called scam but now all the world is making payments through BTC. The BTC is gonna legalise and used as 2nd medium of payment like digital currencies. The two big recent invest isn't the only one who look into BTC their are one more big company who have decided to invest in BTC before end of the year 2020.

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Sure, mate all these institutional investments have had a significant effect towards the legitimization and adoption of Bitcoin and other cryptocurrencies. It seems to me that we're witnessing the outset of something really big, as more institutional money is invested in Bitcoin, this surely will lead to more institutions and common people to adopt Bitcoin, and possibly we could shortly see the generalization of usage of  Bitcoin for purposes beyond speculation.

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14 hours ago, 1qDan said:

@Ridam Will PayPal allow you to pay with bitcoin or other cryptocurrencies at merchants that accept the PayPal gateway? That interests me a lot, another question do they accept external deposits, that is, can I send bitcoin to my paypal account?

For US citizens Paypal announced recently that you can pay to Merchants in Crypto currency. I'm not sure update is already rolled out or it will take some time as it's only available for us citizens.

No they don't accept any external deposits. Payapl is buying huge amount of newly minted Bitcoins and users can buy from PayPayl at this moment.

But In my view in 2021 they do have better plans and may start exernal deposits and withdraw from PayPal. It's only the beginning so they definitely support more features in coming months or year.

 

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NOTHING I SAY IS FINANCIAL ADVICE. YOU SHOULD USE YOUR MIND ,FOR YOUR MONEY,

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Yes, I agree with the information you provided about the effects of bitcoin adoption. PayPal is a giant company that's also decide to venture into cryptocurrencies. We can see the price of bitcoin has gone above $20000 this year, it's all time high price. 

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In the current situation of the COIVD-19 the crypto has the great impact as the positive currency to be adopted and the price of the Bitcoin is also increasing.


Youtube ChannelSocial media Assets, Websites and Plugins are available in a very reasonable price 😇 TALK Token is also acceptable.

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10 hours ago, Ridam said:

For US citizens Paypal announced recently that you can pay to Merchants in Crypto currency. I'm not sure update is already rolled out or it will take some time as it's only available for us citizens.

No they don't accept any external deposits. Payapl is buying huge amount of newly minted Bitcoins and users can buy from PayPayl at this moment.

But In my view in 2021 they do have better plans and may start exernal deposits and withdraw from PayPal. It's only the beginning so they definitely support more features in coming months or year.

 

Thank you very much, I hope that this measure becomes a general rule, since in my particular case paying with cryptocurrencies using paypal would give me a very large legal basis, I wonder if disputes can also be made when paying with bitcoin, this would offer a solution to the problem of returns.

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Paypal is one way for expansion of Bitcoin adoption but not the right was as it is done in a way that made Bitcoin lose most of the features it has, as Paypal not allows withdrawals or deposits and when you use the crypto in your wallet to make purchace from the paypal network they sell to fiat first.

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This is also one of the factors contributing to the rise in cryptocurrencies, especially Bitcoin. These international companies have taken a bold step and have shown positive results in a short period of time. This also allows other companies to work in this field or allocate a small percentage of profits, providing an opportunity to increase their profits. These results revealed some answers and reflected some opinions that were rumored about them that they will cause harm to the economy.


Учитесь, учитесь и учитесь на своих ошибках :classic_smile:

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My friend, I agree with you, but does a company like PayPal have roots from the United States of America and we keep trusting them in the field of cryptocurrencies? I see that they have introduced Bitcoin payment for the sake of its best interest mainly. How I hope I am wrong Thank you 

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The effect of adoption is the rise of prices. For the companies that gambled their shares could have risen less if they didn't have many profits and could also drop and be bankrupt if prices drop too much. They risk a lot to have a lot of their liquid assets into Bitcoin.

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There are some effect for bitcoin adaptation which can affect the economy situation of the fiat currency. The most important step to take is adopting digital economy to make good fortune through the bitcoin than fiat money. 

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The impact of Bitcoin acceptance is increasing day by day.  However, PayPal has accepted Bitcoin and they have bought Bitcoin.  Which has further affected its price.  Many more large investors have invested in large amounts.  However, Bitcoin is a very good and expensive currency.  Bitcoin will gradually become more acceptable.

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Microstrategy is in big profit so far, they made profit and the stock price also risen for their Bitcoin success, so they got double the profit. I don't know what their plans are but it given them a winning strategy for the time being. What will happen though if Michael Saylor one day tweets that he sold all or part of his Bitcoin?

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The truth is that a large number of institutions entered Bitcoin this year, so the price increased rapidly, but in a different way than in 2017.
Seeing Bitcoin only as an investment, I think it's good that these kinds of institutions enter, since they will allow the price to increase in the medium term.
However, as a bitcoiner, I think it's not very good, because the wealth is concentrated in a few and it starts to be centralized, as they can easily manipulate the price.
I think that the main purpose of btc is decentralization.

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On 12/24/2020 at 4:52 PM, John Pernia said:

That's one more sign that crypto currencies are changing our lives and it's a good thing for a company to adopt Bitcoin as a method of payment and investment. It helps your shares to take more value in the stock market.

Its true that things become easy because of Bitcoin/Crypto currency but the business is also considered very risky and its a holding business like if you want good profit then you have to wait for the right time to sell the coins.

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I am sorry I must be tired and didn't understand the Bitcoin effect definition. What this means in your post that the effect is that more will buy it as the price will keep rising? This in my opinion is a negative effect if it happens and could be called fomo. If fomo happens we should be ready to sell and not get caught in it, as I read by many posts in the forum we need to avoid fomo.

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There are so many investors are coming in this crypto field investing their millions of dollars on the crypto market as you said Paypal is buying newly mined bitcoins about 90% which is good for price go higher when market have small numbers of bitcoins so the price will boost .

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On 12/16/2020 at 8:28 PM, Amiami said:

Many call this the Bitcoin effect.

I have never heard about that effect. So, it means that when a company is buying Bitcoin the stock price of the company will rise? But what if price of Bitcoin drops will the stock then crash? I thought that stocks had to do with profitability from production but it could be from investments too. However is microstrategy an investment company or fund? Maybe there are irregularities in investing so much of the capitol they had in Bitcoin and the way they bought too, from Coinbase, it can be against laws too.

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In fact, I have never heard of the term "Bitcoin Effect", although the idea is understood and known, but the name is unknown. In any case, it is certain that the entry of large companies into the world of Bitcoin made the spread of Bitcoin greater and made corporate profits much greater. Paypal enters the world of bitcoin.


 

 

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Bitcoin is having an effect in the investment world, it is becoming stronger and having signs of a rising asset that could become very valuable and respected. It is seen as such by institutions and corporations that are traded in Wall Street and lately it has seen big investments at one piece of hundreds of millions each. 

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This can also termed as bitcoin effect because as huge amount of money is injected the price immediately changes and the price is rapidly growing daily, we look forward to see more changes ahead in the future.

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