The OCU has no doubts: “Bitcoin is not a good business”

The best-known cryptocurrency and one of the most valued in the current market is one of the favorites of many investors. However, OCU experts have made it clear that they do not recommend Bitcoin as an investment.

According to the OCU, it is not the first time that Bitcoin hits all-time highs, then plummets. In 2017 its value skyrocketed and it lost it in a short time, something that happened again last November.

From the Organization of Consumers and Users, and in particular its investment side, they wonder if it is an easy way to earn money or if we are facing a bubble that will deflate.

Among the reasons they give for not recommending investing in Bitcoin is that “your quote is a roller coaster” and that the operations are associated with commissions that vary according to platforms and end up being notable in the face of the withdrawal of possible benefits.

From the entity they want to emphasize that the bitcoin is not a currency, at least as we know the term until now and that is understood as a generally accepted means of payment.

Bitcoins are stored in a digital wallet or purse and it uses blockchain technology so that all movements are recorded.

the bitcoin it is outside the current banking system and works anonymously. No one can access them without the password, and therefore they are free from seizures, corralitos. They are not issued or controlled by governments or central banks, their price does not depend on monetary policies nor are they linked to inflation or performance of a country.

However, in order to assess the risk of an investment, the OCU is clear about it, despite rising like wildfire, it has had crashes of up to 80% of its value, or for example, the last historical maximum of more than 58,000 euros gave way to a drop of around 40%.

OCU Investors makes it clear In addition, after a study of investing 1,000 euros in bitcoins in 10 different sites and selling them a week later, the difference after subtracting the commissions has become up to 19% less than the evolution of Bitcoin itself.

There is a great hidden cost in the whole process of buying and selling Bitcoins and varies between 7.8% to buy and up to 5.7% to sell depending on the chosen platform.

The summary of the OCU is that it is not a recommended investment. Bitcoin will continue to rise in price when more people want to buy it than people want to part with it, and it will fall when the opposite happens. In just a few days it can double in price or lose all its value: it has already happened.