The difference between holding bitcoin and understanding bitcoin.

[Queen uloma]

Planty people get bitcoin today but na few people way understand am very well. And to get bitcoin and understand bitcoin no be the same thing. Somebody fit buy bitcoin because en see say person for their street cash out big from bitcoin or because en family member tell am to invest for bitcoin say en Dey pay or because dem Dey fear to miss out for future gains way Dey inside bitcoin. That kind person nah bitcoin holder and e fit no understand bitcoin well, understanding bitcoin Dey more deeper than owning bitcoin.

Watin e mean to hold bitcoin?

Holding bitcoin Dey very straight forward. You go buy bitcoin and keep for your wallet with expectation say the value go increase for future.
Planty holders know basic things such as:
1. Bitcoin get  limited supply of 21 million coins.
2. Bitcoin price Dey always increase for longterm investment.
3. They fit buy bitcoin and also sell am for inside exchange.
Nothing actually Dey wrong with dis kind of approach, Infact na so many people take enter bitcoin investment. The problem Dey start wen ownership is been mistaken for understanding.

Watin e mean to understand bitcoin?

Understanding bitcoin mean to appreciate am very well as e Dey exist, and the problems way e Dey solve.
Dis include understanding:
1. The good thing way Dey for decentralized money
2. y censorship resistance Dey important.
4. The good thing way Dey for of self custody.
5. The reason why bitcoin Dey operate without any central authority.

Person way understand bitcoin fit continue to hold bitcoin when the market Dey face ups and down because their belief Dey base on their knowledge rather than price action.

The real test na the difference between holding and to understand how bitcoin Dey more visible for bear market.

Note: the future of bitcoin no only depend on how many people get bitcoin, but how many people understand bitcoin very well.

[igebotz]

The real test na the difference between holding and to understand how bitcoin Dey more visible for bear market.

Note: the future of bitcoin no only depend on how many people get bitcoin, but how many people understand bitcoin very well.

Sometimes you don't necessarily need to understand something before you invest in it; trusting it is enough and that's why most people owns a Bitcoin not because they have any indepth knowledge about it, they just trusted the source of their information.

Most of the stocks I invested in this year was simply based on "trust" I had in the people that introduced me to them - I trusted their insights and I invested.

Having knowledge about anything before investing is also good, but suggesting Bitcoin's future hinges on that is not entirely true..

[Hatchy]

Sometimes you don't necessarily need to understand something before you invest in it; trusting it is enough and that's why most people owns a Bitcoin not because they have any indepth knowledge about it, they just trusted the source of their information.

Most of the stocks I invested in this year was simply based on "trust" I had in the people that introduced me to them - I trusted their insights and I invested.

Having knowledge about anything before investing is also good, but suggesting Bitcoin's future hinges on that is not entirely true..

Sometimes it's necessary to have even the slightest knowledge, so you don't end up making wrong decisions in the market. When we talk about in-depth knowledge I just picture it as someone trying to study more on the technical aspects of bitcoin, which are not necessarily important for anyone to invest. Trust is needed, but alot of people might not be able to trust something they don't understand. That was how it was from the beginning when bitcoin was still very new. People had little or no knowledge, this their trust for a system where government cannot control was very poor. But like you said, if you do have someone to guide you and you can trust them, then it's okay to invest blindly..

[Itz-prisigold]

Sometimes you don't necessarily need to understand something before you invest in it; trusting it is enough and that's why most people owns a Bitcoin not because they have any indepth knowledge about it, they just trusted the source of their information.

Most of the stocks I invested in this year was simply based on "trust" I had in the people that introduced me to them - I trusted their insights and I invested.

Having knowledge about anything before investing is also good, but suggesting Bitcoin's future hinges on that is not entirely true..

I do believe that many investments begin with the trust, that's why I agree on this point.  In practice, only few people actually take their time to learn and fully understand about all the assets before putting their money into them. The opinions and advice of trusted friends, family and experienced investors can impact our choices.

But I believe that trust should be seeing as a bridge instead of a destination. Trust can get a person to purchase Bitcoin for the first time,  but knowledge is the key to keeping someone's confident in times of uncertainty and volatility. In the periods of good market performance, trust alone might actually be enough, but during when market price is falling rapidly,  people who don't have faith or lack strong conviction start to doubt and question their decisions.

