Buy Bitcoin

What’s Happening?

Fourth BTC Halving will occur around 4/20/24.

Block Reward for mining will be cut from 6.25 to 3.125 new BTC.

Total new BTC to be mined until next halving in 2028 will be 656,250 BTC.

Fealty’s Foundational Reasons

Decentralization and Independence: Bitcoin operates on a decentralized network, free from the control of any single government or financial institution. This independence from traditional financial systems offers a unique advantage, as Bitcoin transactions are not subject to the same kinds of political and economic influences that can affect fiat currencies. This characteristic appeals to investors looking for assets that can perform well even in times of financial uncertainty.

Scarcity and Value Preservation: The total supply of Bitcoin is capped at 21 million coins, a deliberate design to mimic the scarcity of precious resources. This scarcity is a critical feature that helps to preserve value and protect against inflation. For investors, Bitcoin's finite supply makes it an attractive hedge against inflation, similar to gold but in a digital format.

Increased Adoption and Institutional Interest: Over the years, Bitcoin has gained significant traction among both individual investors and large institutions. Major companies and financial entities have started to recognize Bitcoin as a legitimate asset class, incorporating it into their investment portfolios and payment systems. This growing adoption not only legitimizes Bitcoin's presence in the financial landscape but also potentially drives up its value as more entities engage with it.

Liquidity and Market Growth: Bitcoin is one of the most liquid investment assets available, thanks to the proliferation of trading platforms, exchanges, and fintech innovations. Investors can easily buy and sell Bitcoin across a vast array of markets around the clock. This high liquidity makes Bitcoin an appealing option for investors who value flexibility and ease of access in their investment choices.

Technological Innovation and Potential: Bitcoin is at the forefront of the blockchain revolution, which promises to transform a variety of industries beyond finance, including supply chain management, healthcare, and more. Investing in Bitcoin allows investors to participate in this technological innovation, which holds the potential for substantial returns as new applications and efficiencies are realized.

Bitcoin’s Origin

Bitcoin stands as a pivotal innovation in the financial sector, offering a new dimension of currency management and transaction freedom. Created in 2009 by the pseudonymous Satoshi Nakamoto, it emerged as a response to the limitations of traditional financial systems, embodying principles of independence and decentralization. This digital currency is built on blockchain technology, an advanced system that ensures all transactions are transparent, secure, and immutable.

The design of Bitcoin fundamentally challenges conventional financial practices by enforcing a cap on its total supply—21 million coins. This built-in scarcity is designed to prevent inflation, ensuring the currency remains valuable and stable over time. Bitcoin's transaction process is markedly fast, enabling quick transfers across borders without the need for intermediary institutions, thus enhancing the efficiency of money exchanges.

Despite its robust framework, Bitcoin navigates through a landscape filled with regulatory scrutiny and broad market volatility. These challenges require ongoing adaptation and development within the Bitcoin community, similar to the way any pioneering technology gradually refines its functionalities to achieve widespread adoption.

For investors, Bitcoin represents more than just a financial asset; it is an entry into an evolving area of technology that promises not only growth potential but also a chance to participate in the reshaping of global financial systems. Its appeal lies in its blend of scarcity, security, and speed, drawing parallels with other high-value investments that are known for their transformative impacts.

In essence, Bitcoin is not merely an economic entity but a symbol of financial evolution, reflecting a shift towards more transparent, efficient, and user-empowered practices. It offers a compelling narrative for investors looking to diversify into assets that are not only valuable but also have the potential to influence future economic frameworks.

Why is Bitcoin a Buy Now?

With the price of BTC hitting an all time high about a month ago, this marks the first time that an all time high was breached pre-halving. This is exciting because we are expecting a moderate (but healthy) correction down into the mid-to-upper $50,000s while the halving takes place and miners sell off. This correction can last into the month of May, allowing for a perfect time to buy-the-dip.

With the implementation of BTC ETFs, this is the first halving with institutional money involved. Once the halving takes full effect, usually about 14-20 months post-halving, we are expecting there to be a large amount of inflows into these ETFs. This causes a supply shock as the institutions managing the ETFs need to purchase more BTC to cover their client’s holdings. We are expecting this to drastically increase the price of BTC over the next 12-36 months.

Bitcoin’s Potential Pitfalls

BTC price typically comes down after halving, for a small period of time. Historically the price recovers after 6 months and hits all-time highs within 14-20 months post-halving. This may be a pitfall for swing/short term traders.

Price volatility of BTC may increase substantially post-halving.

BTC miners may sell a large amount because their mining rewards are cut in half.

Centralization of the Mining Industry - Since mining rewards will be cut in half, smaller less efficient miners may be pushed out by larger institutional miners who have the resources to scale rewards better.

Transaction fees are likely to increase to offset the decreased mining rewards.

The Ideal Investor

Investors with the ability to withstand a high amount of volatility and fluctuations. The ideal investor would be someone looking to diversify in a speculative and new asset class. This investor should be able to hold their BTC for a long period of time, allowing for the full effect of the halving to take place.

Who Might Look Elsewhere

Investors with high need of liquidity and low appetite for risk and volatility should steer clear. Older investors that are relying on their principal for retirement income and/or living expenses. Day-traders and other “scalp” traders may not hold BTC long enough to see true price increase.