Over the past decade, cryptocurrency has been a profitable and valuable investment business for most businesses and technology companies, which can be attributed to an increase in the use of crypto for transactions, to incredible profit yields and flexibility in its navigation.
Influenced by the obvious success of large corporations, many start-ups looking for investment options are now considering the possibility of investing in crypto.
That said, here are five reasons why you should consider crypto as an investment vehicle for your startup.
Most cryptocurrencies are inflation protected because crypto has global value, which means it is independent and free from government control.
Cryptocurrency is digital money, not physical money, and as such is not easily manipulated or overprinted. For example, Bitcoin was perfectly designed to resist inflation by a fixed pact that its supply never exceed 21 million.
This fixed supply approach has also been adopted by other cryptocurrencies so that when there is an increased demand for them, then this would cause prices to rise.
With these measures in place to provide stability against inflation and debasement in value, cryptocurrency is a great option for startups to invest their money in.
Crypto is a fast capital multiplier
For startups looking to make their investments profitable as quickly as possible, crypto is the best investment to make due to the fact that the crypto market thrives on volatility.
Cryptocurrency is popular due to strong price fluctuations, and in a bull market it is possible to see up to 100% returns in a short period of time. This makes it an excellent investment tool. But due to its volatility, it is important to monitor crypto investments with a online investment app like Sofia.
Total dominance over your investment.
Due to the inherently decentralized nature of cryptocurrency, investing in crypto gives you complete control over your money. With no third-party company or intermediary to oversee your investments, owning a cryptocurrency will allow your startup to benefit from its profits to the fullest extent possible.
Crypto investments also allow start-ups to conduct investment business anywhere using an online investment app on any device at any time.
Cryptocurrency is ideal for long-term investments.
The stability of cryptocurrency makes it safe for any long-term investment your startup might consider adopting. This is due to its independence from any particular currency, its fixed supply, its advantage over inflation and its low risks of manipulation by scams. You can sleep at night knowing your investment is secure.
Moreover, your investment in crypto has huge potential for long-term growth. Therefore, investing a large sum of money in it for a few years will allow you to get higher returns, which will give you more capital to develop your start-up. For this reason, crypto is often referred to as “digital gold”.
Attracts young and diverse investors
Getting involved in cryptocurrency investments attracts new customers and investors to your startup due to its popularity among the people including various categories such as millennials, gen Z and all races and all the sexes.
This means that investing in crypto will increase the value of your startup in the eyes of the majority and make your business accessible to businesses. It has also been recorded that many young investors prefer to invest in a company with a cryptocurrency portfolio.
Additionally, investing in crypto provides global reach for your startup and receptivity for foreign investors. Further implementing the option of cryptocurrency as a payment method for your services will introduce a range of customers willing to make crypto payments.