I also agree that everyone does not need to be very knowledgeable about bitcoin in order for Bitcoin to have a future. There are numerous individuals who can still take part and adopt Bitcoin without knowing the technical things. But the more knowledge a person have about what he is she is investing in,  the more they are likely to make good choices and not panic or falling victim to investment scams when difficulties arise. Trust is actually what gets the door open, but understanding is what keeps it open for the long term.

[SPIDERMAN008]

In terms of investing in Bitcoin and long-term holding, it is important to have financial capacity along with knowledge. Because panic selling or force selling cannot be avoided with knowledge alone. At that time, financial capacity can be hodl for a long time through discretionary income backup funds. And the volatility of the Bitcoin market creates opportunities for long-term holding. And those who can do DCA regularly can buy Bitcoin at an average price through a long-time holding mindset, which also helps them to profit a lot in the future.

[Fiatless]

Sometimes it's necessary to have even the slightest knowledge, so you don't end up making wrong decisions in the market. When we talk about in-depth knowledge I just picture it as someone trying to study more on the technical aspects of bitcoin, which are not necessarily important for anyone to invest. Trust is needed, but alot of people might not be able to trust something they don't understand. That was how it was from the beginning when bitcoin was still very new. People had little or no knowledge, this their trust for a system where government cannot control was very poor. But like you said, if you do have someone to guide you and you can trust them, then it's okay to invest blindly..

These days you don't need to know much about an investment especially if you are using middlemen to invest. Over the years ther have been an increase in the number of reputable investment management firms. These professionals have developed skills that aid them in identifying good investments. I believe that the majority of people who invest in ETFs in the US know little about Bitcoin. People just trust these middlemem and put in millionaires in recommended businesses.

But for those who want to take the responsibility of managing their crypto assets, it is important for them to learn how the system works. Before I decided to be involved in Bitcoin, I had learned the basics which had been very helpful.

[Hypnotizer]

These days you don't need to know much about an investment especially if you are using middlemen to invest. Over the years ther have been an increase in the number of reputable investment management firms. These professionals have developed skills that aid them in identifying good investments. I believe that the majority of people who invest in ETFs in the US know little about Bitcoin. People just trust these middlemem and put in millionaires in recommended businesses.

Sure I also believe people do invest based on trust rather than understanding, that’s just the nature of people. Just take a look at all these Ponzi schemes here and there, people know these kinda things might probably be scam and some of them had fell of something like that before but because of the trust they develop for the people who introduced them to the investment and the sweet words that these scammers use, they’ll just invest without research.

But as per Nigerians wey we be, I’ve never heard of any investment management firm so far even though I know they exist but I rather invest myself since I’m not into stocks. In Nigeria, people do hear about investment opportunities and recommendations from mostly friends.

[Callido]

Most of the stocks I invested in this year was simply based on "trust" I had in the people that introduced me to them - I trusted their insights and I invested.

Having knowledge about anything before investing is also good, but suggesting Bitcoin's future hinges on that is not entirely true..

Another principle is that, there can be different levels to trust. Some investment don't need trust, they are considered risky investment because there is also a 50% probability that it may yield absolute nothing.

There are certain altcoins which i can spray in a few amount, which i am left with no guarantee of returns, except luck happens.

[Hustle2025]

Holding bitcoin and understanding bitcoin are not exactly same thing, holding bitcoin can make one an investor but understanding bitcoin makes one an informed and resilient investor. Holding bitcoin simply means buying bitcoin and store it in a wallet targeting to sell at a particular period of time when the price goes up. An individual can hold bitcoin because a friend or relative advised him or her to buy and hold it for a given period of time, without having a deeper understanding about bitcoin.  Someone can also hold bitcoin as a speculative investment. Understanding bitcoin is knowing it's economics, understanding it's underlying decentralised technology and having good knowledge of risk management and analysis.

