Bitcoin is a cryptocurrency, a fancy term for digital legal tender, that has picked up quite a bit of traction since it was first rolled out back in 2009. Until relatively recently, it was all but dismissed as a passing fad that would soon run its course and join a long list of fly-by-night technologies that debuted with great fanfare and eventually faded away into oblivion.
So, what exactly is this digital currency called bitcoin? Read on for a look at what it is, what affects its price, what it is used for, and how you can use social media and SEO — which have been credited with helping to fuel the popularity of cryptocurrency — to grow your own business.
Bitcoin…What is it?
As mentioned previously, bitcoin is a cryptocurrency. It employs decentralized technology to facilitate a secure way to store financial resources and to make payments — all without the involvement of banks. Bitcoin, because the currency is not tied to any nation or subject to any regulations, makes international payments a relatively simple and inexpensive process. Another benefit of bitcoin as a form of legal tender is that transactions can be conducted anonymously.
So, if bitcoin doesn’t require bank involvement, how exactly is bitcoin created? Bitcoin works on a blockchain, which is another word for a public tender, which keeps up to date records of every transaction, and it is available to all network users. In order to manufacture bitcoins, users have to generate blocks cryptographically onto the network. In order to avoid value dilution, there is a cap imposed by the system on the number of bitcoins that can be generated.
What Affects its Price?
Just before the end of 2017, the price of bitcoin dropped to $14,000 from $20,000, which highlights the volatility of the most popular of cryptocurrencies. There are numerous factors that affect the price of bitcoin. For instance, the fact that regulators are starting to take a liking to the cryptocurrency is cited as one reason as is the advent of initial coin offerings where companies look to raise funds for strategic initiatives by selling cryptographic tokens akin to bitcoin. Another factor that affects bitcoin is news — and social media, which has been a key reason why cryptocurrencies like bitcoin are so popular these days — is a primary source of discussion, information, and commentary on bitcoin.
What is it used for?
There are many different uses for bitcoin. For instance, it can used by companies for funding purposes, for transferring funds, for buying from online retailers that accept the currency as a form of payment, and even for an investment for those who believe that it could continue to appreciate in value. Basically, it can be used in the same way that traditional currencies are.
Bitcoin, Social Media, SEO, and Your Company
If social media has had such an impact on bitcoin, imagine what sort of impact it could have on your company’s internet marketing efforts, especially if you add SEO into the mix. You can get a bitcoin-like boost in brand recognition and awareness if you do the following:
- Links: What you want to strive for is interesting and useful content for your social media platforms. If the content is compelling, people are likely to link back to it. Whether you’re focusing on Facebook, Twitter, LinkedIn, or some other social media property, you can build traction for your business by creating popular content that compels being to link back to it.
- Attract Audience: When you consider that billions of people are on social media — Facebook actually has close to 2 billion users — you can start to appreciate the critical mass of potential customers. Of course, you’ll need to do more than simply post on social media to attract interest. The truth is that people are more likely to click on a link from a brand they recognize and trust rather than from a brand that is unknown to them. Click-through rates can make a difference as per your search engine rankings. But, again, people have to know and trust your brand if you’re going to get enough click-through rates to move the needle in the right direction.
Bitcoin may very well be the currency of the future as the digital age carries on. But whether or not that’s the case, you can be sure that its fast rise in terms of awareness and acceptance — fueled by social media — can be a lesson for you as you pursue your online marketing strategy.
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