🔐5️⃣5 key points Must-Know Risks Before You Buy Bitcoin in May:- PART 1
🔑1. Government intervention
Bitcoin's biggest risk might be that a country's government makes it illegal to own and mine. This happened in China in 2021.
There were worries that the same thing would happen in the U.S., especially because Bitcoin is a direct competitor to the current monetary system run by the Federal Reserve. Printing money and having the U.S. dollar be the global reserve currency is a powerful position no one wants to give up.
However, the current White House administration hasn't shied away from voicing its support for the crypto. Favorable regulations are on tap. And the U.S. just announced plans to create the Strategic Bitcoin Reserve, underscoring how important it is to own this scarce asset.
This doesn't necessarily mean it is in the clear. The next president could reverse these decisions.
🔑2. Quantum computing
Quantum computers are able to solve complex problems much faster than the machines we have today. If this technology evolves to better functionality, then Bitcoin's public key cryptography, which keeps the network secure, could be cracked.
If quantum computing ever advances to that level, there could be issues in other areas, too. Perhaps sensitive data for individuals, small businesses, and multinational corporations stored by financial institutions could be compromised. Even top-secret government intel could be exposed.
Bitcoin has 359 full-time developers working on supporting the network. I have zero doubts that they continue to think about the potential impact quantum computing could have, and are seeking solutions to make Bitcoin even more secure in the future.