Some of the basic differences between holding bitcoin and understanding bitcoin includes the following;
1. A holder only hopes that the price goes up to make profit and sometimes sells out of panic due to market volatility and emotion. While an understanding investor makes informed decisions because he have long-term convictions and his confidence is built on knowledge not price movement.
2. An holder is more concerne with buy and hold bitcoin to sell when the price comes up. While an understanding investor navigate the uncertainties associated with bitcoin, know how to manage risk and also appropriate bitcoin beyond just market value.
3. A holder only see bitcoin to be a means for financial gain and wealth preservation.  While an understanding investor see bitcoin to be a store of value, financial sovereignty and empowerment.

[Smartvirus]

The real test na the difference between holding and to understand how bitcoin Dey more visible for bear market.

Note: the future of bitcoin no only depend on how many people get bitcoin, but how many people understand bitcoin very well.

Sometimes you don't necessarily need to understand something before you invest in it; trusting it is enough and that's why most people owns a Bitcoin not because they have any indepth knowledge about it, they just trusted the source of their information.

Most of the stocks I invested in this year was simply based on "trust" I had in the people that introduced me to them - I trusted their insights and I invested.

Having knowledge about anything before investing is also good, but suggesting Bitcoin's future hinges on that is not entirely true..

When I read your first line, I was almost shocked on how you could say such a thing… I was certainly going to ask how could someone just invest in something, likely betting their future on it and not having to know nothing about it but then,

You had to mention having to trust your source of information.
That’s certainly a way to go and it indeed yields the same result. You are trusting in who knows thereby, banking on that individual’s resourcefulness due to past results. It’s the same as when going into a new field of business or investment, you surround yourself with those that are already familiar or into the same business to guide you, those do work too.

[igebotz]

Sometimes you don't necessarily need to understand something before you invest in it; trusting it is enough and that's why most people owns a Bitcoin not because they have any indepth knowledge about it, they just trusted the source of their information.

Most of the stocks I invested in this year was simply based on "trust" I had in the people that introduced me to them - I trusted their insights and I invested.

Having knowledge about anything before investing is also good, but suggesting Bitcoin's future hinges on that is not entirely true..

When I read your first line, I was almost shocked on how you could say such a thing… I was certainly going to ask how could someone just invest in something, likely betting their future on it and not having to know nothing about it but then,

You had to mention having to trust your source of information.
That’s certainly a way to go and it indeed yields the same result. You are trusting in who knows thereby, banking on that individual’s resourcefulness due to past results. It’s the same as when going into a new field of business or investment, you surround yourself with those that are already familiar or into the same business to guide you, those do work too.

"A wise person doesn't blindly follow advice" as humans we can't be expertise in everything, sometimes we rely on people who have already done the research; we evaluate, observe their past results and then make a decision based on that confidence.

You don't need to have any medical knowledge to own a hospital, all you need is the money to hire professionals and you're good to go- justifying my thoughts.

[Tetu100]

You don't need to have any medical knowledge to own a hospital, all you need is the money to hire professionals and you're good to go- justifying my thoughts.

That very one is for sure Boss. perhaps through their years of experience and how professional they are on that field you being the boss is also covered as well and maybe along the line you can likely learn one or two from them. However, bitcoin investment has done pretty well and also set up untouchable record in the passed years and I don't think trust is the major problem investors are having as we speak, what they are finding challenging is just to figure their discretionary funds and they are set to go.

[Davidloki]

The real test na the difference between holding and to understand how bitcoin Dey more visible for bear market.

Note: the future of bitcoin no only depend on how many people get bitcoin, but how many people understand bitcoin very well.

Sometimes you don't necessarily need to understand something before you invest in it; trusting it is enough and that's why most people owns a Bitcoin not because they have any indepth knowledge about it, they just trusted the source of their information.

Most of the stocks I invested in this year was simply based on "trust" I had in the people that introduced me to them - I trusted their insights and I invested.

Having knowledge about anything before investing is also good, but suggesting Bitcoin's future hinges on that is not entirely true..

Trust is gained based on experience or evidence. People do trust Bitcoin because it consistently delivers results. And that could be the reason why they invest in it. A full understanding of it may not be needed, but at least there should be some level of experience that the investor need to have to grow conviction. Investment is made through hard-earned money. Not money they pick off the streets of Nigeria. If a Nigerian must take Bitcoin seriously, he must have personal experience or testimony from someone very close to him.